Chemicals Export Opportunities: India’s chemical industry is growing rapidly. Globally, businesses are looking for alternatives to China and are starting to change their supply chains. The domestic consumption of chemicals is growing yearly and it is a matter of time before India becomes a key supplier of bulk solvents and specialty chemicals across the world.
The bulk solvents methanol and DMF, acetone and acetonitrile are used in pharmacy and paints, agrochemicals, and adhesives. High value intermediates such as amines, esters and other specialty chlorinated compounds are required for API and specialty chemicals.
As India imports these chemicals, as pointed out by Chemical Weekly (August, 2025), there is a significant opportunity for these chemicals to be produced and exported globally.
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India’s Inventory of Solvents and Intermediates
India imports every month methanol, acetonitrile, DMF, acetone and toluene. The ports of Kandla, Mumbai, and Vizag are major entry points. Agrochemicals and Pharma industries are the primary consumers of these chemicals and are of significant importance in the growing domestic industry.
Exports that hold higher value such as the derivatives of acrylics, amines, and esters, are trending as well. With India’s world class and well-established specialty chemicals and pharmaceuticals exemplars, India is ready to exponentially grow export of intermediates and production to fulfil the voids in the global demand.
Read More: How to Start Exporting Specialty Chemicals
Trade Opportunities
Bulk imports of Methanol, Acetone, and Acetonitrile DMF are done by India from the Middle East, whereas DMF and Acetonitrile imports are done due to the domestic supply being insufficient.
India’s portfolio for exportation now includes Republics in Latin, Southeast, and even Africa which have recently started substituting Chinese exporters. With the abundance of intermediates including specialty chemicals and generic medicine, the country is in high demand. Consequently, India is in a prime position to expand the global network of its startups.
Growth Factors
The increase in activities in this industry has been as a result of the factors stated below:
- With changed guidelines, India has exponentially increased production of chemicals within its borders.
- Packaging, automotive and, local market provide readily accessible demand.
- With cheap labor available, India has become a prime candidate for manufacturing to eliminate the dependancy with China.
- Increasing demand for Pharmaceuticals, Agro, and Paints has led to growth of the industry.
The green and sustainable solvents have also created new opportunities for new businesses. The leap in technology and demand makes this an interesting and profitable proposition for Indian entrepreneurs too.
Basic Manufacturing Processes
- Bulk Solvents: Methanol: Manufactured from natural gas via steam reforming and synthesis.
- Acetonitrile: Obtained as a byproduct in the synthesis of acrylonitrile.
- Acetone: Produced by the oxidation of cumene and also photodisproportionates for phenol.
- DMF: Obtained from the reaction of dimethylamine and carbon monoxide under high pressure.
Read More: Top 10 Chemical Import-Export Trends India’s Entrepreneurs Can Capitalize on
High-value Intermediates
- Amines and esters: Obtained by carrying out techno-economic grade hydrogenation and economical esterification on a curtailed scale.
- Chlorinated derivatives: Obtained by the careful addition of the hydrocarbon and chlorine.
- Acrylic derivatives: Derived from the reaction of acrylic acid and alcohols for various classes of coatings and adhesives.
These activities require the use of a skilled workforce and advanced technology in an environmentally sustainable manner.
Opportunities for Startups
In India, it seems that the following areas in which new businesses can operate would be of economic value:
- Import substitution: Setting up local manufacturing facilities for DMF, Methanol and Acetonitrile and export.
- Export opportunities: Supplying the international market with high-value intermediates.
- Green Chemistry: Research and development of bio-safer solvents for the American and European markets.
- Contract Manufacturing: Working with other international companies that require reliable partnerships.
- Downstream Integration: Adding value to Polymers and formulations, to finished adhesives and coatings.
With the right plans and technology, these opportunities can be very profitable.
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Opportunities by Segment
- Methanol Substitution – 90% import replacement by producing it locally.
- Pharma Solvents – Provide acetonitrile and DMF of pharma grade for import and export.
- Agrochemical Intermediates – Supply chlorine and acrylic derivatives to the pioneer and developing markets.
- Green Solvents – Supply bioethanol-based solvents to the European and North American regions.
- Specialty Intermediates – Provide specialized esters and amines to manufacturers of fine chemicals.
Read More: How to Start Solvent Manufacturing in India
Learning from Business Leaders in India
The following entrepreneurs in India are important for learning.
- Mukesh Ambani – Showed the vital need for sustainable growth through diversification.
- Ratan Tata – Spread the need for powerful innovative brand with global vision.
- Kiran Mazumdar Shaw – How she put India on the world biotech map.
- Dilip Shanghvi – Gained world leadership for Sun Pharma through unyielding focus and expansion.
Their experiences illustrate that every undertaking and triumph starts with an idea and action.
Find the Best Idea for Yourself With our Startup Selector Tool
How NPCS Can Assist You
Niir Project Consultancy Services takes great pride in aiding entrepreneurs actualize their novel ideas into fully-fledged businesses.
There are project flow diagrams, raw materials and machines, cost, demand, and profit analysis. NPCS ensures that its clientele is able to assess project feasibility, enhance their planning, and expedite loan approval to guarantee that the chemical projects that they undertake are successful.
Find the Best Idea for Yourself With our Startup Selector Tool
Conclusion
India’s youth would have the most to gain from the ability to export bulk chemicals, chemical intermediates and industrial solvents. This would help boost the economy, being innovation and entrepreneurship.
With a plethora of viable and sophisticated startups, India is bound to attract global demand in a decade. A proven fact that entrepreneurs will come to learn, is that an investment, coupled with a well planned actionable strategy, will set the foundation for a globally sustainable business.
FAQs
1. What are bulk solvents?
A. “Bulk solvents” would refer to the base chemicals such as methanol and the like that are used in pharma, paints, adhesives like acetone and acetonitrile.
2. What are labeled as high value intermediates?
A. They are unique chemicals that are part of APIs, specialty and fine chemicals, which are of higher value in exports than otherwise.
3. Why does India continue to import solvents?
A. India does not meet its self-sufficient demand for solvent production, and therefore imports them in large quantities from the Middle East and China.
4. In what ways can start-ups benefit from export led growth?
A. Start-ups can their own production facilities, greatly reduce importation, and then sell to markets that are looking for alternatives to the industry-dominant supplier, China.
5. In what ways can NPCS assist in the development of chemical start-ups?
A. NPCS can offer entrepreneurs the DPRs and professionally devised tender documents which need to be executed for funding and then the project reports, which are structured documents defining project feasibility and funding that help in proper project execution.
