The Union Cabinet has approved the Bhavya Rasayan Scheme (Bharat Audyogik Vikas Yojana Rasayan) with a financial outlay of Rs. 3,030-crore to establish three dedicated chemical parks across the country, aiming to strengthen India's chemical manufacturing ecosystem, attract investment, and reduce import dependence.
The scheme, announced in the Union Budget for FY27, will run for five years from FY2026-27 to FY2030-31. Of the total outlay, Rs. 3,000-crore has been earmarked for developing common infrastructure and basic utilities in the parks, while Rs. 30-crore has been allocated for administrative expenses.
Under the scheme, the Centre will provide grants of up to Rs. 1,000-crore for each park, subject to a minimum contribution of Rs. 500-crore from the respective state government.
The three parks will be selected through a challenge-based competitive process, with each required to have a minimum contiguous area of 8 square kilometers (2,000 acres) of encumbrance-free land. They will offer plug-and-play infrastructure for chemical manufacturers, including common effluent treatment plants, treatment, storage and disposal facilities, water supply and distribution systems, solvent recovery and distillation units, steam generation and distribution networks, interconnected pipelines, and logistics and warehousing facilities.
The government said the scheme was designed to support the development of upstream, downstream, and ancillary chemical industries while lowering logistics costs through shared infrastructure, and would help improve India's integration into global value chains, boost exports, encourage import substitution, and strengthen the sector's global competitiveness.
Shared infrastructure could lower operational costs for manufacturers by 20-30%, the government said, while centralized facilities for hazardous and non-hazardous waste management would help improve environmental compliance and support eco-friendly industrial development.
The chemical parks are expected to benefit a range of downstream sectors, including agriculture, textiles, pharmaceuticals, nutraceuticals, construction, automobiles, and electronics, in line with the government's Viksit Bharat 2047 vision and its broader Atmanirbhar Bharat goal.