The Scheme was announced in the Union Budget of FY 2026–27. Out of the outlay, Rs.3,000 crore towards meeting the cost of establishing the Common Infrastructure Facilities and Basic Utilities inside the park and Rs. 30 Crores as administrative expenditure. The scheme would run for a period of 5 years from FY 2026-27 to FY 2030-31, an official statement said.
As part of the scheme, the Centre would provide a grant of up to Rs.1,000 crore per park. This will be subject to minimum contribution of Rs.500 crore by the concerned State Government.
The Centre will facilitate development of three dedicated Chemical Parks by the State Governments under Challenge Route. Each such park will have a minimum contiguous area of 8 sq. km. (minimum 2,000 acres)Â of encumbrance-free land. These parks will provide plug-and-play infrastructure, in the form of Common Infrastructure Facilities and Basic Utilities for the chemical industry.
The scheme will promote development of the Chemical industry along the whole value chains including upstream, downstream and ancillary industries promoting efficient utilization of resources, leading to lower logistics cost.
Through shared Common Infrastructure Facilities and Basic Utilities, keeping the needs of chemicals industry in mind, it will lead to enhanced cost competitiveness and will make the Indian Industry globally competitive, the government said.
The scheme will help the Indian Chemical industry better integrate in Global Value Chains leading to greater exports and higher import substitution.
The sector produces Chemicals and Petrochemicals which are used in various downstream industries such as Agriculture, Textiles, Pharmaceuticals, Nutraceuticals, Construction, Automobile, Electronics, introducing BHAVYA Rasayan Scheme shall facilitate development of the sector by attracting domestic and foreign investments, enhancing domestic production capacity and generating employment, the government said.
