Maharashtra plans to develop a mega chemical industrial park spanning 2,500 to 5,000 acres near the upcoming Vadhvan Port in Palghar district, Chief Minister Devendra Fadnavis announced on Thursday, positioning the port as a key driver of the state’s industrial and chemical sector growth.
Speaking at the inauguration of India Chem 2026 in Goregaon, Mumbai, Fadnavis said the state would seek the Centre’s approval for the proposed park under the BHAVYA Rasayan scheme. He said the Vadhvan Port, expected to be ready in about three years, would create significant opportunities for developing chemical industry clusters and supporting infrastructure.
The proposed park is part of the Centre’s initiative to establish three chemical parks across the country through a competitive selection process. Under the scheme, each park must have at least 2,000 acres of contiguous land and provide common infrastructure, including effluent treatment facilities, pipeline networks, logistics and warehousing.
Union Chemicals and Fertilisers Minister J.P. Nadda said the Centre would provide ₹1,000 crore towards the initiative, while the state government would contribute ₹500 crore. The Centre would also facilitate environmental clearances for the selected projects.
Vadhvan Port is being developed as an all-weather, deep-draft greenfield major port by Vadhavan Port Project Ltd, a joint venture of the Jawaharlal Nehru Port Authority (JNPA) and the Maharashtra Maritime Board. Approved by the Union Cabinet in June 2024, the project envisages nine container terminals, four multipurpose berths and four liquid cargo berths, with an annual cargo-handling capacity of 298 million tonnes, including around 23.2 million TEUs. Road connectivity to national highways and rail links to the existing network and the upcoming Dedicated Freight Corridor are also planned.
Fadnavis said the port, along with JNPA, India’s largest container port, would strengthen Maharashtra’s position as a major destination for chemical manufacturing and exports.
Maharashtra currently has around 3,600 chemical-sector units, accounting for 19% of the sector’s gross value added and 17% of chemical exports, while employing approximately three lakh people, according to the Chief Minister. He said employment in the sector could double as investment and industrial development expand.
Nadda said India’s chemical industry, currently valued at around $220 billion, aims to reach $1 trillion by 2040. Improved connectivity and infrastructure would be important to achieving this target. He also noted that advanced chemicals and petrochemicals had been included in the Centre’s ₹1 lakh crore research, development and innovation scheme.
However, the proposed development will need to account for environmental considerations. Dahanu taluka, where Vadhvan Port is being developed, was declared an ecologically fragile area under a 1991 Central Government notification issued under the Environment (Protection) Act, 1986, imposing restrictions on environmentally harmful industries.
Fadnavis also said Maharashtra’s chemical industry policy was in its final stages and would be released in the first week of November. The state is seeking to streamline approvals through its Maitri single-window platform and the Invest Maharashtra initiative to attract investment and accelerate industrial growth.