Cabinet approves Rs 3,030-cr BHAVYA-Rasayan Scheme for three Chemical Parks
New Delhi, July 24 (TNT): The Union Cabinet chaired by Prime Minister Narendra Modi on Friday approved the Bharat Audyogik Vikas Yojana Rasayan (BHAVYA-Rasayan) Scheme for setting up three dedicated Chemical Parks in the country.
The scheme, announced in the Union Budget for FY 2026-27, has a total financial outlay of ₹3,030 crore and will be implemented over five years from FY 2026-27 to FY 2030-31.
Of the total allocation, ₹3,000 crore will be utilised for establishing Common Infrastructure Facilities and basic utilities inside the parks, while ₹30 crore has been earmarked for administrative expenses.
Under the scheme, the Centre will provide financial assistance of up to ₹1,000 crore per park, subject to a minimum contribution of ₹500 crore by the respective State Government.
The three Chemical Parks will be developed by State Governments through a challenge route. Each park will have a minimum contiguous area of eight square kilometres (2,000 acres) of encumbrance-free land.
The parks will provide plug-and-play infrastructure facilities for chemical industries, including Common Effluent Treatment Plants (CETP), Treatment, Storage and Disposal Facilities (TSDF), water supply systems, solvent recovery and distillation facilities, steam generation and distribution networks, interconnected pipeline networks, logistics and warehousing facilities.
The government said the initiative aims to promote the chemical industry across upstream, downstream and ancillary value chains, improve resource utilisation and reduce logistics costs.
The scheme is expected to enhance the cost competitiveness of Indian chemical manufacturers, support integration with global value chains, boost exports and promote import substitution.
The government said the development of chemical parks with centralised environmental management facilities would ensure better compliance with environmental regulations and promote sustainable industrial growth.
The initiative is also expected to support downstream sectors such as agriculture, textiles, pharmaceuticals, nutraceuticals, construction, automobiles and electronics, besides attracting domestic and foreign investments and generating employment opportunities.
The government said the scheme would strengthen the global competitiveness of India’s chemical sector, promote Atmanirbharta and contribute towards achieving the goal of Viksit Bharat @ 2047.
TNT KM
