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By:

Akhilesh Sinha

25 June 2025 at 2:53:54 pm

Nadda's strategic meet signals urgency for chemical sector

New Delhi: As war simmers across the volatile landscape of West Asia, whether in the form of a direct confrontation between Israel, United States and Iran, or through Iran's hybrid warfare involving groups like Hezbollah and the Houthis, the tremors are no longer confined to the region's borders. They are coursing through the arteries of the global economy. India's chemicals and petrochemicals sector, heavily dependent on this region for critical raw materials, finds itself among the earliest...

Nadda's strategic meet signals urgency for chemical sector

New Delhi: As war simmers across the volatile landscape of West Asia, whether in the form of a direct confrontation between Israel, United States and Iran, or through Iran's hybrid warfare involving groups like Hezbollah and the Houthis, the tremors are no longer confined to the region's borders. They are coursing through the arteries of the global economy. India's chemicals and petrochemicals sector, heavily dependent on this region for critical raw materials, finds itself among the earliest and hardest hit by this geopolitical turbulence. It is in this backdrop that the recent meeting convened by Union Minister for Chemicals and Fertilisers J. P. Nadda at Kartavya Bhavan must be seen not as a routine consultation, but as a signal of strategic urgency. India's ambition to scale this sector from its current valuation of $220 billion to $1 trillion by 2040, and further to $1.5 trillion by 2047, will remain aspirational unless the country confronts its structural vulnerabilities with clarity and resolve. India today ranks as the world's sixth-largest producer of chemicals and the third-largest in Asia. The sector contributes 6-7 percent to GDP and underpins a wide spectrum of industries, from agriculture and pharmaceuticals to automobiles, construction, and electronics. It would be no exaggeration to call it the backbone of modern industrial India. Yet, embedded within this strength is a paradox. India's share in the global chemical value chain (GVC) stands at a modest 3.5 percent. A trade deficit of $31 billion in 2023 underscores a deeper issue: while India produces at scale, it remains marginal in high-value segments. This imbalance becomes starkly visible when disruptions in West Asia choke the supply of key feedstocks, shaking the very foundations of domestic industry. Supply Disruption The current crisis has laid this fragility bare. Disruptions in the supply of LNG, LPG, and sulfur have led to production cuts of 30-50 percent in several segments. With nearly 65 percent of sulfur imports sourced from the Middle East, the ripple effects have extended beyond chemicals to fertilisers, plastics, textiles, and other downstream industries. Strategic chokepoints such as the Strait of Hormuz have witnessed disruptions, pushing shipping costs up by 20-30 percent and adding further strain to cost structures. This is precisely where Nadda's emphasis on supply chain diversification and resilience appears prescient. In today's world, self-reliance cannot mean isolation; it must translate into strategic flexibility. While India imports crude oil from as many as 41 countries, several critical inputs for the chemical industry remain concentrated in a handful of sources, arguably the sector's most significant vulnerability. Opportunity Ahead A recent report by NITI Aayog outlines a pathway to convert this vulnerability into opportunity. It envisions raising India's GVC share to 5-6 percent by 2030 and to 12 percent by 2040. If achieved, the sector could not only reach the $1 trillion mark but also generate over 700,000 jobs. However, this transformation will demand more than policy intent, it will require sustained investment and disciplined execution. The most pressing challenge lies in research and innovation. India currently spends just 0.7 percent of industry revenue on R&D, compared to a global average of 2.3 percent. This gap explains why the country remains largely confined to basic chemicals, even as the world moves toward specialty and high-value products. Bridging this divide is essential if India is to climb the value chain. Equally constraining is the fragmented nature of the industry. Dominated by MSMEs with limited access to capital and technology, the sector struggles to compete globally. Cluster-based development models offer a pragmatic way forward, such as PCPIRs and the proposed chemical parks.

Drones, space, cyberspace add new paradigm to military conflicts: Ex-DGMO Anil Bhatt

  • PTI
  • May 16, 2025
  • 4 min read


NEW DELHI: Operation Sindoor has brought into sharp focus the importance of drones in modern warfare, which along with space and cyberspace will write the new paradigm of future military conflicts, a former Director General of Military Operation, who oversaw the Doklam crisis, has said.


In an interview with PTI Videos on Thursday, retired Lt.Gen. Anil Kumar Bhatt also expressed his displeasure at suggestions in social media by many war-mongers, who were unhappy with the conflict ending in four days on the grounds that it was an opportunity to reclaim Pakistan-occupied Kashmir.


He said war should be the last option and should not be waged since India had achieved its strategic aims.


