By IANS
Mumbai : Deepak Fertilisers & Petrochemicals Corp Ltd (DFPCL) Wednesday said it had entered into a joint venture (JV) with Norway’s Yara International ASA to produce and market ammonium and specialty fertilizers in India.
The $14 billion Yara International is one of the leading players in ammonia, specialty and bulk fertilizers and Ammonium Nitrate (AN), industrial gases and other diversified chemical and pollution control products.
“This JV will be value-accretive to DFPCL and also benefit its long term strategy in nutrient management through specialty fertilizers,” said DFPCL Vice-Chairman and Managing Director Sailesh Mehta.
As per the deal, the Pune-based DFPCL will own 51 percent of the JV while Yara will own the rest.
The JV will review opportunities for production, marketing and import of specialty fertilisers in focused states like Maharashtra and Gujarat, where DFPCL has considerable strengths.
DFPCL, which has a plant in Raigad district, over 100 km from Mumbai, will develop the ammonium nitrate market and vault up the AN value chain through its international expertise.
The JV will also invest in the 300,000 MT per annum AN plant, presently under construction at Paradip in Orissa.
Yara will bring its international expertise in nutrient management and application of specialty fertilisers for improving productivity and quality of important cash crops, thus improving farm economics.
The DFPCL-Yara tie-up is expected to provide cost effective solutions to the farming community and the mining and infrastructure sector in India.