How to Export Chemicals from India — Complete Guide

India is the world's sixth-largest chemical producer and third-largest in Asia, with a chemical industry valued at over $220 billion. India's exports of inorganic and organic chemicals under HS Chapters 28-29 reached $17.02 billion in 2024-25, making chemicals one of India's top five export sectors. From pharmaceutical intermediates synthesised in Gujarat's Ankleshwar-Vapi corridor to dyes manufactured in Ahmedabad to agrochemicals produced in Hyderabad, India's chemical industry is a global supplier of both bulk and specialty chemicals.

For MSME exporters, chemicals offer high-value, knowledge-intensive exports with strong intellectual property advantages. India's strength in custom synthesis, contract manufacturing, and cost-effective production of complex organic molecules makes it a preferred supplier for pharmaceutical, agrochemical, and specialty chemical companies worldwide.

India's Chemical Export Landscape

India exported $17.02 billion in chemicals (HS 28-29) in 2024-25, down from $23.25 billion in 2023-24 — a 27% decline driven by global chemical price corrections after the 2022-23 commodity supercycle.

HS Heading	Category	2024-25 Exports (USD Million)	Share
2933	Heterocyclic compounds (nitrogen)	$4,150.5	24.4%
2902	Cyclic hydrocarbons	$1,717.9	10.1%
2941	Antibiotics	$1,053.4	6.2%
2934	Other heterocyclic compounds	$676.1	4.0%
2922	Amino compounds (oxygen function)	$661.9	3.9%
2915	Saturated acyclic carboxylic acids	$615.6	3.6%
2918	Carboxylic acids (additional oxygen)	$603.8	3.5%
2914	Ketones and quinones	$569.7	3.3%

Heterocyclic compounds (HS 2933) dominate at $4.15 billion — these are primarily pharmaceutical intermediates and API (Active Pharmaceutical Ingredient) building blocks. Cyclic hydrocarbons ($1.72B) include benzene, toluene, and xylene derivatives. Antibiotics ($1.05B) under HS 2941 reflect India's position as the world's largest generic antibiotic manufacturer.

Where Indian Chemicals Are in Demand

Indian chemical exports reach over 170 countries, spanning basic chemicals, speciality chemicals, agrochemicals, and dyes/pigments. The USA is a major destination for pharmaceutical intermediates and speciality chemicals. China, despite being a chemical manufacturing giant itself, imports significant volumes of specific organic chemicals and intermediates from India. European markets — Germany, Netherlands, Belgium — are important for dyestuffs, pigments, and speciality chemicals. Southeast Asian countries and the Middle East are growing markets for agrochemicals and basic chemicals.

Want the full country-by-country breakdown? See exact export values, growth rates, tariff rates, and market attractiveness scores for every destination in our detailed data pages. View Chemicals export data by country →

Manufacturing Clusters

Gujarat — India's Chemical Capital

• Ankleshwar-Vapi-Dahej corridor — India's largest chemical manufacturing belt
• Bulk chemicals, intermediates, dyes, pigments, agrochemicals
• Gujarat accounts for ~40% of India's chemical production

Maharashtra

• Mumbai-Thane-Raigad — Specialty chemicals, pharmaceuticals, dyes
• MIDC industrial areas in Mahad, Patalganga, Ambernath

Andhra Pradesh/Telangana

• Hyderabad — Pharma intermediates, APIs, custom synthesis
• Visakhapatnam — Petrochemicals, bulk chemicals

Other Clusters

• Rajasthan (Jhalawar) — Opium-based alkaloids (government-controlled)
• Tamil Nadu (SIPCOT areas) — Specialty chemicals, petrochemicals

HS Code Classification

Chemicals span two HS chapters with hundreds of headings:

Chapter 28 — Inorganic Chemicals

Code	Description	Examples
2801-2811	Halides, acids, oxides	Hydrochloric acid, sulphuric acid
2812-2819	Halides, sulphides, hydroxides	Aluminium chloride, caustic soda
2827-2842	Salts, peroxides, cyanides	Zinc chloride, potassium dichromate

