According to the Economic Survey 2025-26, the Chemicals and Petrochemicals sector contributed 8.1 percent to the overall manufacturing sector's Gross Value Added (GVA) in Financial Year 2024. The total production of major chemicals and petrochemicals increased from 45,638 thousand metric tonnes (MT) in FY16 to 58,617 thousand MT in FY25, representing a Compound Annual Growth Rate (CAGR) of 2.8 percent during FY16–FY25. The Department of Chemicals and Petrochemicals monitors selected Major Chemicals and Petrochemicals products only, and data is sourced from Monthly Production Reports (MPRs) received from large and medium scale chemical manufacturers. This information was released on January 30, 2026, at 7:07 PM by PIB Delhi.
Key Entities Referenced
Economic Survey 2025-26: A report highlighting the performance of the Chemicals and Petrochemicals sector.
Department of Chemicals and Petrochemicals: The department responsible for overseeing the Chemicals and Petrochemicals sector.
Ministry of Chemicals and Fertilizers: The ministry under which the Department of Chemicals and Petrochemicals operates.
Ministry of Chemicals and Fertilizers :
Department of Chemicals and Petrochemicals
Economic Survey 2025–26 Highlights Steady
Growth of Chemicals and Petrochemicals Sector
Chemicals and Petrochemicals sector contributed 8.1 per
cent to the overall manufacturing sector’s Gross Value Added
(GVA) in FY 24
प्रव तथ: 30 JAN 2026 7:07PM by PIB Delhi
The Chemicals and Petrochemicals sector continues to play a significant role in the industrial
development of the Indian economy, with strong backward linkages to petroleum refining and natural gas
processing and forward linkages with several downstream industries.
As highlighted in the Economic Survey 2025–26, the sector contributed 8.1 per cent to the overall
manufacturing sector’s Gross Value Added (GVA) in Financial Year 2024.
The Economic Survey further notes a consistent upward trend in the production of selected major
chemicals and petrochemicals over the last decade. Total production increased from 45,638 thousand
metric tonnes (MT) in FY16 to 58,617 thousand MT in FY 25, registering a Compound Annual
Growth Rate (CAGR) of 2.8 per cent during FY16–FY25.
Remark: Department of Chemicals and Petrochemicals monitors selected Major Chemicals and
Petrochemicals products only. The data source in respect of Installed Capacity and Production of
Chemical products is Monthly Production Reports (MPRs) received from the chemical manufactures
under large and medium scale units only.
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