India’s chemical sector has emerged as one of the fastest-growing industries, projected to grow at a compound annual growth rate (CAGR) of 12.4%, reaching USD 64 billion by 2025. The sector plays a crucial role in supporting various industries, including pharmaceuticals, agriculture, and textiles, making it a key contributor to India's industrial growth. Additionally, the Indian government has introduced favourable policies to promote the domestic production of chemicals, including incentives for greenfield projects and enhanced regulatory support for environmental clearances.
A leading Indian specialty chemical manufacturer engaged Primus Partners to facilitate the establishment of a new INR 200+ crore manufacturing facility in western India. This strategic move was designed to optimize the company's proximity to raw material sources and key markets in the northern and western regions of the country. The new facility would enhance supply chain efficiency, expand the company’s market reach, and improve overall production capacity.
Our Approach
Primus Partners adopted a holistic approach to facilitate the successful grounding of the investment for the new facility. Our services spanned across multiple areas, ensuring a smooth process from conceptualization to operationalization:
Location Feasibility Study: We conducted a comprehensive study, analyzing various potential locations based on logistics, proximity to raw materials, and access to major markets. A detailed report was drafted to provide insights into the best possible site for the new facility.
Regulatory Compliance Support: Ensured that all regulatory documentation and compliance measures were in place, including environmental clearances and adherence to chemical industry regulations.
Regulatory Approvals Assistance: Primus Partners provided support in filing regulatory approvals for the project’s operationalization, including applications for government incentives such as tax breaks and subsidies.
Government Coordination: Worked closely with state government officials to fast-track approvals and ensure the client received the necessary clearances without delays.
The Benefits
Job Creation: The facility will generate high-skilled jobs in research, development, and manufacturing
Industrial Cluster Development: The new plant will contribute to the growth of industrial clusters focused on specialty chemicals, attracting allied industries and suppliers
Local Economic Boost: The investment will promote economic development in the region through increased industrial activity and job opportunities
