Maharashtra will come out with a separate Chemical Sector Policy by the end of October along with plans for chemical parks with up to 5,000 acres of area. The state is also planning to put a ₹1,000-crore fund for research, technology and innovation as it tries to make itself an attractive proposition for investment in chemical production.
The chemical parks have been proposed in Palghar, Raigad and Ratnagiri with areas varying between 2,500 acres and 5,000 acres. The state is also looking to fast-track clearances and facilitate ease of doing business.
Dr. P. Anbalagan IAS, Principal Secretary, Industries, Investment & Services Department, Government of Maharashtra, speaking at ASSOCHAM MahaChem 2026 said that the state is taking various steps to ensure creation of better ecosystem for the chemical sector through policy formulation, creation of chemical parks and promoting innovation and technology.
“Maharashtra is creating a Chemical Sector Policy and we will be having it by the end of October. This policy will look at the special needs of the sector and will supplement initiatives that are currently being taken for bio-plastics, biotechnology, bio-manufacturing and other upcoming sectors,” Dr. Anbalagan said.
Attention moves to high-value chemicals:
The new policy is seen as likely to facilitate investments into specialty chemicals, advanced materials, battery materials, electronic chemicals, advanced polymers, bioplastics, and other high-value product segments.
“The proposed ₹1,000-crore Maharashtra Industries and Investment Fund would provide support to research and development, technology-readiness, and innovations, along with facilitation of funding of technologies and companies.”
Praveen Pardeshi IAS, Chief Economic Advisor to Chief Minister and Chief Executive Officer, Maharashtra Institution for Transformation (MITRA), opined that chemicals and pharmaceuticals were critical for Maharashtra’s US$1 trillion economy vision.
“To achieve this objective, it is necessary not only to accelerate growth but also develop an environment which would facilitate increased private investments. In the case of strategic industries like chemicals and pharmaceuticals, competitive utility costs, flexible access to energy and sustainable water management would become extremely critical.”
Maharashtra sees potential worth US$22bn:
Devendra Fadnavis, Chief Minister of Maharashtra, invited investors to invest in the state.
“We invite investors to look at the opportunities in Maharashtra for their next venture. With an aim to provide a pro-business climate through the single window MAITRI platform, speedy clearances and policy incentives, the state plans to launch a sector specific Chemical Sector Policy shortly.”
“Based on ASSOCHAM-EY Report released at MahaChem 2026”, the chemical sector of Maharashtra is estimated to be worth around US$22 billion and has over 3,600 manufacturing units and 13 special chemical zones in the state. It accounts for about 19 per cent of chemical sector GVA in India and 17 per cent of chemical exports and provides direct employment to around 3 lakhs people.”
Milind Hardikar, Chairman, ASSOCHAM Maharashtra State Council, said: “It is at a very critical inflection point in its journey. It is all about not just increasing the capacities but moving toward specialty chemicals and value addition and sustainable green chemistry. There is a need to balance growth with supply chain resilience, raw material security and sustainable manufacturing.”
