INDIA'S PETROCHEMICAL SECTOR TO EXPAND FOUR-FOLD BY 2016

By P. Vijian

NEW DELHI, May 20 (Bernama) -- A top industry body has forecast that India's
petrochemical sector would grow four-folds or between 12 and 15 per cent in the
next five years.

The Associated Chambers of Commerce and Industry of India said India was
strategically located to tap the industry, which is now shifting to Asia
and West Asia.

"The global chemical and petrochemical industries have moved eastward
towards the Middle East and Asia with major hubs being set up in these regions.

"This simultaneously represents a tremendous window of opportunity for
Indian chemical and petrochemical industries," said the chamber in a statement
Friday.

India's petrochemical industry is worth about US$40 billion dollars (RM120
billion) and nearly one million people are employed in the sector.

However, it warned that India would face stiff competition from
well-established players like China, Singapore and West Asia.

"India needs to maintain certain level of competitiveness and cost
effectiveness to tackle this competition," the chamber added.