THE MINISTER OF STATE IN THE MINISTRY OF CHEMICALS & FERTILIZERS (SHRI SRIKANT KUMAR JENA)
(a) to (b) : Production capacity of FACT Plants and the actual production for the
last 5 years is given below:
Production (MT) Capa- 2008-09 2007-08 2006-07 2005-06 2004-05 city
Ammonium Sulphate 225000 128845 30478 183490 172986 200564
Factamphos 20:20 633500 605047 425530 721202 745902 560788
Caprolactam 50000 13548 6759 41327 38666 44932
There has been no dip in production capacity in past few years. However, there
was a dip in production during financial year 2007-08, due to non-availability of
sufficient quantity of raw material and unprecedented rise in the costs of inputs.
(c) to (d) Yes, Madam. In March 2008, The Government had sanctioned a one-time
grant-in-aid of Rs.200 crore to Fertilizers and Chemicals & Travancore Limited (FACT)
to sustain the operations of the company.
(e) to (h) M/s.Deloitte Touche Tohmatsu India Pvt.Ltd. had been entrusted with the
work of formulating a revival plan for enhancing operational efficiency including cost
cutting measures. Major recommendations of M/s Deloitte have been implemented.
The Tariff Commission recommendations with regard to complex fertilizers have been
implemented w.e.f. April 2008. Price concession for ammonium sulphate had been
restored w.e.f. 1st July 2008. In respect of provision of additional working capital, a
letter of Comfort to MMTC of Rs. 100 Crore for 2009-10 has been given for
procurement of raw material and intermediates for FACT. Plan funds are being
allocated annually and subsidy is being released on monthly basis. The scheme of
utilization of waste steam to reduce energy costs has been implemented in both
Udyogmandal & Cochin Division of FACT. Successful trial to reduce sulphur content of
NP 20:20 from 15% to 13% and use of ammonium sulphate directly for NP production
have been made. The surplus staff is being utilized in the marketing Department of
FACT. The use of imported ammonia is also being done based on economics.
