PM Modi to unveil Rs 10,600-crore fertiliser plant in Assam on Sunday

Prime Minister Narendra Modi will on Sunday lay the foundation stone for a Rs 10,600-crore brownfield ammonia-urea plant in Dibrugarh district of Assam, giving a fillip to the fertiliser requirement of the entire region.

Modi arrived in Assam on Saturday on a two-day trip, during which he is set to unveil multiple projects worth Rs 15,600 crore, around three months before the state is due to go for assembly polls.

On the second day of his visit, the PM will lay the foundation stone for a new brownfield ammonia-urea fertiliser project at Namrup within the existing premises of Brahmaputra Valley Fertiliser Corp Ltd (BVFCL), according to an official release by the Prime Minister's Office.

"Furthering PM's vision of farmers' welfare, the project, with an estimated investment of over Rs 10,600 crore, will meet fertiliser requirements of Assam and neighbouring states, reduce import dependence, generate substantial employment and catalyse regional economic development," it added.

The PMO further said that the upcoming facility will stand as a cornerstone of industrial revival and farmer welfare.

Following the 'Bhoomi Pujan' ceremony for the new unit -- Assam Valley Fertiliser and Chemical Company Ltd (AVFCCL) -- Modi will also address a public meeting, likely to be attended by thousands of people from several Upper Assam districts.

Elections to the 126-member Assam Assembly are likely to take place in March-April next year.

In July this year, AVFCCL was incorporated in Namrup in Dibrugarh district. A new plant within the existing premises of BVFCL was approved by the Union cabinet in March this year.

AVFCCL is a joint venture between the Assam government, Oil India, National Fertilisers Ltd (NFL), Hindustan Urvarak & Rasayan Limited (HURL) and BVFCL, aimed at boosting fertiliser production in the Northeast.

Union Finance Minister Nirmala Sitharaman, in her budget speech earlier this year, had announced a new urea plant at Namrup with an annual capacity of 12.7 lakh metric tonnes.

PSU Brahmaputra Valley Fertiliser Corp Ltd (BVFCL) is the only urea-making facility in the entire eastern India. The facility started production in January 1969 as a part of the Hindustan Fertiliser Corp Ltd (HFCL).

BVFCL was formed in April 2002 after hiving off the Namrup unit of HFCL. It is under the administrative control of the Ministry of Chemicals and Fertilisers with 100 per cent shareholding by the Government of India.

It is the first factory of its kind in India to use associated natural gas as basic raw material for producing nitrogenous fertiliser.

The company has played a crucial role in the development of the northeastern region and providing the local farmers with urea fertiliser, which is produced from cheap and locally available domestic natural gas.

As per the official website of the Department of Fertilisers, the company is now producing neem-coated urea and two organic fertilisers -- liquid bio fertiliser and vermicompost in the brand name of 'Mukta'.

It is also trading in other fertilisers like SSP, MoP, DAP, Rock Phosphate and City Compost.

BVFCL has two operable ammonia urea units at Namrup with small capacities and these were established in 1976 and 1987.