Chemical exports are expected to exceed $30 billion in the current financial year, rebounding from a decline in 2023-24.
The chemical industry is on track to reach $300 billion in 2025. This growth is supported by key measures from the latest budget, according to CHEMEXCIL. The council promotes exports of basic chemicals, cosmetics, and dyes.
Growth Trends and Export Performance
Exports of organic and inorganic chemicals dropped by 3.17% in FY 2024, reaching $29.3 billion. However, in the first nine months of the current financial year (April–December), exports have already grown by 4.97% year-on-year. They have reached $21.2 billion.
CHEMEXCIL Chairman Abhay Udeshi emphasized that the chemical industry was valued at $220 billion in 2022. It is on track to reach $300 billion by 2025 and an impressive $1 trillion by 2040.
Focus on Sustainability and Emerging Markets
To drive further growth, the council is focusing on expanding into emerging markets. It is also promoting sustainable solutions, including green chemicals and bio-based specialty chemicals.
These efforts align with global sustainability trends and will significantly boost India’s chemical exports.
Government Support and Policy Boost
CHEMEXCIL welcomed the government’s proposal to reduce duties on essential raw materials, including phosphoric acid, boric acid, and sorbitol.
These duty cuts, along with additional measures to support MSMEs, will strengthen manufacturing and increase exports.
A Key Contributor to the Economy
India’s chemical industry is highly diversified, producing over 80,000 commercial products and employing more than two million people, both directly and indirectly.
The sector contributes around 7% to India’s GDP and holds a 2.8%–3% share in the global chemical industry.
As reported by financialexpress.com, with strong government backing and a clear focus on sustainability, India’s chemical industry is well-positioned for rapid growth in the coming years.
