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Maharashtra will unveil a dedicated Chemical Sector Policy by the end of October 2026, state officials announced at ASSOCHAM MahaChem 2026 in Mumbai.
The state also plans 2,500–5,000-acre chemical parks in Palghar, Raigad and Ratnagiri, and a ₹1,000-crore Maharashtra Industries and Investment Fund.
The fund will support research, technology readiness and innovation. The parks aim to draw investment into specialty chemicals, advanced materials, battery materials, electronic chemicals, advanced polymers and bioplastics.
P. Anbalagan, Principal Secretary, Industries, Investment and Services Department, Government of Maharashtra, confirmed the timeline and said, “Maharashtra is working towards a dedicated Chemical Sector Policy and we expect to have it in place by the end of October."
"The policy will address the specific requirements of the sector and complement initiatives already being developed across bioplastics, biotechnology, biomanufacturing and other emerging areas,” he added.
He said faster approvals and ease of doing business would remain priorities alongside the parks and fund.
$22-Billion Sector
The announcements coincide with an ASSOCHAM-EY report, "Maharashtra: Fuelling India's Trillion-Dollar Chemical Vision," which values the state's chemical sector at around $22 billion.
Per the report, Maharashtra has over 3,600 chemical factories and 13 designated chemical zones. The sector contributes about 19% of India's chemical-sector Gross Value Added (GVA) and 17% of its chemical exports.
It accounts for 13.5% of the state's industrial output and employs around 3 lakh people. The report flags further growth potential in specialty chemicals, battery materials, electronic chemicals, advanced polymers, specialty coatings, pharmaceutical and agrochemical intermediates, and bioplastics.
Trillion-Dollar Push
Praveen Pardeshi, Chief Economic Advisor to the Chief Minister and CEO of the Maharashtra Institution for Transformation (MITRA), said the chemical and pharmaceutical sectors were critical to the state's $1-trillion economy goal.
He tied this to utilities, energy, water access and policy reform and said, “Achieving this will require faster growth as well as an ecosystem that attracts greater private investment. For strategic sectors such as chemicals and pharmaceuticals, competitive utility costs, flexible energy access, sustainable water management and supportive policy reforms will be critical to strengthening Maharashtra's industrial competitiveness.”
CM's Investor Pitch
Chief Minister Devendra Fadnavis told ASSOCHAM the state remained committed to attracting fresh investment through faster clearances, policy incentives and the MAITRI single-window platform.
“We invite investors to look at Maharashtra for their next big venture. The state is committed to creating a pro-business environment through the single-window MAITRI platform, faster clearances and robust policy incentives. A sector-specific Chemical Sector Policy will soon be announced, which will further help attract investments and accelerate growth.”
He called the chemical and petrochemical sector a primary driver of the $1-trillion economy plan, pledging continued financial, logistical and administrative support.
Milind Hardikar, Chair, ASSOCHAM Maharashtra State Council, said the sector had reached an inflection point requiring a shift beyond capacity expansion.
“The sector is at a critical inflection point. This is not just about capacity expansion, but about a structural shift towards specialty chemicals, high-value derivatives and sustainable green chemistry. We need to balance growth with supply-chain resilience, raw material security and sustainable manufacturing, and this requires industry and government to work together.”
The state also plans 2,500–5,000-acre chemical parks in Palghar, Raigad and Ratnagiri, and a ₹1,000-crore Maharashtra Industries and Investment Fund.
The fund will support research, technology readiness and innovation. The parks aim to draw investment into specialty chemicals, advanced materials, battery materials, electronic chemicals, advanced polymers and bioplastics.
P. Anbalagan, Principal Secretary, Industries, Investment and Services Department, Government of Maharashtra, confirmed the timeline and said, “Maharashtra is working towards a dedicated Chemical Sector Policy and we expect to have it in place by the end of October."
"The policy will address the specific requirements of the sector and complement initiatives already being developed across bioplastics, biotechnology, biomanufacturing and other emerging areas,” he added.
He said faster approvals and ease of doing business would remain priorities alongside the parks and fund.
$22-Billion Sector
The announcements coincide with an ASSOCHAM-EY report, "Maharashtra: Fuelling India's Trillion-Dollar Chemical Vision," which values the state's chemical sector at around $22 billion.
Per the report, Maharashtra has over 3,600 chemical factories and 13 designated chemical zones. The sector contributes about 19% of India's chemical-sector Gross Value Added (GVA) and 17% of its chemical exports.
It accounts for 13.5% of the state's industrial output and employs around 3 lakh people. The report flags further growth potential in specialty chemicals, battery materials, electronic chemicals, advanced polymers, specialty coatings, pharmaceutical and agrochemical intermediates, and bioplastics.
Trillion-Dollar Push
Praveen Pardeshi, Chief Economic Advisor to the Chief Minister and CEO of the Maharashtra Institution for Transformation (MITRA), said the chemical and pharmaceutical sectors were critical to the state's $1-trillion economy goal.
He tied this to utilities, energy, water access and policy reform and said, “Achieving this will require faster growth as well as an ecosystem that attracts greater private investment. For strategic sectors such as chemicals and pharmaceuticals, competitive utility costs, flexible energy access, sustainable water management and supportive policy reforms will be critical to strengthening Maharashtra's industrial competitiveness.”
CM's Investor Pitch
Chief Minister Devendra Fadnavis told ASSOCHAM the state remained committed to attracting fresh investment through faster clearances, policy incentives and the MAITRI single-window platform.
“We invite investors to look at Maharashtra for their next big venture. The state is committed to creating a pro-business environment through the single-window MAITRI platform, faster clearances and robust policy incentives. A sector-specific Chemical Sector Policy will soon be announced, which will further help attract investments and accelerate growth.”
He called the chemical and petrochemical sector a primary driver of the $1-trillion economy plan, pledging continued financial, logistical and administrative support.
Milind Hardikar, Chair, ASSOCHAM Maharashtra State Council, said the sector had reached an inflection point requiring a shift beyond capacity expansion.
“The sector is at a critical inflection point. This is not just about capacity expansion, but about a structural shift towards specialty chemicals, high-value derivatives and sustainable green chemistry. We need to balance growth with supply-chain resilience, raw material security and sustainable manufacturing, and this requires industry and government to work together.”
