This comes at a time when there is a shortage of petrochemicals in the country with prices going up amid a growing interest in India’s petrochemicals sector. A case in point being Russia’s largest integrated petrochemicals company PJSC SIBUR Holding being in talks with state-run Indian Oil Corporation Ltd (IOC) to enter into a partnership for setting up large petrochemical capacity in India as reported by Mint earlier.

“Together with the Government of Rajasthan, the Government of India has established CIPET: Institute of Petrochemicals Technology, Jaipur. It is self-sustainable and dedicatedly serves the needs of the petrochemical and allied industries,” Prime Minister’s Office said in a statement.

India wants to leverage its position as a key refining hub in Asia to boost its petrochemical capacity. India, which has an installed capacity of more than 249.36 million tonnes per annum (mtpa) with 23 refineries, plans to increase its refining capacity to 400 mtpa by 2025.

“Prime Minister Shri Narendra Modi will inaugurate CIPET: Institute of Petrochemicals Technology, Jaipur and also lay the foundation stone of four new medical colleges in Banswara, Sirohi, Hanumangarh & Dausa districts of Rajasthan on 30th September 2021 at 11 AM via videoconferencing,” the statement said.

According to Crisil Research, India has a petrochemicals manufacturing capacity of 14 mtpa and recorded a domestic market size of 15 million tonnes in FY20. India’s petrochemicals manufacturing space has major players such as Mukesh Ambani controlled Reliance Industries Limited and Indian Oil Corp. Also, Adani Enterprises Ltd recently incorporated Adani Petrochemicals Ltd as a wholly-owned subsidiary marking the Gautam Adani controlled firm’s entry into petrochemicals sector.