According to Toril Bosoni, the Head of the International Energy Agency’s (IEA) oil industry and markets division, Indian petrochemical exports are expected to encounter stiff competition as India moves forward with plans to enhance its oil refining and petrochemicals capacity.
Bosoni highlighted the current intense pressure on the global petrochemical industry, particularly with China, a traditional importer of petrochemicals, expanding its domestic petrochemical manufacturing capabilities.
Bosoni believes that domestic demand in India for oil will surge. The statement is important in light of India’s ambitions to elevate its refining capacity from the present 250 million tons per annum to 450 million tons per annum by 2030, aiming to establish itself as a hub for petroleum and petrochemical products.
As reported by businessline, the agency also projected India to surpass China in oil demand growth by 2027, with oil demand forecasted to reach 1.2 million barrels per day during 2023-2030, accounting for over one-third of the anticipated global demand growth.
