Centre moots chemical investment zones in Myanmar, Iran

To set up steering committees to expedite establishment of PCPIRs

The Union government is mulling the idea of a Special Economic Zone for the Indian chemical industry in Myanmar and Iran, dubbed a ‘Reverse SEZ’.

The idea, says Ananth Kumar, the Union minister for chemicals and fertilisers, is to help Indian companies to set up manufacturing facilities where raw material is available in abundance.

Speaking at the launch of the ‘India Chem 2014’ exhibition here, he said he’d talk to the finance and external affairs ministries, before discussing the idea with the governments of these two countries. The proposal, he said, was at a preliminary stage. He said establishment of reverse SEZs in Myanmar and Iran would help the chemical industry to source raw material and feedstock at affordable rates.

Kumar also talks would be held with the petroleum ministry for pooling the price for domestic and imported gas to be supplied for the fertiliser sector. On the Petroleum, Chemicals & Petrochemicals Investment Regions set up at Dahej (Gujarat), Visakhapatnam and Kakinada in Andhra, Paradip in Odisha and Cuddalore and Nagapattinam in Tamil Nadu, he said four steering committees comprising various ministries will be formed within a month to accelerate the implementation.

“So far, the government has invested Rs 1,47,000 crore to set up PCPIRs, which have created 2,25,000 jobs. A total investment of Rs 7,70,000 crore is envisaged for all PCPIRs, which will eventually lead to creation of 3.4 million jobs,” he said.

The minister said his ministry's priorities included providing basic infrastructure for chemical clusters and ethanol blending.

Fast-tracking PCPIRs

Kumar said the Government has set up specially delineated investment regions in the form of PCPIRs (Petroleum, Chemicals & Petrochemicals Investment Regions) at Dahej, Gujarat, Vishakhapatnam and Kakinada in Andhra, Paradip in Orissa and Cuddalore and Nagapattinam in Tamilnadu. He announced that four steering committees comprising various ministries will be formed within a month to accelerate the implementation.

''So far the government has invested Rs 1,47,000 crore to set up PCPIRs which have created 2,25,000 jobs. A total investment of Rs 7,70,000 crore is envisaged for all PCPIRs which will eventually lead to creation of 3.4 million jobs,'' he informed.

Kumar said that his ministry's priorities also include providing basic infrastructure for chemical clusters and ethanol blending. He in formed that the government will play a role of facilitator to ensure relevant push for the industry.