Several people complained of nausea, headache and sore throat following leakage of waste acid at the High Explosives Factory (HEF) in Khadki near Pune Saturday morning.
The fire brigade section of the factory brought the situation under control quickly, an HEF release said.
"A minor incident took place today morning in the factory in one of the production sections at around 10.10 am during routine maintenance work. The incident was caused by minor leakage of waste acid," it said.
Local police said the leakage gave off fumes which spread to nearby areas, causing panic.
Some residents in the area and workers at the neighbouring Ammunition Factory Kirkee complained of headache, sore throat and nausea.
Thirty-six persons including 14 women were admitted to the factory hospital, a police official said. All of them were discharged later.
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