The Economic Survey 2025-26 highlights the steady and growing contribution of the Chemicals and Petrochemicals sector to the Indian economy. This sector was noted to account for 8.1% of the total manufacturing Gross Value Added (GVA) in FY24, highlighting its crucial impact on enhancing manufacturing efficiency and job creation. The sector exhibits robust backward connections with petroleum refining and natural gas processing, along with significant forward connections to numerous downstream industries such as the automotive sector, pharmaceuticals, agriculture, plastics, and consumer products. The Economic Survey highlights that due to these robust connections, the industry has managed to endure global supply chain disruptions, aided by the substantial domestic market and growing export potential. In the past ten years, the output of key chemicals and petrochemicals has demonstrated a steady rise, indicating favourable industrial performance. The output rose from 45,638 thousand metric tonnes (MT) in FY16 to 58,617 thousand MT in FY25, reflecting a CAGR of 2.8% for FY16-FY25. This steady rise in production levels signifies the growing competitiveness and expansion of capabilities, driven by technology implementation, investment in advanced processing units, and policy backing for growth. With India's intention to become a global leader in chemical production, the Economic Survey highlights the industry's crucial contribution to improving industrial performance, economic resilience, and growth.