Chapter 29 — Organic Chemicals

Code	Description	Key Indian Exports
2902	Cyclic hydrocarbons	Benzene, styrene, ethylbenzene
2914	Ketones, quinones	Acetone, methyl ethyl ketone
2915	Acyclic carboxylic acids	Acetic acid, propionic acid
2922	Amino compounds	Paracetamol, amino acids
2933	Heterocyclic nitrogen compounds	Pharma intermediates, APIs
2941	Antibiotics	Amoxicillin, ciprofloxacin, azithromycin

Classification complexity: Chemical classification requires precise identification of the molecular structure. A single functional group change can shift the HS code and completely change the duty rate. Work with a trained customs broker for complex organic molecules.

Use the HS Code Finder for exact classification.

Regulatory Framework

REACH (EU) — Registration, Evaluation, Authorisation of Chemicals

The single most important regulation for chemical exports to the EU:

• Registration — All chemicals imported into the EU in quantities >1 tonne/year must be registered with ECHA (European Chemicals Agency)
• Only Representative (OR) — Indian exporters must appoint an EU-based Only Representative to handle REACH registration on their behalf
• Registration cost — €10,000-€100,000+ depending on tonnage band and data requirements
• Pre-registration deadline passed — New substances require full registration before import
• SVHC (Substances of Very High Concern) — Candidate list substances require authorization

TSCA (USA) — Toxic Substances Control Act

• Chemical substances must be listed on the TSCA Inventory before import into the USA
• New chemicals not on the inventory require Pre-Manufacture Notification (PMN)
• EPA can impose restrictions or testing requirements

K-REACH (Korea)

• Korea's REACH equivalent, requires registration for substances >1 tonne/year
• Indian exporters to Korea must comply since January 2019

GHS Classification and SDS

• Globally Harmonized System (GHS) classification is mandatory for all chemical exports
• Safety Data Sheets (SDS) must accompany all chemical shipments (16-section format)
• SDS must be in the language of the importing country

CLP Regulation (EU)

• Classification, Labelling and Packaging regulation for chemical substances
• Hazard pictograms, signal words, hazard/precautionary statements on all labels

Quality and Testing Standards

Standard	Scope	Markets
ISO 9001:2015	Quality management	All markets
ISO 14001	Environmental management	EU, USA
ISO 45001	Occupational health & safety	All markets
ICH Q7	GMP for APIs	Pharma intermediates for regulated markets
cGMP	Current Good Manufacturing Practice	USA (FDA), EU (EMA)
Responsible Care	Chemical industry sustainability initiative	Global

Analytical Standards

• Every chemical export batch requires a Certificate of Analysis (CoA) with:
  • Assay/purity (HPLC, GC, titration)
  • Impurity profile
  • Moisture content (Karl Fischer)
  • Physical properties (melting point, pH, density, colour)
  • Heavy metals (ICP-MS/OES)
  • Residual solvents (GC-HS)

Testing Laboratories and Costs

Major NABL-accredited labs for chemical testing include SGS India, Eurofins, TÜV SÜD (Mumbai, Bangalore), Intertek, and Spectro Analytical Labs (Delhi). For pharmaceutical intermediates and APIs, CIPLA Quality Chemical, Vimta Labs (Hyderabad), and Lambda Therapeutic Research provide GLP-compliant analytical services. A standard CoA panel for an organic chemical (assay, impurity profile, moisture, residual solvents, heavy metals, physical properties) costs Rs 10,000-30,000 with 5-7 working day turnaround. REACH-specific testing — including ecotoxicology studies, biodegradation, and bioaccumulation — can cost Rs 5-50 lakh per substance depending on the tonnage band and data requirements. For companies exporting multiple chemicals, investing in in-house HPLC, GC, and Karl Fischer titration equipment (capital cost Rs 25-50 lakh for a basic analytical lab setup) is more economical than outsourcing at high volumes. Accreditation of the in-house lab to ISO 17025 adds credibility and allows CoAs to be accepted without third-party verification by most buyers.

