Current crises open growth windows for India’s chemicals sector

Summary

The Covid-19 pandemic has exacerbated the pain for India's chemicals industry, coming as it did after lower commodity prices and slowing demand had impacted realisations in fiscal 2020.

The pandemic-related disruptions since the start of this fiscal have amplified the headwinds, especially in the niche and specialty chemicals segments, which have a concentration of small and medium enterprises.

But there is a silver lining -- changing global trade dynamics - that gives India an opportunity to crank up its share of exports. The US-China trade war and increasing preference among global companies to derisk their supply chains has placed India in a sweet spot.

With competitive labour cost, a large domestic market and established credentials in specific segments India is a viable alternative for manufacturing capacities.

This paradigm shift also presents an opportunity for domestic manufacturers to set up new capacities and enhance their share of the global chemicals pie.

Against this backdrop, CRISIL is organising a webinar where our experts will delve into:

• Impact of the pandemic on the specialty chemicals industry
  
• India's positioning in the global chemicals trade, and the opportunity in exports
  
• Segments with high growth potential, and opportunities to expand capacities
  

This will be followed by a panel discussion and a Q&A session.