A $8 billion opportunity awaits the Indian specialty chemical industry – 12 Oct 2020

Many domestic specialty chemical companies have invested in expanding their capacity in the last few years along with investing in R&D which has helped them in becoming major players in the chemical industry.  
Many Indian companies are looking for CRAMS opportunities for intermediates along with few domestic companies aiming for export market shares for finished products.
The India chemical industry size is estimated at ~$163 billion in FY18 is expected to reach ~ $300 billion by FY25 with an anticipated growth of 9% CAGR.
This industry is currently valued at $32 billion and is expected to reach $65 billion by FY25E. 
Growth from the domestic speciality chemical industry would be provided to by sub sectors like agrochemical, surfactants, aroma chemicals, plastic additives, water treatment chemicals, etc.
With China coming down hard on environment scofflaws, forcing small chemical industries to shut down, US President Donald Trump's tough import tariffs with China and COVID - 19 is making all global chemical buyers rethink and modify their supply chains. A shift in production and consumption towards Asian and South East Asian countries will lead to an increased demand for chemicals and petrochemicals. A modest shift of 5% in market shares from China to India can render a @8 billion opportunity for the Indian specialty chemical makers.