Lok Sabha Question No. 3745 (UNSTARRED), answered on 2023-08-11
Subject: Self-Sufficiency in Demand and Supply of Fertilizers by 2030
Ministry: CHEMICALS AND FERTILIZERS
Asked by: D. M. Kathir Anand

## GOVERNMENT OF INDIA MINISTRY OF CHEMICALS & FERTILIZERS

## DEPARTMENT OF FERTILIZERS

## LOK SABHA

UNSTARRED QUESTION NO. 3745 TO BE ANSWERED ON: 11.08.2023

## Self-Sufficiency in Demand and Supply of Fertilizers By 2030

## 3745.  SHRI  D.M. KATHIR ANAND:

Will the Minister of CHEMICALS AND FERTILIZERS be pleased to state:

- (a) whether it is a fact that India's import of fertilizers  during 2022-23, stands at US$18 Billion and accounts about US$3 Billion from China alone;
- (b) if so, the details thereof;
- (c) the  steps  taken/proposed  to  be  taken  by  the  Government  to  attain  selfsufficiency in demand and supply of fertilizers in the country by 2030;
- (d) whether the Government has allocated adequate funds for the Research and Development of Fertilizers and production of the same in the country; and
- (e)       if so, the details thereof?

## ANSWER

## MINISTER OF STATE FOR CHEMICALS & FERTILIZERS

## (SHRI BHAGWANTH KHUBA)

(a)  &  (b):      The  Government  of  India  through  Department  of  Fertilizers  import  urea (Agriculture purpose) on Government account to bridge the gap between production and  assessed  demand.  The  import  of  urea  and  its  value  in  Billion  US$  during  the 2022-23 is as under:

|   Quantity (in Lakh MT) of urea imported in 2022-23 |   Value of urea in Billion US$ |   Quantity (in Lakh MT) of urea imported from China in 2022-23 |   Value of urea imported from China in Billion US$ |
|-----------------------------------------------------|--------------------------------|----------------------------------------------------------------|----------------------------------------------------|
|                                                75.8 |                          4.751 |                                                           12.8 |                                              0.831 |

So  far  as  P&K  fertilizers  is  concerned  these  grade  of  fertilizers  are  covered under  Open  General  License  (OGL)  under  the  Nutrient  Based  Subsidy  Scheme (NBS). They are imported by the companies on their commercially viable terms. The value of imported P&K fertilizers is not maintained in the Department. However, the quantum of P&K fertilizers imported during the year is given in the table below:

|   Quantity (in Lakh MT) of P&K fertilizers imported in 2022-23 |   Quantity (in Lakh MT) of P&K fertilizers imported from China in 2022-23 |
|----------------------------------------------------------------|---------------------------------------------------------------------------|
|                                                         112.01 |                                                                        13 |

(c) to (e):  The Government had announced New Investment Policy (NIP) - 2012 on 2nd January,  2013  and  its  amendment  on  7th October,  2014  to  facilitate  fresh investment in the urea sector and to make India self-sufficient in the urea sector. Total 6 new urea units have been set up under NIP - 2012. These are Panagarh urea unit of  Matix  Fertilizers  and  Chemicals  Ltd.  (Matix);  Gadepan-III  urea  unit  of  Chambal Fertilizers  and  Chemicals  Ltd.  (CFCL);  Ramagundam  urea  unit  of  Ramagundam Fertilizers and Chemicals Ltd.(RFCL); and 3 urea units namely Gorakhpur, Sindri and Barauni of Hindustan Urvarak & Rasayan Limited (HURL). Each of these units have the  installed  urea  production  capacity  of  12.7  Lakh  Metric  Tonne  per  annum. Therefore,  these  units  have  together  added  76.2  LMT  per  annum  in  the  existing indigenous urea production capacity of the country which is currently 283.74 LMT.

Further, an exclusive policy has been notified on 28th April 2021 for the revival of  Talcher  unit  of  FCIL  by  setting  up  a  new  greenfield  urea  plant  of  12.7  LMT  per annum at coal gasification route.

The Government has notified the New Urea Policy (NUP) - 2015 on 25th May, 2015 with one of the objectives of maximizing indigenous urea production. The NUP2015 has led to additional production of urea as compared to the production during 2014-15.

Following  measures  have  been  taken  by  the  Department  for  increasing domestic production of P&K and other fertilizers:

1. DoF granted has included M/s. Madhya Bharat Agro product Limited UnitII,  Banda Sagar, MP under the NBS scheme for indigenous production of DAP/NPK with installed capacity 2.40 LMT per annum.
2. DoF granted has included M/s. Krishna Phoschem Ltd, MP under the NBS scheme for production of DAP/NPK with installed capacity  3.30 LMT  per annum.
3. PDM  or Potash Derived from Molasses (0-0-14.5-0), which is an indigenously manufactured fertilizer, has been included under  NBS scheme.
4. Freight  Subsidy  on  SSP  which  is  an  indigenously  manufactured  fertilizer has been continued for Kharif 2023 season.
5. Exploration of minerals for raw materials for DAP & other fertilizers in India, in consultation with Ministry of Mines, GSI, MECL, FAGMIL and concerned State Governments is a continuous process.

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