It is good to be back to some good news. The election is finally over and the UPA has been voted back to power with promises of stability and more reforms. But the chemicals industry will have to deal with a new minister as Ram Vilas Paswan was not be voted back to parliament.
This report suggests that the chemicals and fertilizers portfolio is likely to be given to MK Azahgiri of Tamil Nadu’s DMK, one of the parties supporting the Congress in the UPA coalition. It also warns that the ministry’s functioning could move from Delhi to Madurai in southern India where Azahgiri has been elected from.
The long trek aside I wonder whether the new minister’s position will be on chemical investments in Tamil Nadu. A very active environment lobby has been attempting to block investments in the Cuddalore chemical zone and making life difficult for companies that already have manufacturing facilities in this area.
And it is not just Tamil Nadu. The new minister needs to look at investments in other parts and decide how to kickstart the much talked about PCPIRs and attract foreign investment.
Dr Sukumar recently posted a detailed analysis of the government’s PCPIR plan which clearly outlines the challenges that the government faces.