FOREWORD

I am extremely happy to release updated edition of IFFCO at a Glance a popular annual compilation providing key information of the Society in a concise format. Its vital information is ready reckoner of statistical data to IFFCO officials and visitors. Important information on International Units is also available at the end under the Chapter Information for International Guests. With best wishes.

(Dr. U.S. AWASTHI) Managing Director

i

INDEX
S. No Chapters 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. A Brief Manufacturing Plants and Performance Marketing and Sales Financial Performance Human Resources, CSR, Bio/Water Soluble Fertilisers Information and Communication Technology Awards and Accolades Growth figures, JVs/Associates and Subsidiaries Vision 2015 Important Information for International Guests 79-85 87-91 93-121 123-130 131-139 iii Page No. 1-11 13-36 37-51 53-61 63-77

ORIGIN OF IFFCO
Till mid sixties cooperatives in India had no production facility despite marketing nearly 70% of fertilisers. IFFCO was established as the farmers own initiative in Cooperative Sector on 3rd Nov. 1967 with the proposed plants at Kalol & Kandla. With the enactment of Multi State Co-operative Societies Act 2002, IFFCO is deemed to be registered as a Multi State Co-operative Society. The Society is fully owned by Cooperatives.

PRODUCTION CAPACITY
No. of Plant Locations : Five Installed/Revamped Annual Capacity (000 MT) UREA NP/NPK/DAP TOTAL N TOTAL P2O5 WSFs ZINC SULPHATE MONOHYDRATE - - - - - - 4242.2 4335.4 2628.2 1712.8 15.0 30.0 (As on March 2012) Largest producer of fertilisers in the country

Contributed about 22% to the total N and 30.8% to the total P2O5 produced in the country during the year 2011-12.
3

SHARE CAPITAL
Authorised Share Capital Subscribed & Paid up Caital : : (As on 31st March 2012) (` in Crore) 1000.00 425.80

(Entire Share Capital held by Cooperatives)

GROWTH OF MEMBER SOCIETIES

(As on 31st March)

CUMULATIVE PRODUCTION TILL DATE

(As on 31st March 2012)

UNIT KALOL PHULPUR - I PHULPUR - II AONLA - I AONLA - II TOTAL KANDLA PARADEEP TOTAL TOTAL

(In Lakh MT) PRODUCT PRODUCTION UREA 162.35 UREA 169.91 UREA 128.51 UREA 204.99 UREA 138.08 UREA 803.84 NPK 307.55 DAP 170.25 NP 41.63 DAP 37.92 NPK/DAP 557.43 FERTS. 1361.27 NUTRIENTS N 447.64 P2O5 194.60

CUMULATIVE ACHIEVEMENTS TILL DATE

FERTILISER PRODUCTION FERTILISER SALE TURNOVER PROFIT BEFORE TAX PROFIT AFTER TAX (As on 31st March 2012) 1361.27 Lakh MT 1604.53 Lakh MT ` 1,90,141 Crore ` ` 9,479 Crore 7,303 Crore 11,506 Crore

CONTRIBUTION TO EXCHEQUER `

HIGHLIGHTS OF 2011-12
Production of Fertilisers (Best 85.83 lakh MT in 2010-11) Highest Production of Urea (Previous best 44.02 lakh MT in 2010-11) Production of NP/NPK/DAP/WSFs (Best 41.81 lakh MT in 2010-11) Sales of Fertilisers (Best 125.88 lakh MT in 2010-11) Sale of Urea (Best 68.23 lakh MT in 2010-11) Sales of NP/NPK/DAP (Best 57.65 lakh MT in 2010-11) * Includes WSFs produced at Kandla Unit ** Includes Water Soluble Fertilisers (WSFs) 8 84.42 lakh MT * 44.87 lakh MT 39.55 lakh MT * 121.84 lakh MT ** 67.88 lakh MT 53.96 lakh MT **

Contd...

