"The unit, with production capacity of 13 lakh metric tonnes, will entail investment of Rs 6,000 crore," he said, adding that it will also provide jobs to thousands of youths.
Kumar made the announcement at a function to dedicate the newly-constructed building of the Central Institute of Plastic Engineering and Technology (CIPET) at Bhanpuri near here.
The central government's Department of Chemicals and Petrochemicals-sponsored institute has been built at a cost of Rs 51.32 crore, shared equally between the state and the Centre.
While diploma courses and short-term courses in skill upgradation have already started, plastic engineering course will be offered from the next academic year, Kumar said.
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The minister also announced Rs 1 crore for establishing a plastic recycling unit at the institute.
An industrial Plastics Park with an investment of Rs 1,000 crore will be set up in Rajnandgaon district, he added.
He also appreciated Chief Minister Raman Singh's efforts to provide skill training to the state's youths.
Chief Minister Singh said students who will study at the institute may get employment at the proposed Plastics Park.