Indian PSUs ink pact with Russian firm for supply of fertilisers in FY22

As many as 4 Indian public sector undertakings have inked a long-term pact with Russian firm Phos Agro for supply of five types of fertilisers including DAP in the current fiscal year, govt said

As many as 4 Indian public sector undertakings (PSUs) have inked a long-term pact with Russian firm Phos Agro for supply of five types of fertilisers including DAP in the current fiscal year, Fertiliser Minister Mansukh Mandaviya said in the Rajya Sabha on Tuesday.

Mandaviya, in his written reply to the Upper House, said efforts are being made to establish a mechanism to ensure regular and sufficient supply of Di Ammonium Phosphate (DAP) and its raw materials to India at reasonable prices from various countries like Morocco, Saudi Arabia, Russia, etc.

"An agreement of intent has been signed between four Indian PSUs and Russian company Phos Agro for supply of five types of fertilisers including DAP in 2021/2022," he said.

To enhance domestic production of fertilisers, the minister said the government had recently granted permission to Madhya Bharat Agro Product Ltd Unit-II for production of 1.20 lakh tonne per annum. Its production started in October.

As regards exploring minerals for raw materials for DAP and other fertilisers in India, he said two rounds of discussion have been held with the stakeholders.

Responding to another query, the minister said the availability of soil nutrients including DAP and urea has remained comfortable in the ongoing rabi season of 2021-22 crop year (July-June).

He ruled out any shortage of fertilisers in the country as he highlighted measures taken to ensure adequate and timely supply of DAP in the country.

To ensure fertilisers reach various states, the minister -- in his written replies to the Rajya Sabha -- said the Centre is holding 24x7 interactions with state governments, fertiliser companies and railways through a control room and web platforms.

The stakeholders like manufacturers, ports and railways have been asked to operate on maximum capacity to produce, load and move fertilisers to the targeted destinations, he said.

Further, loading and voyage time of imported DAP shipments is being monitored on a daily basis and suitable interventions are being made from time to time, he added.

The minister said since 90 per cent of the fertilisers are moved through railway rakes, the loading and movement of these rakes is being executed in a very targeted manner in consultation with respective states so as to address the field demand.