- Petrochemicals
- Defence & Aerospace
- Media Business
- Green Hydrogen Manufacturing Ecosystem
- Solar Manufacturing
- Wind Turbine Generators
- Data Center
- Water
- Airports
- Roads
- Agri Fresh
- Digital Labs
- Natural Resources
- Commercial Mining
- Mining Tech Consultancy Services
- Integrated Resource Management (IRM)
- Copper Business
- Aluminium Business
The Company is currently developing a Polyvinyl Chloride facility with a capacity of 1 MMT per annum. The Company further plans to establish a petrochemical cluster in Mundra, Gujarat.
“The global PVC market is growing at 4%, while India’s domestic demand exceeds 4 MMT per annum, with only 1.5 MMT of production capacity, creating significant import substitution potential. Currently, MPL is developing a 1 MMTPA PVC plant. All long-lead items have been ordered, and the project is progressing as per schedule. MPL aims to explore more such opportunities of developing an integrated petrochemical cluster and reduce India’s import dependency in line with the Aatmanirbhar Bharat campaign.”
- MR JAYANT PARIMAL, CEO
1MMTPA PVC capacity planned at Mundra SEZ
Segment Overview
Introduction
The Company is currently developing a Polyvinyl Chloride (PVC) manufacturing plant with a capacity of 1 MMT per annum, and plans to establish a petrochemical cluster in Mundra, Gujarat.
India's annual PVC demand stands at 4.5 MMT, while domestic production capacity is only 1.5 MMT, resulting in a supply-demand gap of 3 MMT. Key demand drivers include agriculture, construction, and infrastructure sectors. The proposed PVC project aims to address this supply gap, reduce import dependency, and strengthen India’s petrochemical self-sufficiency.
Business Opportunities
India is poised to become a global petrochemical hub, driven by rising domestic investment, a push for import reduction, and sustained consumption growth. Currently valued at USD 220 billion, India ranks sixth globally in chemical sales, with petrochemical demand projected to grow at a CAGR of 8% over the next 15 years. The country’s strong macroeconomic fundamentals, growing population, and industrial expansion are key factors fueling this growth.
Despite low per capita consumption compared to developed nations, India has significant demand expansion potential, making it a focal point for investment in petrochemical manufacturing. India is expected to contribute 10% of incremental global petrochemical demand growth and expand its share beyond the current 4% of global capacity. According to the International Energy Agency (IEA), India will drive over a third of global oil demand growth by 2030 and nearly half by 2050, led by economic expansion, urbanisation, and industrial development.
Key policy reforms supporting petrochemicals growth:
- The government has allowed 100% foreign direct investment (FDI) in the petrochemicals sector through the automatic investment route
- Implementation of a scheme to support the establishment of need-based plastic parks with advanced infrastructure, facilitating common facilities through a cluster development approach. The government offers grant funding of up to 50% of the project cost, capped at ₹40 crore per project
- The government's initiative to establish a Centre of Excellence is anticipated to modernise the petrochemical industry. Incentives for innovation and inventions in the petrochemical and downstream plastic processing industry segments are also on the government's agenda
Business Edge
- Ready-to-serve market both in India and internationally, with a large and rapidly growing petrochemical sector
- Supportive government policies
- Well-trained talent pool and abundant availability of technical workforce
- Competitive talent costs
- Extensive availability of port-proximate SEZ, plug-and-play infrastructure
- Significant scope for product and process improvements
Outlook
Following the successful completion of the PVC project, the Company intends to explore new opportunities including the establishment of a petrochemical cluster in Mundra.
