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India: Fertilizer Revival

Fertilizers Back in Business: Revival of Urea Plants by PSUs

| Editor: Dominik Stephan

(Picture: PROCESS)

In view of poor response from bidders for Request for Qualifications (RFQ) for the Gorakhpur and Sindri units of Fertiliser Corporation of India (FCIL) and keeping in view the current market scenario, it is under consideration to revive the Sindri and Gorakhpur units of FCIL and Barauni unit of Hindustan Fertilizer Corporation (HFCL).

New Delhi/India – The plants shall be operated through joint ventures of profit making and financially strong Public Sector Undertakings (PSUs) of Ministries of Power, Coal and Petroleum & Natural Gas.

No specific assessment of likely expenditure for setting up the urea plants at these locations has been made. However, the likely cost of setting up an ammonia-urea plant of 1.27 million MT capacity is approximately Rs 6,000 crore. The revival process will start after formation of joint ventures and on receipt of all necessary approvals. This information was given by the Minister of State (MoS) in the Ministry of Chemicals and Fertilizers.

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