Packaging and Labelling

Packaging

Container Type	Typical Use	Capacity
HDPE drums	Liquids, pastes	50-200 litres
Fibre drums	Powders, granules	25-50 kg
IBC (Intermediate Bulk Container)	Bulk liquids	1,000 litres
ISO tank containers	Large-volume liquids	20,000-26,000 litres
HDPE bags with liner	Powders	25 kg
Flexi-bags (in 20-ft container)	Bulk non-hazardous liquids	16,000-24,000 litres

Labelling (GHS Compliant)

• Product identifier (chemical name, CAS number)
• Hazard pictograms (flame, skull, exclamation mark, etc.)
• Signal word (Danger or Warning)
• Hazard statements (H-codes)
• Precautionary statements (P-codes)
• Supplier identification (name, address, phone)
• Net weight/volume

Dangerous Goods Classification

• IMDG Code (International Maritime Dangerous Goods) classification for sea freight
• UN number and proper shipping name
• Packing group (I, II, or III based on hazard level)
• DG Declaration required for all hazardous chemical shipments

Pricing Strategy

Chemical Type	FOB Price Range	Margin
Bulk inorganic (per tonne)	$200-$800	8-15%
Bulk organic (per tonne)	$500-$3,000	10-20%
Specialty chemicals (per kg)	$5-$100	25-50%
Pharma intermediates (per kg)	$10-$500	20-40%
APIs (per kg)	$50-$5,000+	25-50%
Dyes and pigments (per kg)	$3-$50	15-30%
Custom synthesis (per kg)	$100-$10,000+	30-60%

The highest margins are in custom synthesis and specialty chemicals — where India's chemistry talent, IP capability, and cost advantage combine to create competitive moats.

Logistics

Shipping

• ISO tank containers for bulk liquids (most cost-effective for >15 kL)
• 20-ft containers with drums/IBCs for smaller volumes
• Flexi-bags in 20-ft containers for non-hazardous bulk liquids
• DG-approved containers for hazardous chemicals (special booking required)

Key Ports

• JNPT Mumbai — Primary for Gujarat/Maharashtra chemical exports
• Mundra — Growing alternative for Gujarat exporters
• Hazira (Surat) — For Ankleshwar/Vapi corridor
• Visakhapatnam — For East Coast chemical exports

Transit Times and Costs

• JNPT to USA East Coast: 28-35 days ($3,000-$5,500 per 20-ft)
• Mundra to EU: 18-24 days ($2,000-$4,000)
• JNPT to Middle East: 5-10 days ($800-$1,800)
• ISO tank to Europe: $3,500-$6,000

DG Shipping Surcharges

• Hazardous chemicals attract 15-30% surcharges on base freight rates
• DG booking requires advance notice (3-7 days before vessel)
• Limited DG container slots per vessel — book early
• Not all shipping lines accept all DG classes — Class 1 (explosives), Class 6.1 (toxic), and Class 7 (radioactive) have very limited carrier acceptance. Work with a freight forwarder specialising in chemical logistics, such as Rhenus, Agility, or Brenntag's logistics division, who maintain relationships with DG-approved carriers and can secure space even during peak season.

Documentation

1. Commercial Invoice
2. Packing List
3. Bill of Lading
4. Certificate of Origin
5. Certificate of Analysis (CoA) — batch-specific
6. Safety Data Sheet (SDS) — 16-section format, destination language
7. DG Declaration / Dangerous Goods Note (for hazardous)
8. IMDG classification certificate
9. REACH registration number (for EU)
10. Phytosanitary/fumigation certificate (where applicable)
11. Drug Controller licence (for APIs/intermediates for pharma)
12. Shipping Bill (via ICEGATE)
13. Insurance Certificate

