CRISIL projects 12-15% growth for MSMEs in chemical industry in FY23

New Delhi, April 26 (KNN) For the current fiscal year CRISIL has projected a 12 to 15 per cent growth for Micro, Small and Medium Enterprises (MSMEs) in the chemical industry.

Owing to rising material cost, escalated freight cost and limitations to set higher costs to customers, the profitability margin for MSMEs look largely constrained as compared to large players, as per the report. 

MSMEs’ double-digit revenue growth will be powered by improved price realisation as they make up 28-30 per cent of the sector majorly catering to certain niche speciality chemicals, dyes, pigments and agrochemicals. 

According to the research company the revenue of chemical industry on year-on-year (YoY) basis is to rise by 14-17 per cent in FY23.

Better performance in segments such as specialty chemicals, followed by polymers and agrochemicals will drive the growth, said CRISIL Research. (KNN Bureau)