HIGHLIGHTS OF 2011-12
Profit Before Tax (Best ` 1025.78 crore in 2010-11) Profit After Tax (Best ` 791.49 crore in 2010-11) Sales Turnover (Best ` 32933 crore in 2008-09) Highest Plant Productivity (Previous best 1710 MT/Emp. in 2010-11) Marketing Productivity (Best 8622 MT/Emp. in 2010-11) Composite Energy Consumption (Lowest 5.814 Gcal/MT of Urea in 2010-11) Fertiliser Despatches (Best 126.55 lakh MT in 2010-11) ` 1017.78 Crore ` 772.18 Crore ` 25599 Crore 1724 MT/Employee 8532 MT/Employee 5.824 Gcal/MT of Urea

125.45 lakh MT 9

GROWTH IN PRODUCTION CAPACITIES

Jan. 75 Apr. 75 Mar. 81 Sep. 81 Jul. 88 Dec. 96 Aug. 97 Dec. 97 Aug. 99 Apr. 01 Apr. 02 Apr. 04 Oct. 05 Dec. 08 Apr. 11 Apr. 12

('000 MT) As on Date UREA

396.0 891.0 891.0 1617.0 2343.0 2491.5 3217.5 3217.5 3689.4 3689.4 3689.4 3689.4 4242.2 4242.2 4242.2

NPK/DAP
415.6 415.6 415.6 881.3 881.3 881.3 881.3 881.3 1600.1 1973.6 2191.1 2415.4 4335.4 4335.4 4350.4 4380.4*

Total Ferts.
415.6 811.6 1306.6 1772.3 2498.3 3224.3 3372.8 4098.8 4817.6 5663.0 5880.5 6104.8 8024.8 8577.6 8592.6 8622.6

* Include WSFs (15000 MT) and Zinc Sulphate (30000 MT) 10

Contd...

GROWTH IN PRODUCTION CAPACITIES

(Lakh MT)

11

KALOL UNIT
YEAR OF COMMISSIONING INVESTMENT YEAR OF EXPANSION INVESTMENT PRODUCT AMMONIA UREA N CAPACITY TPD TPA M.W. KELLOG & HTAS STAMICARBON and H & G 1100 3,63,000 1650 5,44,500 759 2,50,470 : : : : 1975 ` 71.23 Crore 1997 ` 149.70 Crore

TECHNOLOGY

Kalol Unit is producing Neem coated Urea w.e.f. April 2011

15

KANDLA UNIT
YEAR OF COMMISSIONING : INVESTMENT : YEAR OF FIRST EXPANSION : INVESTMENT : YEAR OF SECOND EXPANSION : INVESTMENT :
PRODUCT CAPACITY TECHNOLOGY TPA FOUR STREAMS (A,B,C & D) BASED ON TVA SLURRY GRANULATION PROCESS. TWO STREAMS (E & F) BASED ON AZF PIPE REACTOR TECHNOLOGY. P2O5 9,10,000 N 3,51,540

1975 ` 24.26 Crore 1981 ` 28.60 Crore 1999 ` 205.30 Crore

Kandla unit has added production capacity of Water Soluble Fertilisers (15000 MTPA) and Zinc Sulphate Monohydrate (30000 MTPA)

16

PHULPUR UNIT
YEAR OF COMMISSIONING INVESTMENT YEAR OF EXPANSION INVESTMENT : 1981 : ` 205.2 Crore (Phulpur - I) : 1997 : ` 1190 Crore (Phulpur - II)

YEAR OF DEBOTTLENECKING : 2008 INVESTMENT : ` 185.3 Crore PRODUCT AMMONIA UREA N CAPACITY TPD TPA 2955 9,75,150 5145 16,97,850 2367 7,81,011 TECHNOLOGY KELLOG & HTAS SNAMPROGETTI

Phulpur-I is producing Neem coated Urea w.e.f. August 2011

17

aonla unit
YEAR OF COMMISSIONING INVESTMENT YEAR OF EXPANSION INVESTMENT INVESTMENT PRODUCT AMMONIA UREA N
18

: 1988 : ` 651.6 Crore (AONLA - I) : 1996 : ` 954.7 Crore (AONLA - II) : ` 149.2 Crore

YEAR OF DEBOTTLENECKING : 2008

CAPACITY TPD TPA 3480 11,48,400 6060 19,99,800 2788 9,19,908

TECHNOLOGY HALDOR TOPSOE SNAMPROGETTI

PARADEEP UNIT
INVESTMENT PRODUCT PHOS. ACID SULPHURIC ACID P2O5 (Fert. Grades) N POWER : ` 2237 Crore TECHNOLOGY JACOBS ENG. LURGI GmbH JACOBS ENG.

