The Union Budget 2026-27 proposes three new dedicated Chemical Parks through a challenge route, cluster-based plug-and-play model to enhance domestic chemical production and reduce import dependency. The Finance Minister, Smt. Nirmala Sitharaman, said that there will be a launch of a scheme to support States in establishing these dedicated Chemical Parks. The budget provisions will roll out Carbon Capture Utilization and Storage (CCUS) technologies across five industrial sectors. Other sectors for financial assistance include Power, Steel, Cement, and Refineries. An outlay of 20,000 crore rupees is proposed over the next five years to facilitate CCUS technologies, to reduce carbon emissions. There will be a scheme to revive 200 legacy industrial clusters. The announcement is also set to help the Chemicals and Petrochemicals sector.
Published on 01 FEB 2026 4:45PM by PIB Delhi
Release ID: 2221676; Visitor Panel: 658
Key Entities Referenced
Union Budget 2026-27: Budget proposing three new dedicated Chemical Parks and a scheme to revive legacy industrial clusters, with focus on Chemical and Petrochemicals sectors.
Carbon Capture Utilization and Storage (CCUS) technologies: Technologies for reducing carbon emissions by capturing, utilizing, and storing carbon dioxide, with an outlay of 20,000 crore rupees.
Chemical Parks: Three new dedicated Chemical Parks proposed to enhance domestic chemical production and reduce import dependency.
Ministry of Chemicals and Fertilizers: The ministry responsible for the Department of Chemicals and Petrochemicals which is the source of the announcement.
Ministry of Chemicals and Fertilizers :
Department of Chemicals and Petrochemicals
Budget 2026–27 Proposes Three New Chemical
Parks
Carbon Capture Utilization and Storage (CCUS) technologies
with the outlay of 20,000 crore rupees to help Chemicals
Sector
प्रव तथ: 01 FEB 2026 4:45PM by PIB Delhi
In the Union Budget, tabled today in the Lok Sabha for the year 2026-2027 three new dedicated Chemical
Parks have been proposed through challenge route and on a cluster-based plug-and-play model.
The Union Finance Minister Smt. Nirmala Sitharaman in her budget speech said that it will enhance
domestic chemical production and reduce import dependency. She also emphasized that a scheme will be
launched to support States in establishing these dedicated Chemical Parks.
The budget provisions say Carbon Capture Utilization and Storage (CCUS) technologies to achieve higher
readiness level in end use applications across five industrial sectors including Chemicals will be rolled
out. Other sectors which are included in this category for the financial assistance are Power, Steel,
Cement and Refineries. An outlay of 20,000 crore rupees proposed over the next five years to facilitate
CCUS technologies.
As a green initiative the Carbon Capture, Utilization, and Storage programme aims to reduce carbon
emission by either storing or reusing it so that captured carbon dioxide does not enter the atmosphere.
In the Union Budget 2026-27 a scheme to revive 200 legacy industrial clusters has been also announced,
to improve their cost competitiveness and efficiency through infrastructure and technology upgradation.
The announcement is also set to help the Chemicals and Petrochemicals sector.
The Union Finance Minister said reviving and strengthening of traditional industries are important for
accelerating and sustaining economic growth and preserving jobs.
****
DKR
(रलीज़ आईडी: 2221676) आगंतुक पटल : 658
इस वज्ञ को इन भाषाओ ंम पढ़: Urdu , Tamil