" Let me tell you, a war or taking back Pak-occupied Kashmir, should be a war of choice, taken by a decision. That is not what was planned this time.

Yes, the Indian military was prepared for it, if the escalating ladder took you there," said Bhatt, who is guiding the growth of the private space technology sector in the country after retirement in June 2020.


As DGMO, Bhatt was one of the most senior military officers in the hierarchy, in-charge of ensuring that the armed forces were operationally ready at all times.


Reporting directly to the army chief, the DGMO is intimately involved in shaping strategies to deal with immediate and long-term security challenges, besides coordinating with the other two services as well as civilian and paramilitary security forces.


In times of crisis and escalated tensions, it falls on the DGMO to communicate with his opposite number.


Currently, the DGMO is Lt Gen Rajiv Ghai.


Bhatt was DGMO in 2017 when India was locked in a 73-day military standoff with China in the Doklam tri-junction near the Sikkim sector of the Line of Actual Control (LAC).


A four-star lieutenant general is the second highest rank in the army, below a five-star general.


A field marshal is largely a ceremonial or war-time rank.


"So what I would tell all my fellow countrymen is, war is a serious business. A very, very serious business.


And a nation goes for it when all possible options are over.


We had options less than war (during the current crisis) and gave a sense to it," said Bhatt, who spent 38 years in the Army.


Asked how important drones were in the latest conflict, he said the unmanned aerial vehicles have created an entirely new paradigm in warfare and the militaries of the world began focussing on it when they achieved spectacular success for Azerbaijan in winning a nearly lost war against a well-armed Armenia.


The drones were Turkish made.


Turkey also supplied drones to Pakistan, which sent swarms of them over Indian air space for surveillance and sometimes lethal payloads.


Bhatt agreed that relatively inexpensive drones costing as little as Rs 2 lakh were able to destroy armoured tanks worth Rs 20-30 crore in the two Azerbaijan-Armenia wars in 2017 and 2020.


This made it clear that war theatres of the future will be dotted with drones. To that there are two more new elements, Bhatt noted.


"Previously, we used to say that wars are fought on land, sea and in the air. But there are two new domains, very, very effective and important domains 'space and cyber space' that are now emerging," said Bhatt.


He is now director general of the Indian Space Association, the industry body of the space sector.


Bhatt said the space sector is critical to future warfare as satellites play an important role in intelligence gathering, surveillance and reconnaissance, besides guiding missiles and aircraft to their desired targets.


"But in the future every country will have to protect its assets in space and also know what are the adversaries' assets in space," he said.


Bhatt said several countries have demonstrated anti-satellite weapons and were also developing suicidal satellites that go near an adversary's satellites and destroy it.


He said India has nine or 10 military satellites for surveillance purposes and has plans to put in place a constellation of 52 satellites for space-based surveillance.


"These 52 satellites definitely will increase our capability. Today, our gap is filled by companies like Maxar, PlanetM among others. But we would obviously want our own satellites. Shutter control is very important," Bhatt said.


He said the Pahalgam attack was seen in strategic circles as an attempt by the Pakistan Army to stay relevant in their country after a series of setbacks, including the attack on the Pakistan corps commander residence in 2023 by supporters of former prime minister Imran Khan.


Bhatt said India has drawn a new red line for dealing with Pakistan by warning them of a strong response to every act of terror on Indian soil.


"We have set a new normal. you cross the red line, we will hit back. Of course it will require us to be more prepared. But for Pakistan there is no other method," he said.


Bhatt said the keeping in abeyance of the Indus Water Treaty has been a very effective method.


Another method, he added, was for India to keep focusing on its growth story while keeping an eye on Pakistan's activities.


"It's up to you. You put Pakistan on your front screen and drive your car. Or look at the economy and keep driving it. Keep them (Pakistan) in the rear view mirror, it will be enough. Don't distract yourself from what they are doing," he said.


Bhatt recalled former prime minister Atal Bihari Vajpayee's observations on war.


"Prime Minister Vajpayee had mentioned once, it is very easy to start a war. But it is very difficult to terminate it. And that gave very much clarity.


In war the challenge is the ability to then stop a war. And secondly do you achieve your war aims and at what cost," he said.


The former army officer said this does not mean that a nation should not be prepared for war.


"If you are prepared for war, you prevent a war. And with any adversary, be it on the north or on the west, we have to be prepared. And the preparation is to prevent a war," Bhatt said.


Bhatt also referred to Israel, saying its name is often suggested as an example in India.


"Israel is in an asymmetric war with a country. There is no country. There is no army. There are no nuclear bombs on the other side. We have to realise we are dealing with an adversary which has a significant army.

Not only that, it has a very strong backer," he said.

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