CAPACITY TPA 8,75,000 23,10,000 8,02,800 3,25,200 2 x 55 MW

19

KALOL EXPANSION PROJECT

IFFCO has envisaged setting up 13 Lakh MT of Urea plant at Kalol. Project cost is likely to be about ` 4500 crore. No objection certificate received from Gujarat Industrial Corporation. Environment clearance has been received from Ministry of Environment and Forests (MoEF). Pre Project activities have been completed. Project activities to start after firm allocation of Gas from GOI.
20

PLANT HIGHLIGHTS OF 2011-12

KALOL Produced 6.00 lakh MT of Urea consecutively for third time with capacity utilisation of 110.2%. Achieved specific energy consumption of 5.935 Gcal/MT of Urea during 2011-12. Transferred 35524 MT of Ammonia to Kandla Unit. PHULPUR Produced highest ever 18.34 lakh MT of Urea with capacity utilisation of 108%. Achieved lowest Specific Energy Cosumption of 5.997 Gcal/MT of Urea (Phulpur-I + Phulpur-II). Phulpur-II produced highest ever 11.33 lakh MT of Urea with capacity utilisation of 113.3%. Achieved lowest specific energy consumption of 5.574 Gcal/MT of Urea during 2011-12.
Contd...

21

PLANT HIGHLIGHTS OF 2011-12

AONLA Produced highest ever 20.53 lakh MT of Urea with capacity utilisation of 102.6%. AonlaI produced highest ever 10.66 lakh MT of Urea with capacity utilisation of 106.7% and operated with specific energy consumption of 5.690 Gcal/MT of Urea. Aonla-II produced 9.87 lakh MT of Urea and operated with specific energy consumption of 5.578 Gcal/MT of Urea.

Contd...

22

PLANT HIGHLIGHTS OF 2011-12

KANDLA The unit produced 21.14 lakh MT of NPK/DAP during 2011-12 including 6024 MT of WSFs. Kandla also started production of Zinc Sulphate Monohydrate. PARADEEP Produced highest ever 18.41 lakh MT of NP/DAP during the year 2011-12 with capacity utilisation of 96%. Paradeep Unit also produced highest ever 20.60 lakh MT of Sulphuric Acid and 7.45 lakh MT of Phos. Acid during 2011-12. Paradeep unit transferred over 93000 MT of Phosphoric Acid to Kandla.
Contd...

23

TOTAL FERTILISER PRODUCTION

(Lakh MT)

24

PRODUCT WISE PRODUCTION PERFORMANCE

(Lakh MT)

25

NUTRIENT WISE PRODUCTION PERFORMANCE

(Lakh MT)

26

UNIT WISE PRODUCTION PERFORMANCE

(Lakh MT) UNIT KALOL PHULPUR-I PHULPUR-II AONLA-I AONLA-II TOTAL PLANT AMMONIA UREA AMMONIA UREA AMMONIA UREA AMMONIA UREA AMMONIA UREA UREA 2007-08 2008-09 3.18 5.45 3.76 6.30 5.20 9.24 5.10 8.76 5.67 9.89 39.63 3.28 5.60 3.93 6.63 4.76 8.41 5.69 9.87 5.90 10.18 40.68 2009-10 2010-11 3.84 6.00 4.23 7.23 5.84 10.00 5.78 10.00 5.84 10.00 43.24 3.95 6.00 4.35 7.45 5.89 10.26 5.86 9.88 5.90 10.43 44.02 2011-12 3.88 6.00 3.93 7.02 6.69 11.33 6.06 10.66 5.78 9.87 44.87 Contd...

27

UNIT WISE PRODUCTION PERFORMANCE

(Lakh MT) UNIT KANDLA PARADEEP PLANT 10:26:26 12:32:16 DAP NPK/DAP NP DAP NP/DAP 2007-08 2008-09 8.41 6.91 4.86 20.18 2.73 5.93 8.66 28.84 68.47 22.36 9.94 10.41 5.38 2.15 17.94 8.70 4.37 13.06 31.0 71.68 23.29 9.18 2009-10 2010-11 11.91 4.61 7.23 23.74 10.98 4.02 15.00 38.74 81.98 25.85 11.94 16.10 8.46 0.60 25.19 7.45 9.17 16.62 41.81 85.83 26.13 12.88 2011-12 4.75 10.30 1.07 4.97 21.14* 8.46 9.95 18.41 39.55 84.42 26.95 13.32

