Stringent Pollution Regulations Lead to Decline in Gujarat’s Chemical Exports

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Gujarat, one of India’s leading state in chemical manufacturing and export, is grappling with a significant challenge as adherence to hazardous waste regulations has resulted in an 8.20% decline in exports for the fiscal year 2023-24.

The state’s chemical industry, which constitutes 58% of India’s total chemical exports, witnessed a decrease in export value by USD 2.9 billion, contributing significantly to a nationwide decline of USD 3.3 billion.

The downturn is primarily linked to Gujarat’s strict enforcement of Rule 9 under the Hazardous and Other Waste (Management and Transboundary Movement) Rules, 2016, as stipulated by the Central Pollution Control Board (CPCB). Rule 9 requires companies utilizing hazardous waste as raw material to obtain authorization from relevant authorities.

As reported by knnindia.co.in, Gujarat’s stringent enforcement has led to delays in production cycles and increased costs, placing its industries at a competitive disadvantage.