The Ramagundam Fertilizers and Chemicals Ltd (RFCL) unit in Telangana is set to become the first of the five fertiliser plants taken up for revival by the Centre, to go on stream.

The ₹6,100-crore revival project is slated for commissioning by September, following which it will begin the production of urea.

Union Chemicals and Fertilisers Minister Mansukh Mandaviya, who, late last week, reviewed the progress of the five fertiliser plants, had said: “While the Ramagundam plant will begin production of urea by September 2020, the plants at Gorakhpur, Barauni and Sindri will be commissioned by May 2021.”

The five plants taken up for revival include those of Hindustan Urvarak Rasayan Ltd (HURL) (in Gorakhpur, Barauni and Sindri), RFCL and Talcher Fertilizers Ltd (TFL). While reviewing the physical and financial progress of the plants, Mandaviya had said the Centre was keen to ensure the projects were completed at the earliest.

State of progress

The RFCL plant has achieved 99.53 per cent physical progress though there has been some delay due to Covid-19. The Gorakhpur, Sindri and Barauni plants have achieved 77 per cent, 70 per cent and 69 per cent progress, respectively. These will be completed before May 2021. The TFL plant in Odisha has seen some delays though pre-project activities are in progress.

Telangana Chief Minister K Chandrasekhar Rao has also been closely tracking the progress of the plant revival as it has direct bearing on urea supplies in the State. Of the 12.5 lakh tonnes of fertiliser production from the plant, the State will be able to get nearly half for its agriculture sector.

The Centre has announced the New Investment Policy (NIP), 2012 to facilitate fresh investment in the urea sector. The revival of the five fertiliser plants is being made under the NIP.

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