#1सत्यमेव जयते GOVERNMENT OF GUJARAT Chemicals and Petrochemicals Sector Profile#2Indian Chemicals and Petrochemicals Industry: Quick Facts Turnover of the US$ 92 Bn industry in India 6th सत्यमेव जयते GOVERNMENT OF GUJARAT 6th largest in the world by turnover Share in Gross Value 2.2% Share in global output 7.1% Added within national manufacturing sector 7th largest importer 7th of chemicals in the world 17th 17th largest exporter of chemicals in the world US$ 14.4 Cumulative FDI 8th Bn attracted by the sector* 8th highest cumulative FDI earning sector for India 2#3Snapshot of Gujarat's chemicals and petrochemicals industry Gujarat accounts for 62% of India's petrochemical production, 30% of other chemicals production & 40% of chemical exports (organic and inorganic) • 50% share in exports of Inorganic Chemicals 39% share in exports of Organic Chemicals World's largest grassroots refinery in Jamnagar India's first operational Petroleum, Chemicals and Petrochemicals Investment Region (PCPIR) 4 refining complexes with combined capacity of 102 MMTPA providing feedstock सत्यमेव जयते GOVERNMENT OF GUJARAT India's first chemical port in Dahej Presence of more than 4,400 industrial units that manufacture chemicals and chemical products 6500 chemicals & petrochemicals are being produced Source: Annual Survey of Industries 2014-15; Chemicals & Petrochemicals Statistics at a glance: 2017, Ministry of Chemicals & Fertilizers, Department of Chemicals & Petrochemicals, Government of India 3#4Growth drivers for Gujarat's chemicals and petrochemicals industry Manufacturing sector contributing over 30% to State GDP. Strong manufacturing sector leads to continued high demand for chemicals, petrochemicals and intermediates Demand from the urban consumer: 43% of Gujarat's population resides in urban areas, fueling demand for consumer chemicals, plastics, paints, cosmetics etc. Six Smart Cities being developed in Gujarat will lead to increased demand for Construction Chemicals and Paints सत्यमेव जयते GOVERNMENT OF GUJARAT Presence of manufacturing units across the chemicals and petrochemicals value chain helps optimize supply chains and logistics costs Gujarat is a major producer of crops such as wheat, rice, groundnut, bajra, castor, cotton and mango which ensures continued demand for fertilizers and agro-chemicals Booming automotive sector in Gujarat will give rise to future demand for Automotive Chemicals Gujarat accounts for over 50% of India's polymer production. Plastics industry generates demand for petrochemical derivatives. 4#5Strong presence across the petrochemicals value chain 13% of India's Crude Oil production and 5% of Natural Gas production ओएनजीसी GSPC ~150 MMTPA crude oil import capacity Reliance adani Industries Limited TV ROSNEFT DEENDAYAL P सत्यमेव जयते GOVERNMENT OF GUJARAT 2 LNG regasification terminals with 15 MMTPA combined capacity PETRONET LNG LIMITED TOTAL OnGc 102 MMTPA refining capacity across 4 complexes 画 (इंडियन ऑयल Reliance ROSNEFT Industries Limited IndianOil >1 MMTPA cracking capacity Home to major petrochemical complexes ओपीएएल Reliance Industries Limited OPAL Reliance Industries Limited ओ पीएएल OPAL Clusters of derivatives, plastics and polymers manufacturing, spread across the State Sources: Ministry of Petroleum and Natural Gas, Govt. of India; Gujarat Maritime Board; Deendayal Port Trust; Gujarat Industrial Development Corporation 5#6Prominent chemicals and petrochemicals hubs and supporting infrastructure across the State सत्यमेव जयते GOVERNMENT OF GUJARAT 15 12 11 1 9 10 13 2 Sno. Detail 1 Refining complex operated by Reliance Industries Ltd. (68 MMTPA) 2 Refining complex operated by Rosneft (20 MMTPA) 3 Refining