The minister for steel, chemicals and fertilisers Shri Ram Vilas Paswan has said that Rs 360 billion investment is likely to be made in the petrochemical sector during next five years.

The minister was speaking after releasing `National Policy on Petrochemicals` here today. He said the investment will increase ethylene capacity, the basic raw material for the industry, from the current level of 2.7 million tons to 6.9 million tons.

Expressing hope that the policy will help India to become a major global sourcing center in petrochemicals and plastics, the minister said that the implementation of Assam Gas Cracker project with an investment of Rs 54.60 billion an ethylene capacity of 220,000 tons per annum is being monitored by the ministry.

The minister said that domestic petrochemical industry employs about 340,000  persons both in upstream as well as downstream processing industry and has high potential to generate employment to the tune of 3.3 million more people during the 11th Plan.

The policy resolution aims to increase investments in the sector, capture a slice of resurgent Asian demand in polymers, creating quality infrastructure to ensure value addition and increase exports. The other objectives include to increase the domestic demand and consumption of plastics and synthetic fibres and to increase the use of petrochemicals in thrust areas. The existing per capita domestic polymer consumption of 4.7 kg is likely to be enhanced to 12 kg as compared to the existing world average of 25 kg per capita.

Earlier speaking on the occasion, the minister of state for chemicals & fertlisers, Shri B.K. Handique said that petrochemical industry has made significant contribution in the economic growth and development of the country.

He said that keeping in view India`s advantageous position in research and development front, the global companies from developed countries may look to India for investment and outsourcing their research requirements and India must be ready to seize the opportunity.