Mumbai, Sep 30 (PTI) The government is planning to redraft the Petroleum, Chemicals and Petrochemicals Investment Region (PCPIR) policy guidelines, Union Minister of State for Chemicals and Fertilizers and New and Renewable Energy Bhagwanth Khuba said on Friday.

The chemicals and petrochemicals sector is progressing at a steady pace, and the sector is expected to be a major contributor in realising the goal of making India a five trillion-dollar economy, the minister said while addressing an event to promote 'India Chem 2022'.

Also Read | 5G in India: Case Studies by Reliance Jio, Airtel and Vodafone Idea To Be Unveiled by PM Narendra Modi.

"The government is planning to redraft PCPIR policy guidelines. We have requested the industry and stakeholders to share their viewpoints so that the same can be fine-tuned further," the minister added.

Meanwhile, he said, the Production Linked Incentive Scheme (PLI) scheme in key end-use sectors is driving growth in the chemicals and petro-chemicals sector, he stated.

Also Read | 'Make 6 Airbags Mandatory Only When 85% People Start Wearing Rear Seat Belts', Says International Road Federation.

“India has a huge demand for chemical and petrochemical products. Through PLI schemes with an incentive outlay of Rs 1.97 lakh crore, the government has recently given a thrust to promote key end-use sectors such as pharmaceuticals, telecommunication and networking equipment, automobiles, electronics, mobiles, medical devices and textiles," he said.

This will further drive the demand for chemicals and petrochemicals in the country, the minister said, adding that the tremendous growth in demand coupled with rationalisation of Customs duty will attract large-scale investment in the sector.

"This additional production will support the entire chemical value chain in a big way. Starting from the raw materials to the finished goods, every single component in the value chain will see growth,” Khuba said.

The minister further assured the industry that the Department is working to address the issues of the industry, to boost the growth of the chemicals and petrochemicals sector.

“We have started the process of addressing various issues involving other Ministries like the Petroleum and Natural Gas Ministry, Commerce Ministry and Environment Ministry. The department wants to institutionalise the process and conduct regular meetings involving all the stakeholders to address issues related to the industry. Enabling frameworks, providing proper infrastructure and trade related issues are among the major focus points of the Department,” he said.

Further, he said, the shifts in supply chain, rising sense of nationalism, accelerating commoditisation, business integration and the rapid changes in the chemical industry have changed the sector dramatically.

"Initiatives such as joint ventures and mergers and acquisitions will help us to bring the latest technology and sustainable solutions in the domestic market," the minister added.

(This is an unedited and auto-generated story from Syndicated News feed, LatestLY Staff may not have modified or edited the content body)