(a) whether the retail price of urea has not revised since 2002;
(b) if so, whether the profit margin of manufacturers of urea has
remained same as it was in 2002;
(c) if so, the details in this regard; and
(d) the measures taken/prpose to be taken by the Government to safeguard
the interests of the manufacturers of urea in the country ?
MINISTER OF STATE IN THE MINISTRY OF CHEMICALS & FERTILIZERS (SHRI SRIKANT KUMAR JENA)
a) to (c): There is no change in the MRP of urea since March 2002. The ureas units are
allowed 12% post tax return on capital employed in lthe costed year for arriving at the
retentin price before group averaging. The return allowed is not depended on MRP of urea.
It is based on costed year capital employed/netwoth of the units.
(d): The Government has taken various measures to encourage efficiency and safeguard
the interest of urea producing units. Under NPS-III, pre-set energy norms have been
notified for all the urea units. Savings in energy consumption achieved by the urea
units with respect to pre-set energy norms are incentivized by payment at the weighted
average basic rate of inputs consumed.