DIGITALIZATION: Digital transformation for chemical plants

The Indian chemical industry, contributing 7% to GDP, embraces digital transformation, IoT, and AI to enhance safety, sustainability, energy efficiency, and predictive maintenance.

- BY: Sunil David, Digital Technology Consultant, Ex- Regional Director - IOT, AT&T India

The Indian chemical industry, which employs 2mn people, contributes 7% to India's GDP and is gaining prominence globally, has emerged as one of the sunrise sectors and is expected to reach a market size of US$300bn by FY2025. The chemical industry in India is highly diversified, covering over 80,000 commercial products. The classification broadly includes specialty chemicals, agrochemicals, bulk chemicals, petrochemicals, polymers, and fertilisers. India's close proximity to the Middle East Region, a key source of petrochemicals feedstock, makes for economies of scale. India is also a strong global dye supplier, accounting for nearly 16% of the world production of dyestuff and dye intermediates. India's chemical industry was de-licensed many years ago, barring a few hazardous chemicals. The upcoming Petroleum, Chemicals and Petrochemicals Investment Regions (PCPIRs) and Plastic parks will provide the necessary state-of-the-art infrastructure for the growth of the chemicals and petrochemicals sector.

The chemical industry faces significant challenges, such as the impact of current geopolitical events, increasing competition, variable and fluctuating raw material prices, evolving environmental regulations and changing customer expectations. To navigate these challenges with agility and achieve sustainable growth, the sector needs to accelerate its digital transformation journey, leveraging digital technologies to improve efficiencies, reduce costs and enhance the safety of employees working in hazardous environments.

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