SYLLABUS

GS-3: Indian Economy and issues relating to planning, mobilization of resources, growth, development and employment; industrial policy and their effects on industrial growth.

Context: The Union Cabinet has approved the BHAVYA Rasayan Scheme to establish three dedicated Chemical Parks across India for strengthening the chemical and petrochemical sector through world-class common infrastructure.

About the Bharat Audyogik Vikas Yojana Rasayan (BHAVYA Rasayan) Scheme

• Announced in: Union Budget 2026–27 as a Central Sector Scheme.

• Implementing Period: FY 2026–27 to FY 2030–31 (5 years). 

• Total Financial Outlay: ₹3,030 crore 

• o ₹3,000 crore for developing common infrastructure and basic utilities. 
• o ₹30 crore for administrative expenditure. 

• Objective: To establish three dedicated Chemical Parks with plug-and-play common infrastructure and basic utilities for promoting investment, domestic manufacturing and competitiveness of India's chemical industry.

• Financial Assistance: 

• o Central grant of up to ₹1,000 crore per Chemical Park. 
• o Subject to a minimum contribution of ₹500 crore by the respective State Government. 

• Selection of Parks: Through a Challenge Route among States. 

• Land Requirement: 

• o Minimum 8 sq. km. (2,000 acres) of contiguous, encumbrance-free land for each park. 
• o Parks may be Greenfield or Brownfield, depending on the proposal of the State Government. 

• Estimated Investment: Each park is expected to attract ₹20,000–50,000 crore of investments, while the Central assistance is limited to common infrastructure. 

• Common Infrastructure Facilities: 

• o Common Effluent Treatment Plant (CETP). 
• o Treatment, Storage and Disposal Facility (TSDF). 
• o Hazardous Waste Management infrastructure. 
• o Water supply and distribution systems. 
• o Solvent recovery and distillation facilities. 
• o Steam generation and distribution network. 
• o Interconnected pipeline network. 
• o Logistics and warehousing facilities. 

• Coverage: The scheme supports the entire chemical value chain, including upstream, downstream and ancillary industries. 

Benefits of the Scheme

• Strengthens the Chemical Industry Ecosystem: Promotes the development of upstream, downstream and ancillary industries, enabling efficient resource utilisation and reducing logistics costs. 

• Enhances Global Competitiveness and Self-Reliance: Shared common infrastructure improves cost competitiveness, strengthens India's integration into Global Value Chains (GVCs), boosts exports, supports import substitution, and promotes Atmanirbhar Bharat by enhancing domestic production capacity.

• Attracts Investments and Generates Employment: Encourages domestic and foreign investments, creates large-scale direct and indirect employment, and stimulates growth in downstream industries. 

• Promotes Sustainable Industrial Development: Establishes a centralized environmental infrastructure—including Common Effluent Treatment Plants (CETP), Treatment, Storage and Disposal Facilities (TSDF), and hazardous waste management systems—to ensure better environmental compliance. 

• Creates a Multiplier Effect Across the Economy: Strengthens key sectors such as agriculture, textiles, pharmaceuticals, nutraceuticals, construction, automobiles and electronics, contributing to the vision of Viksit Bharat @2047.