Page 152 - CW E-Magazine (26-9-2023)

Fertilisers Hydrocarbons

EXCESSIVE OFFTAKE FLAGGED FUEL SALES TRENDS

Government calls for judicious use as fertiliser Diesel sales fall in September, petrol consumption up

sales rise 57% above target in August Diesel sales in India fell for the in the second fortnight of that month.
There has been an unprecedented jump percent, followed by 64 percent in complex concern over the excessive use of chemicals second straight month in September as Petrol sales were up 1.2 percent to 1.3-
rains dampened demand and slowed
million tonnes in the fi rst fortnight of
of 57 percent from target in sales of key at 17.35-lt against a demand of 10.58-lt. fertilisers and pesticides that affect soil ferti- industrial activity in some parts of September, when compared with the
fertilisers – urea, DAP and complex – during Urea sales registered a 57 percent surge at lity and also human health. “We have to the country, preliminary data of state- same period last year.
August this year, when monsoon was 36 49.3-lt against an estimated demand of 33.6-lt. reduce the use of chemical fertilisers. There owned fi rms showed. While diesel sales
percent defi cient across the country. As Only muriate of potash (MoP) sales have are alternatives available now like nano- by three state-owned fuel retailers fell Consumption had dropped 10.5
higher sales have a direct link with subsidy, dipped last month – by 27 percent to 1.83-lt liquid urea, nano-liquid DAP, bio-fertilisers year-on-year in the fi rst half of Septem- percent in the fi rst fortnight of July but
the government has decided to implement from 2.49-lt demand. and PROM (Phosphate Rich Organic Manure). ber, petrol sales were up marginally. picked up in the latter half. It had fallen
a two-pronged strategy – to reduce usage I urge farmers to reduce the consumption of by 8 percent in the fi rst half of August.
and check diversion towards non-farm use. Agriculture Minister Narendra Singh chemical fertilisers by 20 percent in the up- Consumption of diesel, the most Sales in the fi rst half of September were
Tomar had earlier raised this issue of in- coming rabi sowing season. This should be consumed fuel in the country account- lower demand in the agriculture sector up 8.8 percent month-on-month, the
In the past, agriculture-grade urea creasing sales of chemical fertilisers despite replaced by alternate crop nutrients,” he said. ing for about two-fi fths of the demand, which uses the fuel for irrigation, har- data showed.
has been diverted to industries that make government’s different schemes aimed at The minister also asked the staff of PMKSK, fell 5.8 percent to 2.72-million tonnes vesting and transportation. Also, rains
resin/glue, plywood, crockery, moulding lowering the usage. Government offi cials the re-named retail outlets of fertiliser com- between September 1 and 15, com- slow vehicular movements. Consumption of petrol during Sep-
powder, cattle feed and industrial mining arrive at the estimated monthly demand panies that are tasked by the government pared to the year-ago period. Consump- tember 1-15 was 29.2 percent more
explosives. After subsidy, the neem-coa- after assessing past sales data and inputs to sell all agri-inputs including seeds, pesti- tion had fallen by a similar proportion Consumption of diesel had soared than in the COVID-marred fi rst half of
ted area, launched as alternative to agricul- received from States. Now, Union Chemi- cides and implements, to educate farmers in the fi rst half of August. 6.7 percent and 9.3 percent in April September 2021 and 20.8 percent more
ture-grade, costs farmers Rs. 266/bag cals and Fertilisers Ministers Mr. Mansukh about the need to reduce chemicals fertilisers and May, respectively, as agriculture than in pre-pandemic September 2019.
of 45-kg. According to data cited by an Mandaviya has urged farmers to reduce the and pesticides. Mr. Mandaviya also warned Month-on-month sales were up 0.9 demand picked up and cars yanked up
Economic Times report, against an estimated use of chemical fertilisers and pesticides dealers and fertiliser companies against the percent, when compared with 2.7 mil- air-conditioning to beat the summer Diesel consumption was up 26 per-
demand of 51.62-lakh tonnes (lt) of urea, by 20 percent in the upcoming rabi (win- diversion of highly subsidised urea to indus- lion tonnes of diesel consumed in the heat. It started to taper in the second cent over September 1-15, 2021, and
Di-ammonium Phosphate (DAP) and ter-sown) season and promised strict action tries. “We have adopted a zero-tolerance fi rst half of August. Diesel sales typi- half of June after the monsoon set in. It 36.4 percent when compared with Sep-
complex (combination of key nutrients against those who divert the subsidised urea policy against diversion of agriculture grade cally fall in monsoon months as rains fell in the fi rst half of July but picked up tember 1-15, 2019.
N, P, K, S), the actual sales were 80.93-lt for other usage than farming. Addressing urea to industries. A detailed action plan
between August 1 and September 1. DAP more than 1,000 farmers at 500 Pradhan has been chalked out to crack down on AIMING FOR NET ZERO
has seen maximum lifting at 14.28-lt against Mantri Kisan Samridhi Kendras (PMK- diversion,” the Minister was quoted in a
an estimated demand of 7.47-lt, up by 91 SKs) virtually, Mr. Mandaviya expressed statement released by the Fertiliser Ministry. OIL to invest Rs. 25,000-crore in clean energy
SUPPLY CHAIN TROUBLES State-owned Oil India Ltd. (OIL) and onshore wind energy projects, as

