Context
The Union Cabinet approved the Bharat Audyogik Vikas Yojana Rasayan (BHAVYA-Rasayan) with a total outlay of ₹3,030 crore to establish three dedicated chemical parks across the country, aimed at strengthening India’s self-reliance in the chemical sector.
What does the scheme entail?
Information & Broadcasting Minister Ashwini Vaishnaw noted that each park has the potential to attract between ₹20,000 crore and ₹50,000 crore in investment, furthering India’s push toward self-reliance in the chemicals sector.
Why is it significant?
The scheme is expected to act as a “multiplier,” catalysing far larger private investment and positioning India as a competitive, self-reliant hub for chemical manufacturing.
About the Chemicals Sector in India
- Chemicals are a key input industry, feeding into pharmaceuticals, agriculture (fertilizers/agrochemicals), textiles, and consumer goods.
- India is among the world’s largest producers of chemicals but remains significantly import-dependent for speciality and intermediate chemicals.
- The Department of Chemicals and Petrochemicals, under the Ministry of Chemicals and Fertilizers, is the nodal body for sectoral policy.
Functions of Dedicated Chemical Parks
- Provide plug-and-play infrastructure to reduce setup time and cost for chemical manufacturing units.
- Ensure common effluent treatment and safety infrastructure, given the hazardous nature of chemical manufacturing.
- Enable cluster-based development, improving logistics, raw material access, and ease of doing business.
Economic Benefits of BHAVYA-Rasayan Scheme
- Value-chain development: Strengthens the chemical industry across upstream, downstream, and ancillary segments, ensuring efficient resource use and lower logistics costs.
- Cost competitiveness: Shared common infrastructure and basic utilities, tailored to industry needs, will enhance cost efficiency and global competitiveness.
- Global integration: Enables deeper integration of Indian chemical manufacturers into global value chains, boosting exports and import substitution.
- Sustainable growth: Centralized facilities — including Common Effluent Treatment Plants, Treatment Storage and Disposal Facilities, and hazardous waste management infrastructure — will support environmental compliance and eco-friendly industrial development.
- Broader economic impact: Growth in the chemicals sector will have a cascading effect on downstream industries, generating employment and driving progress toward the Viksit Bharat @ 2047 goal.
| Important CTC from this article for UPSC BHAVYA-Rasayan Scheme Chemical Parks |
Q. With reference to the Bharat Audyogik Vikas Yojana Rasayan (BHAVYA-Rasayan), consider the following statements:
I. The scheme provides for the establishment of three dedicated chemical parks.
II. Each chemical park will be spread over at least 2,000 acres.
III. The scheme has a total outlay of ₹30,300 crore.
Which of the statements given above is/are correct?
(a) I and II only
(b) II and III only
(c) I and III only
(d) I, II and III
Answer: (a) I and II only
Explanation:
• Statement I is Correct: The scheme envisages setting up three dedicated chemical parks.
• Statement II is Correct: Each park will span at least 2,000 acres.
• Statement III is Incorrect: The total outlay is ₹3,030 crore, not ₹30,300 crore.