complex operated by Indian Oil Corp. Ltd. (13 MMTPA) 4 PCPIR at Dahej 5 LNG terminal operated by Petronet LNG (10 MMTPA) 6 India's first dedicated Chemical Port at Dahej (2.5 MMTPA) 7 LNG terminal operated by Shell Hazira (5 MMTPA) 8 Chemicals and Petrochemicals Manufacturing Cluster: Vadodara, Ankleshwar, Bharuch, Dahej, Surat, Hazira Chemicals and Plastics Manufacturing Cluster: Ahmedabad 9 4 10 Chemicals Manufacturing Cluster: Mithapur 14 11 Mundra Port 6 7 12 Sikka Oil Jetty (operated by Reliance Industries) 13 Vadinar Oil Terminal (operated by Kandla Port) 14 15 Upcoming Floating Storage and Regasification Unit (FSRU; floating LNG terminal) (5MMTPA) Upcoming LNG terminal at Mundra by GSPC (5 MMTPA) 6#7Leading exporter of 'Made in India' products and intermediates across the value chain Petroleum Inorganic Products Chemicals Organic Chemicals Dyes Agro Chemicals Fertilizer सत्यमेव जयते GOVERNMENT OF GUJARAT Cosmetics and Toiletries 61% share in national exports; 1st rank nationally 50% share in national exports; 1st rank nationally 39% share in national exports; 1st rank nationally 71% share in national exports; 1st rank nationally 62% share in national exports; 1st rank nationally 36% share in national exports; 2nd rank nationally 35% share in national exports; 1st rank nationally Value of exports: Value of exports: $ 19.3 Bn $ 363 Mn Value of exports: $ 1.88 Bn Value of exports: $ 1.4 Bn Value of exports: $ 1.3 Bn All data for 2016-17; Ministry of Commerce, Govt. of India Value of exports: $ 21 Mn Value of exports: $ 500 Mn 7#8Our chemicals, petrochemicals and intermediates serve markets around the world - सत्यमेव जयते GOVERNMENT OF GUJARAT North America South America Russia Europe GUJARAT China East Asia Middle East Africa P South East Asia Australia TIT Gujarat's major exports include: Petroleum Products, Organic Chemicals, Dyes and Agro Chemicals Petroleum Products Organic Chemicals Inorganic Chemicals Agro Chemicals Fertilizer Dyes Cosmetics and Toiletries 8#9Incentives offered under policies of Government of Gujarat • • • Assistance under Gujarat Industrial Policy, 2015 Financial assistance for industrial infrastructure Incentives for developing Industrial Parks Assistance to set up Logistics Parks Assistance to labor intensive industries Assistance for environment management Special Incentives for Mega/ Innovative Projects Assistance schemes for MSMEs ✓ Capital Investment Subsidy ✓ Interest Subsidy ✓ Venture Capital assistance सत्यमेव जयते GOVERNMENT OF GUJARAT ✓ Assistance for quality certification and patent registration ✓ Assistance for raising capital through SME Exchange ✓ Market Development Assistance Assistance under General Incentive Scheme, 2016 Tax reimbursement based on quantum of investment and location of the project* Assistance to Plastics Industry Interest Subsidy @ 7% per annum for interest payable on Term loans Tax reimbursement based on Fixed Capital Investment* *Govt. of Gujarat has announced that tax incentives will continue to be given under GST regime; quantum of assistance to be decided 9#10Partners in our progress Reliance Industries Limited PETRONET LNG LIMITED GaCl ओएनजीसी ओपी एएल (इंडियन ऑयल) ROSNEFT ongc OPAL IndianOil سابك Promoting Green Technology sabic KRIBHCO TOTAL गेल G TRAFIGURA GAIL Bharat Petroleum SINTEX FERTILIZER GUJARAT STATE G CHEMICALS LIMITED -BASF Deepak Nitrite Limited ACTIVE THINKING We create chemistry NIVEA 'TORAY' Innovation by Chemistry Pidilite fi Inspired by Science LANXESS Godrej agrovet Energizing Chemistry SRF G सत्यमेव जयते GOVERNMENT OF GUJARAT GSPC adani™ GNFC ΤΑΤΑ TATA CHEMICALS NIRMA BAYER BAYER GP IFFCO MOL CHEMISTRY OF SUCCESS AT WORK R RALLIS A TATA Enterprise 어 Dow