20:20:00

TOTAL (KDL+PRD) TOTAL FERTS MATERIAL NUTRIENTS * Includes WSFs N P2O5

28

STREAM DAYS ACHIEVED

UNIT KALOL PHULPUR-I PHULPUR-II AONLA-I AONLA-II PLANT AMMONIA UREA AMMONIA UREA AMMONIA UREA-I UREA-II AMMONIA UREA-I UREA-II AMMONIA UREA-I UREA-II 2007-08 2008-09 315 320 341 332 329 339 322 313 285 307 334 330 322 336 331 328 319 293 299 301 338 335 343 346 331 334 2009-10 2010-11 344 345 346 331 344 342 346 347 337 343 322 318 316 354 348 359 353 329 322 327 333 327 313 344 345 350 2011-12 353 348 323 331 365 359 363 351 347 346 329 328 328 Contd...

29

STREAM DAYS ACHIEVED

UNIT KANDLA PLANT TRAIN A TRAIN B TRAIN C TRAIN D TRAIN E TRAIN F AVERAGE 2007-08 2008-09 242 249 248 239 225 235 240 @ 206 203 218 194 206 190 203 @ 2009-10 2010-11 259 279 306 281 288 293 286 312 311 302 296 300 291 302 2011-12 277 287 283 254 265 283 275@

@ Low due to shortage of raw materials Contd...

30

STREAM DAYS ACHIEVED

UNIT PARADEEP SAP TRAIN - I TRAIN - II TRAIN - A TRAIN A TRAIN B TRAIN C AVERAGE 268 221 275 165 107 151 141 248 271 306 232 218 220 223 316 316 319 261 263 262 262 334 291 322 268 263 278 270 318 327 350 263 257 277 266 PLANT 2007-08 2008-09 2009-10 2010-11 2011-12

PAP NP/DAP

31

CAPACITY UTILISATION
(As Percentage) UNIT KALOL PRODUCT 2007-08 2008-09@ 2009-10@ 2010-11@ 2011-12@ UREA 100 114 107 101 114 73 41 94 58 103 109 93 106 109 60 47 94 53 110 104 100 100 100 87 50 98 70 110 107 103 99 104 79 71 99 75 110 101 113 107 99 78 78 102 78

PHULPUR-I UREA PHULPUR-II UREA AONLA-I AONLA-II KANDLA UREA UREA P2O5

PARADEEP P2O5 TOTAL N P2O5

@ As per revamped capacity with effective dates.

32

Specific Energy Consumption of Urea Plants

ENERGY (Gcal/MT Urea) Plant KALOL PHULPUR - I PHULPUR - II AONLA - I AONLA - II Composite Energy Consumption
* Provisional

2007-08 5.956 6.862 5.833 5.706 5.517 5.907

2008-09 5.949 6.895 5.988 5.697 5.522 5.943

2009-10 5.796 6.687 5.666 5.690 5.544 5.832

2010-11 5.731 6.670 5.669 5.676 5.522 5.814

2011-12* 5.935 6.680 5.574 5.690 5.578 5.824

Contd...

33

Specific energy consumption of Phosphatic Plants

ENERGY (Gcal/MT P2O5) PLANT KANDLA PARADEEP

* Provisional

2007-08 0.275 2.558

2008-09 0.304 2.111

2009-10 0.244 1.784

2010-11 0.288 1.104

2011-12* 0.279 1.526

34

Commitment to Better Environment

All IFFCO Units and townships have attractive landscape surrounded by thousands of trees. IFFCO is committed to improve safety, health and environment in and around our plants in line with international norms. More and more energy saving devices are being deployed in IFFCO premises all over India.

35

QUALITY MANAGEMENT / CERTIFICATION

Kalol Unit has IMS for ISO 9001-2008, ISO 14001 2004 and OHSAS 18001-2007 certified by Bureau Veritas Certification (India). Phulpur Unit is the first in Fertiliser Sector to be accredited with BSEN 15001 Certification by BSI, for its Energy Management System. Aonla Unit has been certified for International Standard EN 16001-2009, ISO 9001-2008, ISO 14001-2004 and OHSAS 18001-2007 by M/S QS Zurich AG, Zurich. Kandla Unit has got re-certification for ISO 14001-2004 till November 2012. Paradeep Unit is having ISO 14001-2004 and OSHAS 180012007 Certificates from Bureau Veritas.
36

SALES PERFORMANCE
Marketing Division of IFFCO achieved sale of 121.84 lakh MT fertilisers during 2011-12. Previous best was 125.88 lakh MT in 2010-11. Society achieved sale of 67.88 lakh MT Urea and 53.96 lakh MT NP/NPK/DAP/WSFs during 2011-12. Previous best sale was 68.23 lakh MT Urea and 57.65 lakh MT NP/NPK/DAP during 2010-11.

