Plan to bring Chemical and Petrochemicals under PLI scheme, target to make manufacturing center

Finance Minister Nirmala Sitharaman today said that the Indian government will consider bringing the chemical and petrochemical sector under Production Linked Incentive (PLI) to make the country a manufacturing hub for such products.
Nirmala Sitharaman said that in view of stringent pollution control regulations and rising labor costs, global manufacturers in the chemical industry are looking to diversify their products and production capacity and India stands as an alternative destination for manufacturing.
Nirmala Sitharaman said that India has set a target of becoming energy independent by 2047 and achieving net zero by 2070. So-net zero cannot be achieved unless every industry and every sector contributes to it.
The government has approved an incentive scheme of Rs 19,744 crore to promote the manufacturing of green hydrogen in the country to cut emissions.
The National Green Hydrogen Mission aims to promote the development of a green hydrogen production capacity of at least 5 MMT (million metric tonnes) per year by 2030 with an associated renewable energy capacity addition of about 125 GW in the country.
Global investors will actively consider investing their money or forming joint ventures with Indian partners in the chemical and petrochemical industry if Indian manufacturers focus on the four challenges of sustainability, recycling or becoming a circular economy, and skill and technology adoption.
With regard to the work of the industry to address the issue of inverted duty structure on some of its items, the Finance Minister said, inversion on any item if done right can have an impact somewhere.