Indian petrochemical industry has strategic growth potential, but is also affected by adverse policies. What is the industry outlook for 2013?
Indian economy has witnessed a 3% decline during 2011-12. The countrys economy is going through a difficult phase. Growth has seen a steep decline due to adverse fiscal policies, and environment. Inflation was high as measured by the Wholesale Price Index (WPI) throughout the fiscal year.
Indian Petrochemical Industry:
Petrochemicals include synthetic fibres, polymers, synthetic detergents, elastomers, and performance plastics. Main source of feedstock and fuel for petrochemicals are natural gas and naphtha. These products are involved in day to day life such as clothing, automobiles, packaging, and medical appliances. Demand for these products influence polymer consumption.
Indian petrochemical industry has come a long way starting from its modest beginning in the sixties. Plants operate in specialized categories supplying to both domestic and international markets. The sector provides employment for more than 10 lakh people. Main players dominating the sector are; Reliance Industries Ltd., Gas Authority of India Ltd., Indian Petrochemical Ltd., and Haldia Petrochemicals Ltd.