The chemical industry, supplying materials for a wide range of sectors such as agriculture, the automotive sector, construction and pharmaceutical chemicals, has an important role to play in today's world. Chemicals are the building blocks of civilization, from pharmaceuticals and plastics to farming and electronics. We will explore the history, current situation and future prospects of the chemical industry with a particular emphasis on global and Indian scenarios in this blog post. The role of chemical databases in this industry will also be explored.
The chemical industry has a long history, from the days of alkali and limestone refining by artisans to manufacture glass. The Industrial Revolution was preceded by the birth of a heavy chemical industry, which is characterized by its production of highly refined chemicals. Sulphur acid was one of the first chemicals to be produced in great quantities by means of manufacturing processes. Over time, new processes and products have been introduced in the sector which has evolved and diversified.
Today, the chemical industry is a complex and crucial part of the world's economy. For industrial and consumer products, it converts raw materials like oil, natural gas, air, water, metals or minerals into commodity chemicals. This includes a wide range of sectors, such as petrochemicals, agrochemicals, specialty chemicals and more. Intense competition, rapid technological developments and increasing focus on sustainability and environmental responsibility characterize the sector. The overall revenue of the global chemical industry stood at more than USD 4.7 trillion in 2021. (Courtesy: Statista)
The Indian chemical industry is one of the biggest in the world. In terms of revenues, it was 5th in the world by 2020. In doing so, it plays an essential role in the country's development process by providing resources to a number of end use sectors. (Courtesy: McKinsey)
The future of the chemical industry is expected to be shaped by several factors, including sustainability, demographics, and technology. The American Chemistry Council expects that capital spending for the US chemical industry will remain mostly unchanged year over year in 2024 before ramping up to a growth rate of 3%–4% annually in 2025–2026. (Courtesy: Deloitte)
Several factors, including sustainability, demographics and technology, are expected to shape the future of the chemical industry. In 2024, with increasing to a growth rate of 3% and 4% annually in 2025 and 2026, respectively, the American chemistry council expects that US chemical industry capital expenditure will remain broadly unchanged year on year.
India has shown strong growth at home and an impressive export footprint, positioning itself as a major player in the world chemical industry. A wide range of products are included in the national chemical industry, which includes Basic and Specialized Chemicals. Government initiatives such as 'Make in India' and 'CPIP Region of Petrochemicals & Chemicals Investment' are designed to stimulate local manufacturing and attract FDI into this sector.
By 2025, India's chemical industry is expected to grow by 9.3% and reach USD 324 billion. (Courtesy: IBEF) On the back of growing demand from end users of specialty chemicals and petrochemicals, this growth is expected.
The chemical database plays an important role in the chemical industry. They allow organizations to collect data from both internal and external sources, systemize them for analysis, development and running queries, and then write reports, build data visualizations and dashboards to make the results of the analysis relevant and accessible.
Chemxpert database, a top API pharma database company in India is an invaluable source of information in the chemical and pharmaceutical industries regarding supply, marketing, business development, R&D, production and regulatory activities. Chemxpert is a one-stop solution for pharmaceutical and life sciences industries, providing an extensive range of data on buyers, suppliers, market size, clinical trial information, regulatory insights as well as pricing trends. Some of the chemicals that are covered by the Chemxpert Database includes titanium dioxide, hydrogen peroxide, nitric acid, phosphoric acid, propylene, sodium hydroxide, etc.
In conclusion, the chemical industry has grown rapidly and continues to evolve in response to global developments and challenges since it began. In the future, this sector is anticipated to grow significantly because of advanced technology and variation in consumer needs as well as increased focus on sustainability. Chemical databases such as Chemxpert database are essential software to provide valuable information and assisting in the decision making through this journey.