Cabinet approves BHAVYA Rasayan Scheme for three dedicated Chemical Parks

📌 Summary:

• Union Cabinet (chaired by PM Modi) approved the Bharat Audyogik Vikas Yojana Rasayan (BHAVYA Rasayan) Scheme to set up three dedicated Chemical Parks; scheme was announced in Union Budget FY 2026-27
• Total outlay Rs.3,030 crore — Rs.3,000 crore for Common Infrastructure Facilities & Basic Utilities inside parks, Rs.30 crore for administrative expenditure; runs 5 years (FY 2026-27 to FY 2030-31)
• Centre grants up to Rs.1,000 crore per park, conditional on minimum Rs.500 crore contribution by the concerned State Government
• Expected benefits: develops chemical value chains (upstream, downstream, ancillary), lowers logistics cost, boosts cost competitiveness, deepens integration into Global Value Chains → higher exports and import substitution
• Environmental safeguards built in: centralised Common Effluent Treatment Plant, Treatment/Storage/Disposal Facility and Hazardous Waste Management infrastructure for better compliance
• Chemicals & petrochemicals feed downstream sectors (agriculture, textiles, pharma, nutraceuticals, construction, automobile, electronics) → cascading employment and growth, advancing Viksit Bharat @ 2047

🎯 UPSC Relevance: GS3 (Indian Economy) — industrial policy, manufacturing competitiveness, import substitution and cluster-based infrastructure development; links to chemical sector reliance and Viksit Bharat goal.

📝 Prelims Facts:

• BHAVYA Rasayan = Bharat Audyogik Vikas Yojana Rasayan; outlay Rs.3,030 crore; 3 chemical parks
• Centre grant up to Rs.1,000 crore/park; State must contribute min Rs.500 crore
• Announced in Union Budget FY 2026-27; duration FY 2026-27 to FY 2030-31

🔑 Key Term: Common Infrastructure Facilities — shared utilities (effluent treatment, hazardous waste management, storage) inside industrial parks that cut per-unit costs and raise environmental compliance.