Page 144 - CW E-Magazine (13-2-2024)

Fertilisers

BACKWARD INTEGRATION
Coromandel’s board approves phosphoric and sulphuric

acid plants at Kakinada

Agrochemicals maker, Coromandel According to the fi ndings of the
International Ltd. has announced that committee, the ammonia leak had
its board of directors has approved a occurred from the under-sea pipeline
proposal to set up new phosphoric acid of Coromandel close to the shore. “The
and sulphuric acid plants at Kakinada signifi cant relocation of heavy granite
in Andhra Pradesh with an investment boulders around the pipeline due to
of Rs. 1,029-crore. The proposal was Cyclone Michaung could have caused
approved at the board meeting held on damage to the pipeline, which resulted
January 30, Coromandel International in the ammonia leak,” the report
said in a stock exchange fi ling. del’s Nutrient and Allied businesses observed.
improved its market share during the
The proposal follows 100% utilisa- quarter amidst decline in sales volumes. The committee had made a total of
tion of the existing 1,550-tpd (tonnes The crop protection business improved 18 technical and safety recommenda-
per day) phosphoric acid and 4,200-tpd its market share during the quarter tions for the plant to carry out before
sulphuric acid plants, and will add 750- amidst decline in sales volumes,” he resuming operations. The committee
tpd to phosphoric acid capacity and added. also directed the plant to submit periodi-
1,800-tpd to sulphuric acid capacity cal reports to regulatory bodies like the
within 24 months. The projects, to be Compensation for Ennore gas leak Tamil Nadu Pollution Control Board
funded through internal accruals/loans, In another development, the Tamil (TNPCB). In addition to accepting
will reduce dependence on imports. Nadu Government has imposed a Rs. recommendations and directing TNPCB
5.92-crore environmental compensation to implement them, the government
Financial results on Coromandel’s fertiliser plant over has also directed the TNPCB to collect
The company, meanwhile, regis- the ammonia leak incident in Ennore Rs. 5.92-crore as environmental compen-
tered a 57% fall in its consolidated net recently. This followed the recommen- sation from the unit for environmental
profi t to Rs. 228-crore for the Decem- dations of the technical committee con- mitigation and take action for non-
ber quarter from Rs. 527-crore in the stituted to enquire about the incident. compliance under Air Act.
corresponding period of the previous
fi scal year. In the third quarter, the total Cabinet approves marketing margin
income stood at Rs. 5,523-crore, mark-
ing a 34% decline compared to Rs. on gas for urea units
8,349-crore in the same period of the
previous year. The Union Cabinet on January 30, approval by the government follows its
2024 gave its nod for the determina- previous determination of marketing
“Agri inputs industry experienced a tion of marketing margin on the supply margin for the supply of domestic gas
challenging quarter with external head- of domestic gas to urea manufacturing to urea and LPG producers in 2015.
winds such as below normal monsoons units, covering the period from May 1,
and lower crop sowings. The NBS rates 2009, to November 17, 2015. This “The approval will provide additional
for the Rabi season underwent a steep decision marks a signifi cant structural capital to the various fertiliser (urea)
downward revision, which coupled reform in the gas marketing sector. units for the component of marketing
with the rising raw material prices, margins paid by them on domestic gas
further impacted the industry’s perfor- Marketing margin is an additional procured during the period 01.05.2009
mance,” Mr. Arun Alagappan, Execu- charge levied by gas marketing compa- to 17.11.2015, based on rates already
tive Vice-Chairman said in a statement. nies over the cost of gas. It is intended being paid from 18.11.2015 onwards,”
to cover the risks and costs associated the Ministry of Petroleum & Natural
“Despite the challenges, Coroman- with the marketing of gas. This latest Gas said.

144 Chemical Weekly February 13, 2024

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