Fertiliser industry on ‘wait and watch’ mode after intends to invest Rs. 25,000-crore well as Rs. 3,000-crore in a project to
($3.01-bn) in clean energy projects that
produce green hydrogen. Addition-
China bans urea export will help it achieve a net zero carbon ally, CCUS projects would receive
Rs. 1,000-crore in funding. It has already
emission goal by 2040, its Chairman,
The Indian fertiliser industry is on a case of potash,” an industry offi cial said to suspend urea exports after which a few Mr. Ranjit Rath, has said. To this goal, fi rmed up plans for 640-MW of solar
“wait and watch mode” after China repor- clarifying why there is no rush for import. major Chinese fi rms have halted signing new OIL will reduce gas fl aring, commer- projects in Assam and another 150-MW
ted banned urea exports and is not in a hurry He said that whatever has been imported export deals this month. But South Korea’s cialise stranded gas, set up renewable in Himachal Pradesh.
to secure supplies of any fertiliser. Accord- and in pipeline can meet the demand of Finance Ministry issued a statement saying energy production capacity, construct
ing to industry observers, this may help urea until mid-December and other fertili- it has confi rmed that China has not imple- green hydrogen plants, and create bio- Mr. Rath also stated that OIL is work-
prevent any global price rise as demand in zers like DAP and MOP until December. mented an offi cial ban on shipments of gas and ethanol factories. ing on a ‘Mission 4+’ of raising crude oil
India is one of the key factors that infl uence The main sowing window of rabi season urea, at the same time it also said that one including green hydrogen, compressed production to over 4-mt and gas output
rates because of import dependence. is between October and December, though Chinese chemical fertiliser firm has Mr. Rath further stated that the biogas plants, geothermal energy, zero to 5-bcm (billion cubic metres) through
in case of some crops it continues until announced a plan to reduce its export. company plans to lay an 80-km pipe- flaring initiatives, Carbon Capture, a mix of increased exploration to access
“Unlike in the past, this government is January. Farmers keep stocking fertilisers line to bring natural gas from fi elds in Utilisation and Storage (CCUS) projects, fresh reservoirs and technological advan-
hand-holding domestic companies to nego- for rabi season from August-September. India imports about 30% of around 35 Arunachal Pradesh to Assam to help and 2G ethanol plants. cements to boost output from existing
tiate deals with international suppliers million metric tons needed each year for replace polluting liquid fuels in transport fi elds. There has been production of 3.2-
and has been meeting the burden of price According to a recent Bloomberg report, its vast agriculture sector and China was as well as industries. He also mentioned OIL intends to invest over Rs. mt of crude in 2022-23. This year, the
increase through subsidy, except in the China has asked some fertiliser producers its second largest supplier last year. that projects span an array of activities, 9,000-crore in 1,800-MW of solar company has set a target of 3.8-mt.

152 Chemical Weekly September 26 2023 Chemical Weekly September 26, 2023 153

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