39

MARKETING TERRITORIES OF IFFCO

40

MARKETING CHANNELS
Distribution of fertilisers mainly through the Cooperative System: State level Apex Cooperative Marketing Federation acts as wholesaler Direct supplies to Societies in some States IFFCO-NCDC Cooperative Societies Small quantities to institutional agencies like Agro Industries Corporation etc 157 IFFCO Farmers Service Centres
41

DISTRIBUTION & WAREHOUSING

TRANSPORTATION Both by Rail (91%) and Road (09%) WAREHOUSING Federations & Cooperative Godowns Central Warehousing Corporation (CWC) and State Warehousing Corporation (SWC)

42

Despatches of fertilisers
(Qty. in Lakh MT)

2007-08 KALOL KANDLA PHULPUR AONLA PARADEEP SUB TOTAL IMPORTED TOTAL 5.45 20.24 15.54 18.66 8.74 68.63 11.30 79.93

2008-09 5.60 17.89 15.03 20.05 13.05 71.62 34.98 106.60

2009-10 6.00 23.85 17.23 20.00 15.00 82.08 35.58 117.66

2010-11 6.00 25.25 17.71 20.30 16.62 85.88 40.67 126.55

2011-12 6.00 21.37 18.32 20.52 18.45 84.66 40.79 125.45

43

TOTAL SALE OF FERTILISERS

(Lakh MT)

44

SALES PERFORMANCE
(Lakh MT)

45

SALES PERFORMANCE
(In Lakh MT)
PRODUCT UREA OWN IMPORTS TOTAL 2007-08 39.66 14.63 54.29 4.05 9.31 8.84 22.20 14.23 2.36 16.59 0.16 38.95 93.24 2008-09 40.71 17.98 58.69 8.20 10.76 5.51 24.47 6.63 21.91 28.54 0.88 53.89 112.58 2009-10 43.22 20.13 63.35 11.38 11.95 4.62 27.94 11.13 15.84 26.98 0.00 54.92 118.27 2010-11 43.74 24.49 68.23 7.51 17.16 8.38 33.05 9.85 14.71 24.56 0.00 57.65 125.88 2011-12 44.77 23.11 67.88 10.71 7.91 10.09 28.71 14.19 10.99 25.18 0.00 53.96 121.84

20:20:0 10:26:26 12:32:16 NP/NPK DAP NP/NPK/DAP/MOP TOTAL OWN IMPORTS TOTAL DAP TOTAL*

MOP TOTAL FERTS.

* include water soluble fertilisers and imported NP/NPK/DAP

46

SALES DURING KHARIF SEASON

(Lakh MT)

47

SALES DURING KHARIF SEASON

(In Lakh MT)

PRODUCT UREA NP NPK 10:26:26 NPK 12:32:16 NP/NPK DAP/MAP MOP TOTAL NPK/DAP TOTAL FERTS. 48

2007 23.34 2.81 3.78 5.69 12.28 7.82 0.00 20.10 43.44

2008 24.81 3.75 6.49 2.96 13.20 15.15 0.88 29.22 54.03

2009 27.70 4.57 3.12 1.48 9.17 18.18 0.00 27.35 55.05

2010 30.02 3.34 7.95 5.97 17.26 11.49 0.00 28.79 58.81

2011 31.46 5.62 2.32 4.93 12.87 10.98 0.00 23.85 55.31

SALES DURING RABI SEASON

(In Lakh MT)

49

SALES DURING RABI SEASON

(In Lakh MT)

PRODUCT UREA NP NPK 10:26:26 NPK 12:32:16 NP/NPK TOTAL DAP/MAP MOP TOTAL NPK/DAP # TOTAL FERTS. #

2007-08 30.95 1.24 5.52 3.15 9.91 8.92 0.02 18.85 49.80

2008-09 33.89 4.45 4.27 2.55 11.27 13.39 0.00 24.66 58.55

2009-10 35.65 6.81 8.83 3.14 18.78 8.79 0.00 27.57 63.22

2010-11 2011-12 38.21 4.17 9.21 2.41 15.79 13.07 0.00 28.86 67.07 36.42 5.08 5.59 5.17 15.84 14.20 0.00 30.11 66.53

