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The Chemical Industry of India is a major contributor to the Indian economy and Indian industries. The Chemical industry of India contributes 7% to the Gross Domestic Product (GDP) of India's economy. India's rank in the chemical industry is the sixth-largest in the world, and third in Asia. The chemical industry of India generates employment for five million people.

As of September 2019, Alkali Chemical Industry has contributed 71 percent to chemicals produced in India. The Indian chemical industry produces 80,000 different chemical products. India was also the third-largest producer of plastic in 2019. The value of the chemical industry in India is estimated at 100 billion dollars in 2019.

India's chemical industry accounts for about 14% of production in Indian industries.

Introduction

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The Indian chemical industry mainly produces basic types of chemicals as well as knowledge type chemicals and specialty type chemicals as of 2018. In India, Gujarat was the largest state contributor to the chemical industry of India in 2018. India also produces products related to petrochemicals, fertilizers, paints, varnishes, glass, perfumes, toiletries, pharmaceuticals, etc.

The India chemical industry is divided into six sub-segments. Basic Organic Chemicals, Speciality Chemicals, Chlor-alkali, Pesticides, Dyestuff, and alcohol-based chemicals. India is the best producer of basic organic chemicals.

History

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In India, the Council of Scientific and Industrial Research (CSIR) was established in 1942 to provide scientific and industrial research to maximize the scientific, economic, and environmental benefits to the people of India.

The Indian Chemical Manufacture association, now called Indian Chemical Association (ICC) was founded in 1938 by P. C. Ray, Rajmitra B. D. Amin, and other Industries to promote the national chemical industry of India.

In India, the first pharmaceutical company set up was Bengal Chemicals and Pharmaceutical. Bengal Chemicals and Pharmaceuticals set up by P.C Ray, professor of chemistry at Calcutta University. After 9 years of settlement of this company, one more company called Alembic Chemical works at Baroda (Now as Vadodara) in Gujarat was set up.

Before World War II, foreign companies had the domain in the drug industry of [[India. After World War II, the foreign company domain in drugs decreased more Indian drug companies were established. During this time, the Indian government established five drug companies. The two of them are Hindustan Antibiotics Limited and Indian Drugs and Pharmaceutical companies.

After India got independence from the British Raj in 1947, India established many units of basic chemicals, dyes, textiles, and fertilizers. In 1964, a downstream plant was established in Mumbai.

In the 1980s and 1990s, the petroleum industry of India had grown faster with the development of the gas cracker, along with related downstream industries for polymers, synthetic fibers, aromatic, and other chemicals. In early 1980, the IPCL had established a plant-based on a cracker in Gujarat and Maharashtra.

India has suppressed by inadequate supply and high import duties in the petroleum industry, which led to private industry entry into the petroleum industry. Reliance industries have set up many parts in PatalGanga (Maharashtra), Jamnagar (Gujarat), Hazira (Gujarat). It leads to an increased role of Reliance industries in the petroleum industry. It has lead to the entry of Reliance industries into the polyester business, such as purified terephthalic acid, and polyethylene terephthalate resin. These new materials are used to make polyester fiber, bottle, and filamentation.

Productions

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Basic organic chemicals industry

The organic chemicals industry is one of the most significant sectors of the chemical industry in the world. It plays a vital role in providing inputs for other industries of paints, adhesives, pharmaceuticals, dyestuffs and intermediates, leather chemicals, pesticides, etc. Methanol, acetic acid, formaldehyde, pyridines, phenol, alkylamines, ethyl acetate, and acetic anhydride are major basic organic chemicals that are produced in India.

Six major chemicals are produced in India: Methanol, Aniline, Alkyle Amines, and its derivatives Formaldehyde, Acetic Acid, and Phenol contributing to nearly 2/3 of Indian basis organic chemical industry.