The Union Budget 2026-27 has proposed three new dedicated Chemical Parks to enhance domestic chemical production and reduce import dependency. Ministry of Chemicals and Fertilizers said that the budget has provision for Carbon Capture Utilization and Storage (CCUS) technologies to achieve higher readiness level in end use applications across five industrial sectors including chemicals.
Twenty thousand crore rupees have been proposed to facilitate CCUS technologies over the next five years. CCUS aims to reduce carbon emission by either storing or reusing it so that captured carbon dioxide does not enter the atmosphere. A scheme to revive 200 legacy industrial clusters has also been announced in the Budget. It will improve cost competitiveness and efficiency through infrastructure and technology upgradation in the Chemicals and Petrochemicals sector.