heubach COMPETENCE IN COLOR GHCL G.L HUNTSMAN 10#11Petroleum, Chemicals and Petrochemicals Investment Region (PCPIR)#12Preferred investment destination for chemicals and petrochemicals sector सत्यमेव जयते GOVERNMENT OF GUJARAT Special delineated investment region of 453 sq. km. planned for the manufacturing of petroleum products, chemicals and petrochemicals World class 1.1 MMTPA multi-feed cracker - investment of $ 4.6 Billion (INR 30,000 Crore) Presence across the entire chemical value chain which enables cost competitive production Key information Investment Made & Committed in Manufacturing Investment in units that have commenced production Investment in units that are under implementation Investment on Infrastructure Development $ 27.4 Billion (INR 1,75,858 Crore) $ 10.9 Bilion (INR 69,869 Crore) $ 16.5 Billion (INR 1,05, 989 Crore) $ 2.5 Billion (INR 16,059 Crore) DFC Alignment DMIC Influence Area O Cities Investment Region Mundra Palanpur Mehsana Ahmedabad Vadodara Bharuch Surat Navsar Valsad Kandla Dholera Gujarat Dahej Mumbai PCPIR Source: Gujarat Industrial Development Corporation 12#13● Investment by the Anchor Tenant सत्यमेव जयते GOVERNMENT OF GUJARAT ONGC Petro Additions Ltd. (OPAL), a JV of ONGC, GAIL and GSPC has developed a world scale 1.1 MMTPA multi-feed cracker in the PCPIR OPAL's unit at PCPIR, is the largest petrochemical plant in India, developed at an investment of $ 4.6 Billion Dedication of OPAL Petrochemical to the Nation By Prime Minister Nra Modi , Dahej The OPAL Cracker Unit was dedicated to the nation by Hon'ble Prime Minister Mr. Narendra Modi, in March 2017 Source: Gujarat Industrial Development Corporation 13 GAIL: Gas Authority of India Ltd.; GSPC: Gujarat State Petroleum Corporation#14सत्यमेव जयते GOVERNMENT OF GUJARAT Advantage of the PCPIR Concentration of Petroleum, Chemical and Petrochemical estates around PCPIR Rich natural resources and feedstock Robust supporting infrastructure - road, rail, port, power, gas, water Chemical Port and Storage Facility at Dahej LNG regasification terminal at Dahej Efficient waste management - effluent disposal pipelines, solid waste disposal sites Quality Work Force, Peaceful Labour 14#15• Supporting infrastructure: Port Facilities _ Existing Infrastructure Dahej Port: 11.7 MMTPA Liquid Chemical Terminal: 5 MMTPA LNG Terminal: 12.5 MMTPA • Liquid fuel jetty: 2.12 MMTPA ⚫ Bulk cargo jetty: 3.8 MMTPA • • On-going development Gogha-Dahej Ro-Ro Ferry Service (distance between the two places reduced from 350 Km by road to 30 Km by sea) Jetty for handling Over Dimensional Cargo by Gujarat Maritime Board and Dahej SEZ Ltd. सत्यमेव जयते GOVERNMENT OF GUJARAT Proposed future development 41 MMTPA port for Solid Cargo, Liquid Cargo and Container Source: Gujarat Industrial Development Corporation Gogha Dahej 15#16Supporting infrastructure: Road, Rail & Air Road Airport • Existing Infrastructure 50 km of six lane Dahej-Bharuch State Highway connecting six lane Delhi- Mumbai National Highway and National Expressway • Internal roads in Dahej PCPIR Proposed development • Ahmedabad Vadodara National Expressway to be extended to Mumbai • Existing Infrastructure 85 km from domestic airport at Surat ⚫ 90 km from International airport at Vadodara • 250 km from International airport • at Ahmedabad Proposed development Greenfield airport for PCPIR Airstrip at Ankleshwar Source: Gujarat Industrial Development Corporation Rail सत्यमेव जयते GOVERNMENT OF GUJARAT Existing Infrastructure Connected to Delhi -Mumbai Broad Gauge railway line at Bharuch • Bharuch -Dahej rail line (62 km) for both goods and passengers Proposed development Delhi-Mumbai Dedicated Freight Corridor (DFC) Bharuch-Dahej broad