Page 174 - CW E-Magazine (19-3-2024)

ICC Conference 2024

growth, including increasing demand
for chemicals from a variety of end-use
sectors and the growing middle class in
India, which is driving up demand for
consumer goods,” he said.

Mr. Bharat Ram also highlighted
the key role being played by the gov-
ernment in enabling the growth of the
industry through various initiatives
including the ‘Make in India’ programme.

Global trends
Dr. Ulrich Weihe, Senior Partner,
McKinsey & Company, Frankfurt, said
Mr. Deepak Mishra the global chemical industry, from a
Scope for growth in C6 products like benzene, in which capital market perspective, has outper-
Mr. Deepak Mishra, Joint Secretary, India has a net surplus. formed other sectors consistently over
Department of Chemicals & Petro- the last 20 years, albeit not so in the last
chemicals, Ministry of Chemicals & He also called for a shift in focus two or three years.
Fertilizers, Government of India, noted from manufacturing commodity chemi-
that being a deregulated sector, the cals to speciality chemicals that are Speaking about the global disrup-
chemical industry does not require the being currently imported into the country. tions of concern to the chemical
government’s nod to make investment Given the growing consumer prefe- industry, he listed the overall slowdown
decisions. He added that there is very rence for greener products, Mr. Mishra of demand & consumer spendings,
less compliance burden for setting up also urged the industry to opt for more the slump in exports to China due to
plants, except for mandatory ones like sustainable production, and create world- lower demand and self-sufficiency
environmental regulations. class capacities for ‘green’ chemicals efforts, and growing regional imbalances
that would also provide a huge export driven by geopolitical uncertainties.
“There are no requirements to take advantage. “We are seeing oversupply situations
licenses or permissions to import raw in certain value chains due to the
materials, unless covered by some This shift would require a big demand challenges and also due to the
international conventions. Our basic thrust on R&D and developing human incentives provided in certain regions to
customs duties are very reasonable and resource capabilities. “India is very build capacities,” he informed.
we don’t have many non-tariff barriers. good in technical education and the
So, if somebody wants to integrate their government has done its bit over the
units into global value chain, one can years by setting up organisations of
do that easily in the country,” he said. international standards. But there is a
disconnect between the industry and
Mr. Mishra said the chemical the research organisations,” he said,
industry has been thriving on domestic while calling for better synergies and
demand, which is set to increase in the communication between the industry
years to come. “Even to meet our pre- and established research institutions.
sent domestic demand, we have a large
business opportunity in the country. We Mr. Kartik Bharat Ram, Vice Presi-
can set up a world-scale facility that dent, ICC and Joint Managing Direc-
can totally cater to the Indian market,” tor, SRF Ltd., noted that the chemical
he said. industry is expected to grow at a CAGR
of about 11-12% over the next five years
The Joint Secretary highlighted and reach a value of $300-bn by 2027.
opportunities for the downstream industry “There are several factors driving this Dr. Ulrich Weihe

174 Chemical Weekly March 19, 2024

Contents Index to Advertisers Index to Products Advertised