India is accelerating the development of its polymer-based industrial ecosystem through the expansion of Plastic Parks, aimed at strengthening domestic plastic manufacturing, attracting investment, and promoting sustainable practices. The initiative, overseen by the Department of Chemicals and Petrochemicals, is being implemented under the New Scheme of Petrochemicals.
As part of the scheme, the government supports the creation of industrial clusters—termed Plastic Parks—by providing up to 50% of the project cost as grant-in-aid, with a maximum cap of ₹40 crore per project. These parks are designed to offer state-of-the-art infrastructure and shared facilities to consolidate the capacities of the downstream plastic processing industry.
So far, 10 Plastic Parks have been approved across various states including Madhya Pradesh, Odisha, Assam, Tamil Nadu, Jharkhand, Uttarakhand, Chhattisgarh, Karnataka, and Uttar Pradesh. Parks in Gorakhpur (UP) and Ganjimutt (Karnataka) were the latest to be greenlit in 2022. These hubs are not only intended to drive production and exports but also play a significant role in managing plastic waste through built-in recycling and waste treatment facilities.
According to government data, more than ₹258 crore has been released for Plastic Parks since 2013, with significant investment drawn to projects in states such as Tamil Nadu and Madhya Pradesh. The parks are managed by Special Purpose Vehicles (SPVs) set up by state governments, who also facilitate private sector participation through incentives and awareness programs.
The move aligns with India’s growing footprint in the global plastic trade. The country ranked 12th globally in plastic exports in 2022, up from 8.2 million thousand USD in 2014 to 27 million thousand USD, according to World Bank estimates.
In tandem with industrial expansion, the government is placing a strong emphasis on environmental sustainability. Plastic Parks are equipped with recycling sheds, effluent treatment plants, and hazardous waste management systems. The initiative is supported by Extended Producer Responsibility (EPR) regulations and bans on specific single-use plastics.
To support innovation, the Department has also established 13 Centres of Excellence (CoEs) at leading research institutions such as IIT Delhi, IIT Guwahati, and CIPET Bhubaneswar. These CoEs focus on sustainable polymer research, bio-engineered materials, and advanced polymer applications.
Additionally, the Central Institute of Petrochemical Engineering and Technology (CIPET) is offering a range of training programs to equip the workforce with the skills needed in the evolving plastics sector.
With continued focus on sustainability, innovation, and global competitiveness, the Plastic Parks initiative is poised to play a pivotal role in India’s ambition to become a major global hub for polymer production and environmentally responsible plastic processing.
