India approves Rs 3,030 crore BHAVYA Rasayan scheme to build three chemical parks

The Union Cabinet, chaired by Prime Minister Narendra Modi, approved the Bharat Audyogik Vikas Yojana Rasayan (BHAVYA Rasayan) scheme with a total outlay of Rs 3,030 crore. The plan allocates Rs 3,000 crore for common infrastructure and basic utilities in the parks and Rs 30 crore for administration, and will be implemented over five years from FY 2026‑27 to FY 2030‑31.

Each of the three new chemical parks will receive a central grant of up to Rs 1,000 crore, subject to a minimum state contribution of Rs 500 crore. The parks must cover at least 8 sq km (2,000 acres) of contiguous land and will provide plug‑and‑play facilities such as common effluent‑treatment plants, water supply, solvent recovery and logistics infrastructure. The scheme aims to strengthen domestic chemical manufacturing, attract investment, reduce logistics costs, boost downstream sectors such as agriculture, textiles, pharmaceuticals and automotive, and create employment while enhancing India's global competitiveness in the chemical industry.