India to account for 20% of global plastics capacity additions by 2030

India is poised to significantly expand its plastics production capacity to meet surging domestic demand, underpinned by rapid industrialisation, urbanisation, and a fast-growing manufacturing sector. Accounting for about 20% of the expected capacity additions worldwide by 2030, India is expected to remain a significant player in the global plastics landscape, according to GlobalData.

GlobalData’s latest report, Global Plastics Market: Key Trends, Product Analysis and Upcoming Projects to 2030, says that India is likely to witness total plastics capacity additions of 27.01 million tonnes per annum (mtpa) from 22 under-construction and 28 pre-construction projects during 2026-30. 

Nivedita Roy, Oil and Gas Analyst at GlobalData, comments: “The plastics capacity surge in India is driven by rapid demand growth from a plethora of industries. The highest demand is from packaging, supported by the country’s booming e-commerce and retail sectors. Meanwhile, the automotive sector is increasingly reliant on plastics. In addition, the consumer goods, electronics, and healthcare industries also contribute significantly to rising plastic demand in India.”

Other key drivers for India’s plastics sector include large-scale infrastructure projects, such as smart cities and transport corridors, which require vast quantities of versatile plastic materials. Additionally, government-backed initiatives like ‘Plastic Parks’ have been established to foster localised manufacturing hubs, incentivize innovation, and reduce dependence on imports, while boosting export capabilities.

Major companies driving India’s plastics capacity surge include Reliance Industries Ltd and Bharat Petroleum Corp. Collectively, these players are expanding capacities to meet rising demand and reduce dependence on imports, keeping India at the forefront of the international plastics industry.