Chemical Intermediates

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Chemical intermediates are a part of petrochemicals which are then processed further in order to derive chemicals of various kinds. In theIndian economy, theIndian petrochemical sector is among the fastest growing sectors. It is a highly technology-oriented and capital-intensive sector.

The various chemical intermediates are:

  • Mono ethylene glycol
  • DMT
  • Linear Alkyl Benzene
  • Acrylonitrile
  • Vinyl Chloride
  • Phthalic anhydride
  • Caprolactin

Of all the various intermediates of chemicals, mono-ethylene glycol forms an important segment, with a market size of around Rs 715 crore. The major companies involved in the production of mono-ethylene glycol are RIL which produces 42% of mono ethylene glycol, IPCL which produces 22%, andIndian Glycol which produces 10% of the total output. As the total production of mono-ethylene glycol is not enough to meet domestic demands entirely, around 26% of mono-ethylene glycol used inIndia is imported.

Linear alkyl benzene is the most important constituent of the intermediates of chemicals. Its market size is the largest, amounting to a whopping Rs 1100 crore. As the quantity of linear alkyl benzene produced in the country is not enough to meet the domestic demand, around 9% of the total consumption is imported. The companies producing linear alkyl benzene are RIL which produces around 31%, TN Petro which produces 35%, IPCL which produces 24%, and NIRMA which produces 1%.

A chemical intermediates by-product is caprolactin which has a market share of ` 575 crore, around 1% of which is imported. GSFC is a major company which manufactures around 52% of caprolactin inIndia. Another by-product of chemical intermediates is phthalic anhydride. It has a market share of ` 390 crore. The major companies which manufacture phthalic anhydride are Thirumalai Chemicals which produces 24%, IG Petro which produces 34%, Asian paints which produces 16%, Mysore Petro (10%), and Ganesh Anhydride (3%).

Chemical intermediates are an important part of theIndian petrochemical industry so efforts must be taken that the quality and the supply of it is well maintained. And for this, theIndian petrochemical industry and the government ofIndia must make a combined effort.

Last Updated on 13 December 2011