Top export sector for India

Did you know?

Eastman Chemicals, Dow Elanco, FMC Corporation and Dupont are among the foreign industrial chemicals company doing business in India.

Industrial chemicals

(in US$ million)

Industrial chemicals	1995	1996	1997*
Total market size	3,408	3,960	4,613
Locally manufactured	3,132	3,640	4,263
Total exports	284	360	490
Total imports	560	680	840
Exchange rate: US$1 = Rs.	32.75	34.95	35.00
Source: Independent studies *1997 figures are estimates

 

Promising sub-sectors	1997* market size (US$ mn)
Organic chemicals	1,720
Inorganic chemicals	1,500
Perfumery chemicals	800
Fine chemicals	340

Points to be noted:

• As seen in the first table above, domestic industry takes care of the bulk of India's demand for industrial chemicals. But it is also seen that imports have been growing rapidly.

• The Indian industrial chemicals market is projected to grow at 16.5 per cent annually.

• With lowering of customs duties on imports, it can be expected that imports will account for a major share of increase in supplies.

• Industrial chemicals currently account for some 20 per cent of all chemicals manufactured in India. With industrial growth, this share is poised to increase.

• Major foreign manufacturers of industrial chemicals with offices in India include Eastman Chemicals, Dow Elanco, FMC Corporation and Dupont.

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