(MENAFN- KNN India) New Delhi, Oct 3 (KNN) India is set to transform into a global leader in petrochemicals with a planned USD 37 billion investment aimed at achieving self-sufficiency and reducing import dependency.

This ambitious initiative is expected to position India as a significant player in the global petrochemical industry by 2030, with projections indicating it will surpass the United States to become the second-largest consumer of polyethylene.

According to S&P Global Ratings, India is projected to account for one-third of global petrochemical capacity additions by 2030.

The country's annual petrochemical consumption stands at approximately 25 to 30 million metric tons, with expectations for substantial growth driven by an expanding middle class and increased demand for products ranging from plastics to automotive components.

Public sector undertakings are leading this transformation, with plans to invest around USD 25 billion in new petrochemical capacities linked to refinery expansions.

Private sector involvement is also significant, with companies like Adani Group committing to large-scale projects. For instance, Adani is set to commission a USD 4 billion polyvinyl chloride (PVC) plant in Gujarat by 2026 to address the domestic supply-demand gap.

This strategic shift towards self-reliance in petrochemicals is seen as essential for India to counter China's growing dominance in the sector.

While the expansion may lead to oversupply pressures in Asia, India's substantial domestic demand is expected to safeguard local producers from international market fluctuations.

With these developments, India is poised to not only meet its domestic needs but also enhance its position in the global petrochemical market, contributing to economic growth and industrial advancement.

(KNN Bureau)

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