Government Incentives

• RoDTEP — 0.5-2% of FOB value
• Advance Authorisation — Duty-free import of raw materials against export commitment
• EPCG Scheme — Duty-free import of capital goods
• Petroleum, Chemicals & Petrochemicals Investment Regions (PCPIRs) — Special economic zones for chemical manufacturing
• CHEMEXCIL membership — Basic Chemicals, Cosmetics & Dyes Export Promotion Council provides market access support
• PLI Scheme for bulk drugs — Production-linked incentives for key starting materials and APIs
• RoDTEP specifics — Chemical export RoDTEP rates range from 0.5% to 2% of FOB value depending on the specific HS code. Dyes and pigments typically receive higher rates (1.5-2%) than bulk inorganic chemicals (0.5-1%). Check the current RoDTEP schedule at the DGFT website for your specific 8-digit ITC-HS code.
• Interest Equalisation Scheme — Chemical exporters classified as MSMEs receive a 5% interest subvention on pre-shipment and post-shipment rupee export credit, reducing working capital costs significantly. Non-MSME exporters receive 3%.
• CHEMEXCIL trade fairs — CHEMEXCIL sponsors Indian pavilions at major chemical trade shows including CHEMSPEC Europe, CPhI Worldwide (pharmaceutical intermediates), in-cosmetics Global, and Gulf Petrochemicals & Chemicals Association (GPCA) events. MSME exhibitors receive up to 90% subsidy on stall costs.
• DSIR Recognition — Companies with in-house R&D facilities can obtain recognition from the Department of Scientific and Industrial Research, unlocking tax benefits under Section 35(2AB) of the Income Tax Act — a weighted deduction of 100% on R&D expenditure. This is particularly valuable for specialty chemical and custom synthesis companies.

Common Mistakes

Not registering under REACH. Exporting to the EU without REACH registration is illegal. Your EU buyer's customs broker will check the REACH registration number at import. Budget 12-18 months and significant investment for registration.

Incomplete SDS. A Safety Data Sheet with missing sections or incorrect GHS classification can halt a shipment at the port. Use trained regulatory affairs professionals to prepare SDS.

DG classification errors. Shipping a Class 3 flammable liquid as non-DG can result in heavy fines, container impoundment, and blacklisting by the shipping line. Always classify correctly per IMDG Code.

Not maintaining batch-to-batch consistency. Chemical buyers expect consistent purity and impurity profiles. A batch that varies by 1-2% in assay from the specification triggers rejection and damages trust. Implement robust process control and in-process testing.

Ignoring environmental compliance at home. Indian chemical plants must comply with CPCB/SPCB norms. European and US buyers increasingly audit supplier environmental compliance. A pollution control non-compliance can cost you your export business.

Not appointing a REACH Only Representative early enough. REACH registration is a 12-18 month process. Many Indian exporters start the process only after receiving an EU order, then lose the order because they cannot ship without a registration number. Appoint an OR and begin pre-registration as soon as you identify the EU as a target market. Consortium registration (sharing data and costs with other registrants of the same substance) can reduce costs from Rs 50-80 lakh to Rs 10-25 lakh per substance.

Underestimating working capital requirements. Chemical exports — especially bulk and intermediates — require significant working capital. Payment terms of 60-90 days are standard, and raw material procurement is often on advance payment. Use ECGC-backed post-shipment credit and factor receivables through banks offering export factoring services to manage cash flow.

Key Takeaways

• India exported $17.02 billion in chemicals (HS 28-29) in 2024-25
• Pharma intermediates (HS 2933, $4.15B) and cyclic hydrocarbons (HS 2902, $1.72B) dominate
• USA ($2.26B), China ($1.09B), and Saudi Arabia ($868M) are the top markets
• REACH registration is mandatory for EU exports — budget 12-18 months
• GHS-compliant labelling and 16-section SDS are required globally
• DG classification and proper documentation are critical for hazardous chemicals
• Specialty chemicals and custom synthesis offer the highest margins (30-60%)

Next Steps

1. Identify your HS code with the HS Code Finder — chemical classification requires precision
2. Get REACH registered if targeting the EU — appoint an Only Representative
3. Check tariff rates using the Duty Calculator — some chemicals face anti-dumping duties
4. Join CHEMEXCIL for chemical export promotion support
5. Prepare GHS-compliant SDS and labels for your target markets
6. Explore market demand with the Market Finder
7. Invest in analytical infrastructure — HPLC, GC, ICP for comprehensive CoA capability

India's chemical industry is a $17 billion export engine with competitive advantages in organic synthesis, custom manufacturing, and cost-effective production. For MSMEs with chemistry expertise, chemical exports offer high-value, knowledge-intensive business opportunities.