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GOVERNMENT OF INDIA
MINISTRY OF CHEMICALS & FERTILIZERS
DEPARTMENT OF CHEMICALS & PETROCHEMICALS
LOK SABHA
UNSTARRED QUESTION NO. 5542
ANSWERED ON 27/03/2026
DEVELOPMENT OF CHEMICAL AND PETROCHEMICAL INDUSTRIES IN ODISHA
5542. SMT. SANGEETA KUMARI SINGH DEO:
Will the Minister of CHEMICALS AND FERTILIZERSbe pleased to state:
(a) whether the Government has identified Odisha for development of chemical and
petrochemical manufacturing clusters or industrial parks under national industrial initiatives,
if so, the details thereof;
(b) the details of investments along with the proposals received for establishing chemical
manufacturing units in the said State during the last five years;
(c) whether such projects are expected to generate employment and strengthen industrial
growth in economically backward regions of Odisha, if so, the details thereof; and
(d) the steps being taken by the Government to promote environmentally sustainable
chemical manufacturing and ensure compliance with safety and environmental standards?
ANSWER
THE MINISTER OF STATE FOR CHEMICALS & FERTILIZERS
(SMT. ANUPRIYA PATEL)
(a) to (c): The Department of Chemicals and Petrochemicals is implementing the
following schemes for development of chemical and petrochemical industries in the State of
Odisha:
(i) Scheme for setting up of Plastic Parks: The Department promotes setting up of
Plastic Parks with requisite infrastructure and enabling common facilities. The objective is
to consolidate and synergize the capacities of plastic processing industry to help increase
investment, production and generate employment. Under the Scheme, the Government of
India provides grant funding up to 50% of the project cost, subject to a ceiling of Rs. 40 crore
per project. So far, 9 Plastic Parks have been approved in different states including in Odisha,
and these are at different levels of implementation. The status of Odisha Plastic Park is as
under:No. Location Overall Progress in Total Total GoI support Employment
Physical Project GoI released (Rs. Generated (No.
Infrastructure (Civil Cost support in of
work) (Rs. in (Rs. in crore) Persons)
(in %) crore) crore)
1. Paradeep, 100 106.78 40.00 36.00 295
Odisha
(ii) Petroleum, Chemical and Petrochemical Investment Region(s) (PCPIR):
Government of India notified the Petroleum, Chemical and Petrochemical Investment
Region(s) (PCPIR) Policy, 2007 to attract investment and for generation of
employment. The PCPIR promotes the Chemical and Petrochemical sector in an
integrated and environmentally friendly manner. PCPIRs are conceptualized in cluster-
based approach with common infrastructure, basic utilities and support services to
provide a competitive environment conducive for setting up businesses.
Under the existing policy, each PCPIR is a specifically delineated investment region
having a minimum area of 250 sq. km. Currently, three Petroleum, Chemical and
Petrochemical Investment Regions are in operation in the states of Andhra Pradesh
(Vishakhapatnam), Gujarat (Dahej) and Odisha (Paradeep) to promote investment and
industrial development in these sectors. The status of Odisha PCPIR is as under:
Indicator Odisha
Location/ Region Paradeep
Total Area (sq. kms.) 284.15
Investments made (Rs. In
1,43,881
Crore)
Employment generated (No.) 40,000
( d ) Operations of the chemical manufacturing units are governed by the national
environmental regulatory framework that includes - The Environment (Protection) Act, 1986,
The Air (Prevention and Control of Pollution) Act 1981 and The Water (Prevention and
Control of Pollution) Act 1974 as also the Rule / Regulations framed thereunder, such as the
Manufacture, Storage, and Import of Hazardous Chemical Rules, 1989, Chemical Accidents
(Emergency Planning, Preparedness and Response) Rules, 1996 and Hazardous and Other
Wastes (Management and Transboundary Movement) Rules, 2016. These regulations are
administered by Ministry of Environment, Forest & Climate Change.
Further, Ministry of Micro, Small & Medium Enterprises has brought following
schemes to support all MSMEs in the country including those in the chemical industry to
promote environmentally sustainable manufacturing. The details are as under:(i) Scheme for Promotion and Investment in Circular Economy : This scheme promotes
circular economy in the MSME sector by incentivizing micro and small enterprises to adopt
circular economy practices with respect to management of different types of wastes including
plastic, rubber and e-waste.
(ii) MSME-Sustainable (ZED) Certification Scheme : This scheme envisages promotion of
Zero Defect Zero Effect practices to enable MSMEs for manufacturing of quality products
using latest technology, tools & to constantly upgrade their processes for achievement of high
quality and high productivity with the least effect on the environment.
(iii) Micro and Small Enterprises Green Investment and Financing for Transformation
Scheme : This scheme aims to develop an ecosystem wherein institutional finance is made
available to micro and small enterprises at a concessional cost for adoption of clean/green
and energy efficient technologies.
Furthermore, for ensuring compliance with safety standards the Department
of Chemicals and Petrochemicals is imparting training to the employees of the Major
Accident Hazard (MAH) units which are associated with greater risk of chemical accidents.
The safety training programs are intended to cover all the 2,393 number of MAH Units over
a period of 5 years. Till date, 21 such training Programmes have been organized at various
locations across the country. These were attended by 1,499 industrial units including 1,248
MAH units, covering 2,690 safety personnel.
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