Neem-coated urea plants due for completion by 2021
The Indian Government has approved a grant of Interest-Free Loan of Rs.1,257.82 crore to Hindustan Urvarak & Rasayan Limited (HURL) to start commercial production of neem coated urea at Gorakhpur, Barauni and Sindri plants by 2021.
HURL is to spend Rs.422.28 crore, Rs.415.77 crore and Rs.419.77 crore on Gorakhpur, Sindri and Barauni projects, respectively.
Minister of Chemicals & Fertilisers D.V. Sadananda Gowda said the IFL is to enhance domestic production of urea for Indian farmers and reduce imports.
Despite various obstacles being faced by the projects due to COVID-19 crisis, the Gorakhpur, Sindri and Barauni plants have physical progress of 80.3%, 74.2% and 72.8%.
The plant would add 38.1 LMT per annum of neem coated urea in indigenous production when put in full operations. Each plant is 12.7 LMT per annum.
The loan agreement was executed on 8 Sept 2020 between the Department of Fertilizers and HURL, a Joint Venture Company for setting up the three plants.
HURL is a partnership of National Thermal Power Corporation Limited (NTPC), Indian Oil Corporation Limited (IOCL) and Coal India Limited (CIL) each with equity of 29.67%, with 10.99% held by Fertilizer Corporation of India Limited (FCIL). #fertilizers #chemicals #manufacturing #investment #loan #farmers #tenders #projects /fiinews.com
