India Aims for $1 Trillion Chemicals Sector by 2040

Union Chemicals and Fertilizers Minister J P Nadda has underlined the critical need to expand India’s chemicals sector to a substantial $1 trillion by 2040.

This ambitious target was a central theme during a CEO roundtable he chaired on August 24, 2026, focused on strategies to achieve this significant growth.

Key Targets and Participation

• The chemicals sector is targeted to reach $1 trillion in size by 2040.
• The roundtable on August 24, 2026, saw participation from more than 100 delegates representing the chemical industry globally.

The government’s strategy hinges on cultivating an environment that attracts investment, thereby bolstering domestic manufacturing capabilities within the sector.

Strategic Government Commitments

Minister Nadda articulated the government’s firm commitment to an ongoing, structured dialogue with the industry, aiming to pinpoint challenges and translate suggestions into actionable steps.

• Establishing continuous and institutionalised dialogue mechanisms with the industry.
• Identifying sector challenges and ensuring suggestions lead to time-bound actions.
• Creating an enabling ecosystem for investment, innovation, sustainability, and long-term growth.

Achieving the $1 trillion goal by 2040 will necessitate a multi-faceted approach, integrating significant capital, technological advancements, and robust domestic production.

Driving Future Capabilities

• Sustained investment is crucial for sector expansion.
• Focus on technology development will enhance competitiveness.
• Strengthening domestic manufacturing capabilities forms a core pillar of growth.

Minister Nadda further assured industry stakeholders that all concerns raised during discussions have been duly noted and will be appropriately addressed with the relevant ministries.