Question : Availability of Fertilizers


Will the Minister of CHEMICALS AND FERTILIZERS be pleased to state:

(a) whether the Government has any plan for revival of closed public sector fertilizer plants in each State, and if so, the details thereof;

(b) whether the Government has collected the information on demand for nitrogen and phosphate fertilizers from the State Governments; and

(c) if so, the details thereof along with the steps being taken to increase their production during the last three years and the current year?

Answer given by the minister

MINISTER OF STATE IN THE MINISTRY OF CHEMICALS & FERTILIZERS, SHIPPING, ROAD TRANSPORT & HIGHWAY

(SHRI MANSUKH L. MANDAVIYA)

(a): At present all the five fertilizer units of Fertilizer Corporation of India Limited (FCIL) and three fertilizer units of Hindustan Fertilizer Corporation Limited (HFCL) are lying closed. State wise detail about these closed fertilizer units is as under:

Sl. No Name of PSU Name of fertilizer Unit State
1 The Fertilizer Corporation of India Limited (FCIL) Sindri Jharkhand
Gorakhpur Uttar Pradesh
Talcher
Odisha
Ramagundam Telangana
Korba Chhattisgarh
2 Hindustan Fertilizer Corporation Ltd. (HFCL) Haldia West Bengal
Durgapur West Bengal
Barauni Bihar



Out of the above closed fertilizer units, Government has decided to fast track revival of Talcher, Ramagundam, Gorakhpur, Sindri and Barauni fertilizer units. Status on progress made for revival of these five units is as under:

Talcher and Ramagundam: The Cabinet Committee on Economic Affairs in its meeting held on 09.05.2013 approved the revival of these units on “nomination route” through PSUs. Rashtriya Chemicals & Fertilizers Limited, Gail (India) Ltd, Coal India Limited (CIL) and FCIL have been nominated to revive the Talcher unit while National Fertilizers Limited (NFL), Engineers India Limited (EIL) and FCIL have been nominated to revive the Ramagundam unit. Pre-Project activities to revive these two units are currently in progress.

Gorakhpur, Sindri and Barauni: The Union Cabinet in its meeting held on 13.07.2016 has approved to revive these defunct fertilizer units by means of a Special Purpose Vehicle (SPV) of Public Sector Units (PSUs) namely, National Thermal Power Corporation (NTPC), Coal India Limited (CIL), Indian Oil Corporation Limited (IOCL) and FCIL/HFCL, through “nomination route”.

(b): The month-wise demand is assessed and projected by the Department of Agriculture, Co-operation& Farmers Welfare (DAC& FW) in consultation with the State Governments before commencement of each cropping season. Statements indicating the requirement of Urea, DAP, MOP and Complex fertilizers for the ongoing Kharif Season, 2016 have been received from DAC&FW and may be seen at Annexure-A.

(c): The Government has notified the New Urea Policy 2015 on 25th May, 2015 for existing gas based urea units with the objectives of maximizing indigenous urea production; promoting energy efficiency in urea production; and rationalizing subsidy burden on the government. NUP-2015 has led to additional production of approximately 20 LMT from the existing plants and the total production of urea during the year 2015-16 was 244.75 LMT.

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