Drop in production of urea in India


Drop in production of urea

By PIB Delhi

The production of Urea in three consecutive year 2016-17 to 2018-19 are given below:-

YearProduction of Urea ( In ‘LMT’)

The production of Urea has slightly dropped in last 3 years since 2016-17. The reasons for drop in productions due to shutdown of some plants on account of maintenance jobs, annual turnaround, power failure, natural calamities, etc.

The Government of India notified the New Urea Policy (NUP) – 2015 for existing gas based Urea manufacturing units on 25th May, 2015 and revision of energy norms under New Urea Policy (NUP) – 2015 on 28th March, 2018.NUP-2015 has led to an additional production of approximately 20 Lakh Metric Tonnes (LMT) in 2015-16 as compared to 2014-15, from the existing gas based urea plants and the total production of urea during the year 2015-16 was 244.75 LMT i.e. the highest ever urea production in the country.

 The detailed plan for revival of closed units of the country are as under: –

  1. Cabinet Committee on Economic Affairs (CCEA) in its meeting held on 4.8.2011 approved revival of Talcher unit of FCIL through nomination route by forming a Special Purpose Vehicle (SPV) / Joint Venture (JV) of GAIL, CIL, RCF and FCIL and revival of Ramagundam unit of FCIL by forming a SPV / JV of NFL, EIL and FCIL.
  2.     CCEA approved the revival of the Gorakhpur &Sindri units FCIL and Barauni unit of HFCL on 13.07.2016 through nomination basis by a SPV of NTPC, CIL, IOCL and FCIL / HFCL.

            The detail revival plan in respect of these 5 plants are as under: –

Sl. No.Place / StateRamagundam, TelanganaTalcher, OdishaSindri, JharkhandGorakhpur, Uttar PradeshBarauni, Bihar
1Name of JV/ SPV company revivingM/s. Ramagundam Fertilizers & Chemicals LtdM/s. TalcherFertilizers LtdM/s. Hindustan Urvarak&Rasayan Limited (HURL)M/s. HURLM/s. HURL
2Capacity(in MT/Annum)12.712.712.712.712.7
3Cost of project (Rs. in crores) 6120.5513277 (±10%)(as per revised DFR) 6977.01 7085.77 7043.26
4Anticipated Year of Commission-ing 2020 2023 2021 2021 2021
5Equity contributionNFL – 26%       EIL – 26%                 FCIL – 11%              State Govt of Telangana -11%GAIL -14.3%         HTASConsortium-11.7%RCF – 29.67%CIL – 29.67%GAIL-29.67%FCIL-10.99%NTPC – 29.67%IOCL – 29.67%CIL – 29.67%FCIL – 10.99%

This information was given in a written reply by the Union Minister of Chemicals & Fertilizers, Shri. D.V. Sadananda Gowda in Rajya Sabha today.