Chemicals Make in India

Chemicals are an integral part of our lives, providing several raw materials and intermediaries for textiles, paints, paper, mining, packaging, detergents, pharmaceuticals, agrochemicals, polymers, rubbers etc. The Indian Chemical Industry is an integral part of the economic growth of the country and in some ways, the backbone of the economy.

The sector is highly diverse, with eighty thousand commercial products and counting, and is expected to grow at 9.3% CAGR to reach US$ 304 billion by 2025. India’s Chemical Industry ranks at 6th position in the world and 4th position in Asia in terms of size.

After the United States, Japan, and China, we are only fourth in the manufacture of agrochemicals with a 16% global share in dyes and intermediates. Globally, India contributes 3% of the total World Chemical Industry share.

We at Polly Industries, truly believe in the “Make in India” movement and thereby believe in the possibilities of seemingly endless growth of this sector and strive to consistently expand our product range and manufacturing facilities to keep up with this growing demand.

Drivers of Growth:

a.) Increasing demand from end-user industry such as food, packaging, agro-chemicals, personal care, home care, textiles etc due to rise in population, dispensable income, urbanisation and also a significant demand from rural markets.

b.) Changing consumption and production patterns.

c. ) With an intentional reduced dependency on China, the world is looking toward India.

d.) The government sees the potential of the industry and presents a forecast to increase the share of the chemical sector to 25% of GDP by 2025 (Manufacturing).

e.) a 2034 vision for chemicals and petrochemicals sector has been set up.

f.) 100% FDI allowed in the automatic route.

With all these initiatives (and many more!), we project an exponential growth of the sector and our company in the coming decade. Our focus is on Specialty Chemicals catering to a diverse range of sectors.

Key points of Specialty Chemical sector:

a.) Specialty chemicals constitute 22% of the total chemicals and petrochemicals market in India.

b.) Indian manufacturers have recorded a CAGR of 11% in revenue between FY15 and FY21, increasing India’s share in the global specialty chemicals market to 4% from 3%, according to the Crisil report.

c.) A revival in domestic demand and robust exports will spur a 50% YoY increase in the capex of specialty chemicals manufacturers in FY22 to Rs. 6,000-6,200 crore (US$ 815-842 million).

d.) Revenue growth is likely to be 19-20% YoY in FY22, up from 9-10% in FY21, driven by recovery in domestic demand and higher realisations owing to rising crude oil prices and better exports- India Brand Equity Foundation

Come, be a part of India’s next growth story with us!



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