The Adani Group is set to commission the first phase of a $4 billion polyvinyl chloride (PVC) project by December 2026, marking its entry into the petrochemicals sector, sources revealed.

PVC, the third most common synthetic plastic polymer globally, is used in a wide range of products, including raincoats, shower curtains, window frames, indoor plumbing pipes, medical equipment, wire and cable insulation, bottles, credit cards, and flooring.

India's annual PVC demand stands at approximately 4 million tonnes, while domestic production capacity is only about 1.5 million tonnes, leading to a significant supply-demand gap.

With this disparity expected to widen as consumption increases, Adani Group is positioning itself to capitalize on the sector's growth potential.

Adani Enterprises, the group's flagship firm, is developing a petrochemical cluster in Mundra, Gujarat.

Within this cluster, a PVC plant with a capacity of 2 million tonnes per annum will be established in phases, according to two sources with direct knowledge of the project.

The initial phase, with a capacity of 1 million tonnes per annum, is scheduled for commissioning by December 2026.