A number of foreign chemical companies announced their investment in India

Recently, Radici and DIC have announced plans to invest in India.
Before that, Covestro and BASF also announced to expand their product production capacity in India
.

Radici acquires Indian engineering plastics company

On May 11, Radici, a leading Italian supplier of high-performance polymers, announced that although the situation in 2022 may be more complicated, the group shareholders will continue to implement a major investment plan with the goal of strengthening the Radici Group's presence in the global market.
and enhance the competitiveness of the group
.

Guided by this approach, the Group has acquired the engineering plastics business of Ester Industries Ltd.
, a company listed on the Bombay Stock Exchange, which has focused on the production of high-performance polymers for decades in India
.
The Group paid approximately EUR 35 million for the acquisition, which is intended to continue the internationalization strategy of the Group's Performance Polymers business
.

Mr.
Maurizio Radici, Chief Operating Officer of RadiciGroup, emphasized: "The strategy of the High Performance Polymers business area is based on the need to be as close as possible to local users and to provide punctual and efficient services under the conditions of short-distance logistics.
At the same time, it is closer to its actual industrial state
.
Today, the aggregation business is the third focus of the group's revenue, which also makes the RadiciGroup name known around the world.

"

Japan's DIC expands Indian resin plant capacity

On May 17, Japan's DIC Corporation announced that it has started construction of a new plant in Spa Industrial Park in Maharashtra in April to expand the production capacity of coating resins
.

DIC acquired Ideal Chemi Plast Pvt.
Ltd in April 2019 to meet India's local demand for high-end coating resins.
After mastering Ideal's sales channels, customer base and India-specific needs, DIC integrated these know-how and supply chain, launched a strategy to improve its position in the Indian market in a short period of time
.
After the acquisition of Ideal's coating resin production equipment, full-load production continued despite strong demand, so DIC judged that it was necessary to expand production ahead of schedule and build a new factory
.

The new factory is located in SUPA Industrial Park, Ahmednagar District, Maharashtra, India.
The main products are acrylic resin, polyester resin, alkyd resin,
etc.
The new plant is scheduled to start operations in July 2023
.
Once put into production, Ideal's production capacity will triple from current levels
.
The production of eco-friendly products and globally expanded products developed at the Polyma Technology Center (Thailand) in the Asia Pacific region will also take place in India
.

Covestro expands PC compounding capacity in India

On March 3, Covestro announced the recent start-up of two polycarbonate lamination lines at its Greater Noida facility near New Delhi, India
.
The new plant is designed to meet the growing demand for composite plastics, especially in the automotive, electrical and electronics industries
.

In addition to its broad polycarbonate portfolio, the company now has more than double the ability to finish plastics and offers improved customer service
.
The project is also in line with the Indian government's "Make in India" initiative, which aims to encourage investment in developing and manufacturing products in India
.

BASF expands Ultramid® polyamide production capacity in India

It was announced in March that BASF India Ltd.
would expand its Ultramid® polyamide production capacity to meet growing market demand
.
The additional capacity at BASF's production site in Panoli, Gujarat, will be commissioned in the fourth quarter of 2022
.

Andy Postlethwaite, Senior Vice President, Performance Materials Asia Pacific, BASF, said: "The new capacity reaffirms our commitment to being our customers' preferred polyamide supplier and will help us meet the rapidly growing demand for Ultramid® polyamide products in the Indian market
.
It will correspondingly shorten local lead times and help us better meet the timely demands of original equipment manufacturers (OEMs)
.
"

Saudi Aramco says plans to invest in chemicals in India

Earlier, Amin Nasser, CEO of Saudi Aramco, said the company was planning to continue its global oil-downstream chemicals integration strategy and invest in chemicals in India and China
.

Saudi Aramco is also in advanced talks to acquire a 20 percent stake in India's Reliance Industries Group's refining and chemicals business in a share-swap deal, according to people familiar with the matter
.

India and Asia Pacific are generally developing economies, and as India and Asia Pacific grow, the demand for specialty/fine chemicals will grow
.

India currently produces more than 70,000 chemical products
.
Parag Jhaveri, Managing Director and CEO of Yasho Industries, has pointed out that the global market offers huge opportunities for India and Asia Pacific
.

According to the data in Deloitte China's "2022 Global Chemical Industry M&A Outlook" report, in 2021, India's GDP will recover rapidly, with a growth rate of 9%, and it is expected to grow by 9% in 2022, making India the fastest growing economy in the world.
one of the bodies
.

Currently, the Indian chemical industry ranks sixth in the world, with a market size of US$178 billion and is expected to reach US$300 billion in 2025
.
In 2020-21, India attracted $184.
8 billion in foreign direct investment (FDI) by allowing foreign direct investment (FDI) of up to 100 percent
.

Overall, India's chemical industry has achieved strong growth in various segments
.
Specifically, petrochemicals are expected to grow at a CAGR of 7.
5%, agrochemicals at 8%, and specialty chemicals at 12%
.

Deloitte expects M&A activity in the Indian chemical industry to further accelerate due to strong macroeconomic performance and a positive industry environment
.