Govt to add 6-7 fertiliser mfg facilities over next five years

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Press Trust of India New Delhi
Last Updated : Dec 10 2014 | 8:43 PM IST
Government will add 6-7 fertiliser manufacturing facilities to the country's existing capacity through a mixture of new units and revival of closed sites over the next five years to boost domestic production, Fertiliser Minister Ananth Kumar said today.
India imports urea as well as phosphatic & potassic (P&K) fertilisers like DAP and MOP, to meet domestic demand of soil nutrients.
Addressing a conference of industry body Fertiliser Association of India (FAI), Kumar also assured that government will clear fertiliser subsidy arrears within a month.
"For the last one decade, the country has not seen a new fertiliser plant but the honourable Prime Minister told us that we should follow the principle of Make In India. We are going to start and revive at least 6-7 fertiliser plants in next 5 years. It will be in both public and private sectors," he said at the conference.
At present, about eight units of state-owned FCIL and HFCL are closed. The ministry is working on reviving the five closed plants of the Fertilizer Corp. Of India Ltd (FCIL) and Hindustan Fertilizers and Chemicals Ltd (HFCL).
The Fertilzers Ministry is seeking increased supply of gas for urea manufacturing plants. It has also asked Oil Ministry to explore the possibility of gas pipeline from Phulpur to Haldia as it can lead to revival of five closed plants.
"There are no plans to increase urea prices and will keep on working to raise its domestic production to substitute imports," Kumar had said last month.
India's urea output has remained stagnant at 22 million tonnes (MT) since 2007-08. The current demand is about 30 MT, forcing the nation to meet shortfall of 8 MT via imports.
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First Published: Dec 10 2014 | 8:43 PM IST

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