gauge line to be connected to the DFC at Dayadra Jn. 16#17Supporting infrastructure: Power Supply Existing Infrastructure सत्यमेव जयते GOVERNMENT OF GUJARAT Four 220 KV sub-stations located at Dahej, Dahej SEZ, Rahiyad-Suva and Vilayat Seven 66 KV substations located at Dahej, Luna, Bhensali, Vilayat Gujarat Energy Transmission Corporation Limited (GETCO) has completed construction of 220 KV substation at Suva Dahej, which is operational 1600 MW gas based power plant by Torrent Power Ltd. in Dahej SEZ has been completed. Proposed development Two 220 KV, one 44 KV & nine 66 KV substations are planned in Dahej & Saykha area respectively within PCPIR Source: Gujarat Industrial Development Corporation 17#18Supporting infrastructure: Water, Effluent Disposal and Gas Water Effluent Treatment सत्यमेव जयते GOVERNMENT OF GUJARAT Gas Network Existing Infrastructure GIDC supplies 25 MGD raw water drawn from Narmada river at Nandand Angareshwar Proposed development Water supply scheme for 50 MGD water from Miyagam Branch Canal (130km) and 25 MGD water from Narmada River (65km) Existing Infrastructure • 90 MLD disposal pipeline of 40 km within PCPIR to dispose the effluent into deep sea (4.5 Km inside the sea) Proposed development Setting up of a CETP with capacity of 40 MLD by GIDC in Dahej 90 MLD disposal pipeline and 40 MLD CETP at Saykha Existing Infrastructure Gujarat Gas Company Limited (GGCL) owns and operates nearly 900 km of distribution pipelines in Bharuch district Proposed development All gas suppliers to extend network Source: Gujarat Industrial Development Corporation 18#19GIDC Saykha Chemical Zone सत्यमेव जयते GOVERNMENT OF GUJARAT Saykha Industrial Estate, developed by Gujarat Industrial Development Corporation is part of Gujarat PCPIR, and lies within the impact area of Delhi Mumbai Industrial Corporation Location: Within PCPIR - Bharuch District (Non-SEZ area) Total Area: 1,01,339 m2 Land Price: $25/m2 Electricity cost, excluding taxes ($/kWh): Approx. 0.107 Water availability: 50 MGD Water cost, excluding taxes ($/m³): Approx. 0.445 Closest ports: . • Dahej - within PCPIR Hazira -135 kms Railway Station: Bharuch -12 kms LNG available in region (SCM)/day): 31.92 MMTPA LNG cost, excluding taxes ($/SCM)): Approx. 0.385 KWh: Kilowatt hour; MGD: Million Gallons per Day; SCM: Standard Cubic Meter; GIDC 19#20Saykha industrial estate plan 2 Saykha Engineering Estate Saykha Textile Estate 3 Saykha Dyes & Pigments Estate Saykha Chemical/Dyes & Pigments Estate JANED ENGINEERING ESTATE SAYANA TEXTILES ESTATE SAYOHADYES & PIGMENTS ESTATE LES ESTATE 5 BRING ESTATE Juned Engineering Estate 6 Bhersam Engineering 7 Estate Argama Chemical Estate Source: Gujarat Industrial Development Corporation 3 A CHEMICAUS FEMENT ESTATE 200 सत्यमेव जयते GOVERNMENT OF GUJARAT ANDAMA CHEMICAL EINTATE 20 20#21Investment opportunities in Gujarat's chemicals and petrochemicals industry सत्यमेव जयते GOVERNMENT OF GUJARAT Manufacturing of feedstock for polymer industry: Ethylene and Propylene to reduce import dependence and lower costs for domestic polymer manufacturing Manufacturing of Specialty Chemicals: Textile Chemicals, Construction Chemicals, Automotive Chemicals which are expected to be in high demand going forward Development of dedicated Chemicals Logistics Park at PCPIR Dahej: Encompassing Container Freight Station (CFS), rail and road connectivity to port facilities; warehousing facilities Manufacturing of chemicals such as Aniline, Acrylic Acid, Methyl Diphenyl Di-isocynate (MDI) Phenol and Acetone Development of Tank Farms at Dahej PCPIR for storage of POL (Petroleum Oil and Liquids) 21#22Thank you www.imd-gujarat.gov.in www.ic.gujarat.gov.in www.indextb.com