This industry manufactures basic organic chemicals (other than petrochemicals), industrial gases and synthetic dyes and pigments. These products are predominantly intermediates that are used as raw material inputs by other manufacturing industries in the production of downstream products.

Chemical industry is recognized as one of the most powerful sources of environmental pollution. This can involve aspects of climate change, conservation, biodiversity, groundwater and soil contamination, use of natural resources, waste management, air pollution, and noise pollution. The main purpose is to provide clear and concise information on EIA to all the stakeholders, i.e., the project proponent, the consultant, the reviewer, and the public.