Chemical Industry is one of the oldest and largest industries in the world, forming the backbone for many other downstream industries. It produces products and materials, 70% of which forms the input for other industries like Agriculture, Automobile, plastic, textiles, petroleum refining, primary metal and chemical industry itself which consumes 26% of its own output. Rest of the production is consumed directly in form of detergent, soap, perfumes and other consumer goods. The global chemical industry is highly diversified with more than 80,000 chemicals under its portfolio. Current size of the Global chemical output is estimated at 3.9 trillion USD.On the back of global economic recovery and increased industry output, Global Chemical Production
…show more content…
(2010–2014)
2010 2011 2012 2013 2014 Trend
(2014vs.2013)
Capital Spending
(in Billion USD) 325.9 385.3 413.8 438.8 467.7 Up
Capacity Utilization (%) 86.7 87.2 86.7 85.9 86.2 Up
Evolution of Indian Chemical Industry:
Current …show more content…
It is third largest in Asia and 12th in world. However the importance of chemical industry is more substantial if you take into account the fact that it contributes heavily to other growing sectors like the textiles industry (4% of India’s GDP), the engineering and machinery manufacturing industry (8% of India’s GDP), the transportation industry (8.5% of India’s GDP), the information technology industry (9% of India’s GDP), the construction industry (13.5% of India’s GDP) and the agriculture industry (15.7 per cent).In this context , for the future , there are two distinct possibilities emerge based on how effectively the industry leverages the positives and tackle the challenges. In the normal scenario, with current policies of government and initiatives of the industry, the Indian chemical industry could grow at 11% p.a. to reach size of $224 billion by 2017. However, the industry has potential of higher growth which is currently limited by its aspiration to do that. With high end–use demand based on ever growing population and increasing per capita consumption, more capacity addition, sufficient availability of capital ,improved export competitiveness and resultant growth impact for each downstream segment of the chemical industry could lead to an overall growth rate of over
(2010–2014)
2010 2011 2012 2013 2014 Trend
(2014vs.2013)
Capital Spending
(in Billion USD) 325.9 385.3 413.8 438.8 467.7 Up
Capacity Utilization (%) 86.7 87.2 86.7 85.9 86.2 Up
Evolution of Indian Chemical Industry:
Current …show more content…
It is third largest in Asia and 12th in world. However the importance of chemical industry is more substantial if you take into account the fact that it contributes heavily to other growing sectors like the textiles industry (4% of India’s GDP), the engineering and machinery manufacturing industry (8% of India’s GDP), the transportation industry (8.5% of India’s GDP), the information technology industry (9% of India’s GDP), the construction industry (13.5% of India’s GDP) and the agriculture industry (15.7 per cent).In this context , for the future , there are two distinct possibilities emerge based on how effectively the industry leverages the positives and tackle the challenges. In the normal scenario, with current policies of government and initiatives of the industry, the Indian chemical industry could grow at 11% p.a. to reach size of $224 billion by 2017. However, the industry has potential of higher growth which is currently limited by its aspiration to do that. With high end–use demand based on ever growing population and increasing per capita consumption, more capacity addition, sufficient availability of capital ,improved export competitiveness and resultant growth impact for each downstream segment of the chemical industry could lead to an overall growth rate of over