Question : Availability of Fertilizer Minerals

(a) whether there is any shortage of fertilizer minerals in the country and we are dependent on imports of raw material for production of main fertilizers;
(b) if so, the details thereof;
(c) whether the Government has constituted or proposes to constitute a consortium of public and private companies for import of fertilizer minerals and acquisition of mineral reserves in other countries to meet the shortage; and
(d) if so, the details thereof along with the measures taken/being taken by the consortium in this regard?

THE MINISTER OF STATE FOR MINES AND COAL
(SHRI HARIBHAI PARTHIBHAI CHAUDHARY)

(a) and (b): Yes, Madam. Due to constraints in the availability of Natural Gas in the country, which is the preferred feed stock for production of nitrogenous fertilizers, a part of Urea requirement of the country is imported by the Government through State Trading Corporations. Similarly, there is a near total dependence on imports for Phosphatic fertilizer and its raw materials and full import dependence for Potash. However, Government does not import any fertilizer raw material required for production of fertilizers. But, almost all Phosphatic and Potassic (P&K) fertilizer producing companies are using imported Rock Phosphate, Potash, Phosphoric Acid etc. for production of Phosphatic and Potassic (P&K) fertilizers due to non-availability/shortage in the country.

(c) and (d): There is no such proposal at present to constitute any such consortium of public and private companies. However, Government has been encouraging Indian companies to establish Joint Ventures abroad in Countries which are rich in fertilizer resources for production facilities with buy back arrangements and to enter into long term agreement for supply of fertilizers and fertilizer inputs to India. Further, the Department of Fertilizer is also working with the goal of having access to acquisition of the fertilizer raw materials abroad. Consortium of Indian Companies (PSUs/Private/Cooperatives) is constituted on project basis based on the requirements of the companies and prospective offerings from the Joint Venture partners.

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