In a major push to accelerate domestic innovation, the Government of India has officially included Advanced Chemicals, Petrochemicals, and Material Technologies as priority areas eligible for funding under the ambitious Research, Development and Innovation (RDI) Scheme.
Effective from October 8, 2026, this strategic expansion was greenlit by the Department of Science and Technology (DST) following a dedicated proposal by the Department of Chemicals and Petrochemicals (DCPC). The move is expected to dramatically strengthen India’s research ecosystem, facilitating the creation of indigenous technologies for advanced industrial applications.
Unlocking a ₹1 Lakh Crore Corpus
Launched in November 2025 under the visionary leadership of Prime Minister Narendra Modi, the RDI Scheme was established with a massive ₹1 lakh crore corpus. Its primary goal is to catalyze private-sector investment by offering long-term financing and refinancing on highly favorable terms.
By opening this war chest to the chemicals and petrochemicals sector, the government aims to accelerate the adoption of cutting-edge technologies, reinforce India’s industrial competitiveness, and build robust self-reliance in critical sectors.
During the scheme’s launch last year, Prime Minister Modi emphasized the administration’s commitment to scientific advancement, stating: “India is rapidly building a vibrant ecosystem for research and development. We are focusing on Ease of Doing Research so that a modern ecosystem of innovation can flourish in India.”
Industry Leaders Welcome the Move
The integration of these new technology areas into the RDI Scheme has been widely praised by key government figures and industry stakeholders alike.
Union Minister for Chemicals and Fertilizers, Shri Jagat Prakash Nadda, welcomed the development, hailing it as a milestone for the industry. According to Nadda, unlocking this funding will provide a much-needed impetus to research and innovation. It is expected to support the development of highly efficient, cost-effective technologies for manufacturing chemicals, petrochemical products, polymers, and their derivatives entirely within India.
A Step Towards Self-Reliance
The inclusion of Advanced Chemicals and Material Technologies perfectly aligns with New Delhi’s broader macroeconomic objectives. By fostering a domestic manufacturing ecosystem that thrives on technology-led industrial growth, India seeks to drastically reduce its historical dependence on imported technologies and high-value materials.
As global supply chains continue to evolve, empowering the domestic chemical sector with deep-tech R&D capabilities ensures that India remains not just a consumer, but a formidable global creator of advanced industrial materials.