EconomicsSource:
Union Budget 2026-27: Introduction of Chemical Parks in India
Saturday, 7 February 2026
Key Points
Union Budget 2026-27 introduces Chemical Parks in India, aimed at enhancing domestic chemical manufacturing. These parks will feature shared infrastructure and common facilities, promoting efficiency and reducing import dependence. With a budget allocation of ₹600 crore, the initiative seeks to boost India’s global competitiveness in the chemical sector.
Detailed Coverage
- Chemical Parks are industrial clusters for chemical manufacturing.
- They offer shared infrastructure and common facilities.
- Key features include ready industrial land and logistics support.
- They follow a cluster-based, plug-and-play model.
- Inspired by successful models like Plastic Parks and PCPIRs.
- Aim to strengthen domestic chemical manufacturing.
- Reduce import dependence and improve supply-chain integration.
- India's chemical industry contributes 7% to GDP.
- Ranked sixth globally and third in Asia.
- Backed by policy support for technology adoption.
- Related initiatives include Plastic Parks and Bulk Drug Parks.
- Three Chemical Parks announced in the budget.
- Budget allocation of ₹600 crore for these parks.
- Important for enhancing global competitiveness.
- First dedicated budget for chemical park infrastructure.
- Challenge-based selection process for states.
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