India to invest in $1-billion fertiliser plant in Oman

By IANS

Dubai : India is planning to invest in a new $1-billion fertiliser plant in Oman to produce urea.


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“India and Oman have agreed to build another fertiliser project. In terms of capacity, it will be similar to the existing joint venture,” India’s Ambassador to Oman Anil Wadhwa was quoted as saying in local media reports.

“The capital expenditure (of the proposed project) is envisaged at $1 billion. The Indian government has agreed to invest in the project,” he said while interacting with the media at the Indian Pavilion of a trade exhibition in Muscat.

“The location will depend on the availability of gas. It could be an extension of the existing fertiliser project in Sur or could be in some other area.”

India had earlier invested in setting up the $968-million Oman India Fertiliser Company (Omifco) at the Sur Industrial Area in that Gulf nation, which started production of ammonia and urea from March 2005.

Fifty percent of Omifco is owned by the Oman Oil Co, 25 percent by the Indian Farmers Fertiliser Cooperative Ltd (Iffco) and 25 percent by the Krishak Bharati Cooperative Ltd (Kribhco).

Ambassador Wadhwa said that bilateral trade between the two countries touched $1.3 billion last year, adding that it was bound to increase in the coming years.

Over 100 Indian companies have invested in Oman and around 25 Omani companies in India.

The ambassador said investments in the equity market have also become attractive.

Last year, Indian companies got contracts worth $698 million from Oman.

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