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India eyes 12% global share in chemicals with reforms: NITI Aayog
Achieving a 12 per cent share in global chemical value chains (GVCs) by 2040 is the ambitious target set for India's chemical sector, according to NITI Aayog. Despite contributing significantly to the gross domestic product (GDP), the sector remains fragmented and is hindered by infrastructure gaps, regulatory inefficiencies, and low R&D intensity. India's 3.5 per cent GVC share and $31 billion trade deficit in 2023 underscore its dependence on imported feedstock and specialty chemicals. However, with targeted fiscal and non-fiscal reforms, India aims to build a $1 trillion chemical industry and emerge as a global powerhouse, as outlined in NITI Aayog's latest report 'Chemical Industry: Powering India's Participation in Global Value Chains.' India aims to achieve a 12 per cent share in global chemical value chains by 2040, up from 3.5 per cent in 2023, according to NITI Aayog. Its report outlined targeted reforms to address infrastructure gaps, low R&D, and skill shortages. With strategic interventions, India envisions a $1 trillion chemical sector by 2040, reduced trade deficit, and 7 lakh new skilled jobs by 2030. The report provided an in-depth analysis of the sector, highlighting opportunities, challenges, and a strategic roadmap to strengthen India's position in global markets. Structural issues such as heavy import reliance—stemming from limited domestic backward integration—outdated industrial clusters, and high logistics costs have reduced global competitiveness. Low investment in R&D—only 0.7 per cent compared to the global average of 2.3 per cent—further hampers innovation in high-value chemicals. Regulatory delays, particularly in environmental clearances, restrict industrial agility. Moreover, the sector faced a 30 per cent shortfall in skilled professionals, especially in areas like green chemistry, nanotechnology, and process safety. To address these issues, the report recommended several strategic interventions: establishing world-class chemical hubs by upgrading existing clusters and creating new ones; enhancing port infrastructure with a dedicated Chemical Committee; and introducing an Opex subsidy scheme to promote domestic production of high-dependence or high-export-potential chemicals, NITI Aayog said in a press release. Advancing R&D through increased funding, industry-academia collaboration, and global technology partnerships is emphasised, alongside fast-tracking environmental clearances via a DPIIT audit committee to improve transparency and accountability. The report also suggested leveraging Free Trade Agreements (FTAs) by including chemical-specific provisions and improving exporter awareness and utilisation. Talent development is another core pillar, with proposals to expand ITIs, upskill faculty, and strengthen industry-academia linkages to align training with evolving sectoral needs. The vision for 2030 is for India to become a global chemical manufacturing powerhouse with a 5–6 per cent GVC share, doubling current production and reducing the trade deficit to achieve a net zero balance in chemicals. This growth is expected to generate an additional $35–40 billion in exports and around 7 lakh skilled jobs. India's rise in the global chemical sector will be driven by advanced technology adoption, streamlined regulations, modern infrastructure, and a skilled workforce. The report concluded that realising this potential will require coordinated efforts from the central and state governments, along with proactive industry participation, to build a competitive, investment-ready, and globally integrated chemical industry. ALCHEMPro News Desk (SG)


Business Standard
16 hours ago
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India prioritises national interest in trade deals, says Piyush Goyal
Commerce and Industry Minister Piyush Goyal has clarified that India approaches trade agreements strictly on its own terms, with no pressure to adhere to fixed timelines. Speaking to the media in New Delhi about the ongoing discussions for a potential trade deal with the United States, the minister emphasised that India only enters into such agreements when they are mutually beneficial and fully aligned with national reiterated that free trade agreements are not dictated by urgency or external expectations but are pursued only when they are fully matured. Goyal further added that negotiations are currently underway with several countries, including the United States, members of the European bloc, and New Zealand, and that India remains firm on securing outcomes that safeguard its economic by Capital Market - Live News


India Gazette
21 hours ago
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Uttarakhand tops NITI Aayog's Sustainable Development Goals index 2023-24: CM Dhami
Haridwar (Uttarakhand) [India], July 5 (ANI): Uttarakhand Chief Minister Pushkar Singh Dhami on Friday said that the state has secured the first position in the country in the 2023-24 Sustainable Development Goals (SDG) index released by NITI Aayog. Addressing a public gathering in Haridwar, CM Dhami said, 'I am pleased to inform you that, in the 2023-24 index of the Government of India's NITI Aayog, Uttarakhand has ranked first in the entire country in achieving the goals of sustainable development.' Highlighting the state's progress, Dhami credited the achievement to Uttarakhand's balanced growth approach; he said, 'It's because both the speed and direction of our growth are moving forward in a balanced manner. Along with this, we have also surpassed the national average by reducing the unemployment rate by 4.4%...' During the 'Vikas Sankalp Parv' event held in Haridwar, the CM inaugurated and laid the foundation stone for 107 projects, which are expected to cost around Rs 550 crore, a release said. CM also visited the stalls set up by various departments on this occasion and was overwhelmed by the immense love and affection received from people in the programme. Chief Minister further said, 'Under the able leadership of Prime Minister Narendra Modi, Uttarakhand is moving on the path of progress with clear policy, determination and public welfare decisions. Development is our priority, honesty is our identity, and public service is our resolve.' 'With this aim, we are continuously working to establish Uttarakhand in the category of leading states of the country. The schemes which have been inaugurated and laid the foundation stone in Haridwar will definitely prove to be a milestone in the direction of regional development,' CM added. Earlier in the day, the Chief Minister also held a telephone conversation with Union Home Minister Amit Shah, discussing the heavy rainfall in disaster-prone areas of the state. Dhami informed that, considering the seriousness of the issue, Amit Shah has assured that the Centre's emergency relief agencies, the NDRF and ITBP, are being deployed promptly to ensure that the Char Dham Yatra is not disrupted and that devotees face no inconvenience during their travel. (ANI)