Indian Dyes & Chemicals Industry
The chemical industry is one of the most critical sectors for the economic development of any country. It provides products and enables technical solutions in virtually all sectors of the economy. The industry accounts for about 2.11% of the nation’s GDP. India is the sixth largest producer of chemicals in the world and the third largest producer in Asia. The market size of the chemical industry is expected to grow to $350 billion by 2021. With 71 per cent of the total production share, alkali chemicals form the largest segment in the Indian chemical industry. Also, there is a strong government support towards R&D; this would further benefit the dye and chemical sector.
During 2014, the production of alkali chemicals stood at 6,265 million tones. India accounts for approximately 7 per cent of the world production of dye stuff and dye intermediates and is currently the world’s third largest consumer of polymers and fourth largest producer of agrochemicals. The share of chemical products in the overall exports in 2015 stood at 10.25%. During March 2015, India’s export increased to 21.93% as compared to in February 2015. Compared to exports, imports into the country are of high volume, low value chemicals.
Major dye and chemical products exported from India in 2015 include insecticides, fungicides, herbicides packaged for retail sale, chemical industry products and residuals, binders for foundry molds or cores; chemical products and residuals, reaction initiators & accelerators, catalytic prep, activated carbon; activated natural mineral products; animal black, antiknock preparations, oxidation & gum inhibitors, viscosity improver, prepared rubber accelerators; compound plasticizers, & other compound, finishing agents, dye carriers or fixing for text, composite diagnostic or laboratory reagents etc.
Highlights of Indian dye and chemical Industry
- In 2015, India chemicals industry had a market size of USD 144 billion.
- India accounts for approximately 16 per cent of the world production of dyestuff and dye intermediates, particularly for reactive acid and direct dyes.
- India specialty chemical market is expected to reach USD 70 billion by 2020.
- Value of India’s exports of inorganic chemicals have increased from USD1.4 billion in 2014 to USD 0.70 billion in 2015, while the organic chemical market has reached USD 5.9 billion in 2015 from USD 12.04 billion in 2014.