# Include water soluble fertilisers

50

Handling of imported Fertilisers

Qty. (Lakh MT) Particulars OMIFCO UREA No. of VESSELS UREA (GOI A/C) No. of VESSELS DAP No. of VESSELS MAP/NPK No. of VESSELS TOTAL Fertilisers No. of VESSELS 2007-08 9.76 32 5.36 19 2.19 6 0.0 0 17.31 57 2008-09 9.55 30 7.82 26 21.98 66 0.50 7 39.85 129 2009-10 10.19 32 10.33 30 15.88 39 0.0 0 36.40 101 2010-11 10.02 31 14.49 30 14.75 33 1.32 4 40.58 98 2011-12* 10.51 27 13.83 33 11.44 24 6.77 19 42.55 103

* 2 vessels of NP transferred to Kandla Unit

51

FINANCIAL PERFORMANCE
(In ` Crore) Particulars SALES TURNOVER PROFIT BEFORE TAX PROFIT AFTER TAX SHARE CAPITAL RESERVES AND SURPLUS NETWORTH INVESTMENTS 2007-08 2008-09 2009-10 16808.57 567.28 401.10 426.24 3844.26 4270.50 892.33 2010-11 2011-12 12162.82 32933.30 380.52 257.59 423.93 3264.73 3688.66 770.57 441.95 360.01 426.28 3532.59 3958.87 914.00 21195.16 25598.97 1025.78 791.49 425.95 4542.09 4968.04 1169.91 1017.78 772.18 425.80 5219.57 5645.37 1300.16

55

PROFIT BEFORE TAX (PBT)

(In ` Crore)

56

PROFIT AFTER TAX (PAT)

(In ` Crore)

57

TURNOVER
(In ` Crore)

58

NETWORTH
(In ` Crore)

59

CREDIT RATINGS ASSIGNED TO IFFCO

CRISIL Ratings : AA-(outlook stable) rating on IFFCOs Long Term Borrowing Programme. This rating indicates high degree of safety with regard to timely payment of interest and principal on the instrument. A1+ rating to IFFCOs Rs. 100 Crore Commercial Paper Programme. This rating indicates that the degree of safety with regard to timely payment of interest and principal on the instrument is Very Strong. Governance and Value Creation (GVC) rating at GVC Level 2. This rating indicates that the capability of the Society with respect to wealth creation for all its stakeholders, while adopting sound corporate governance practices, is high.
Contd...

60

CREDIT RATINGS ASSIGNED TO IFFCO

FITCH Ratings : Short Term Rating of AA(Ind)/A1+(Ind) to IFFCOs working

capital/short term borrowings. This rating indicates that the degree of safety with regards to timely payment of interest and principal on the instrument is very strong.

Long Term Rating of AA (Ind) (outlook Stable) to the Long Term Debt Programme of IFFCO. This rating indicates high degree of safety with regard to timely payment of interest and principal on the instrument.

CARE Ratings : A1+ (A one plus) rating to IFFCOs working capital facilities /

Short Term Loans, which indicates very strong degree of safety regarding timely payment of financial obligations.

AA (Double A) rating to long term borrowings, which indicates high degree of safety regarding timely servicing of financial obligations. 61

PLANT PRODUCTIVITY PER EMPLOYEE (MT)

(Production Units)

65

SALE PRODUCTIVITY PER EMPLOYEE (MT)

(Marketing Division)

66

CORPORATE SOCIAL RESPONSIBILITIES

Corporate Social Responsibility is our commitment towards sustainable economic development, working with employees and their families, the local community and society at large to improve their quality of life. Society has undertaken activities in the areas of community development, environment protection and horticulture, health care, medical facilities and literacy enhancement/ empowerment programme. IFFCO spent ` 42.60 crore during 2011-12 on various social and community development praogrammes.

67

SERVICE TO FARMERS
Agricultural Extension and fertiliser use promotion programmes are an integral part of the marketing activity. Programmes are conducted through Area/State/Zonal offices under able guidance of agricultural scientists. Programmes undertaken are : Balanced Fertilisation programmes Adoption of villages for all round socio-economic development Farmers visit to various agricultural institutes and research farms Farmers Meetings, Field Days and Crop Seminars Static/Mobile Soil Testing Laboratories with Audio-visual aids
Contd...

68

SERVICE TO FARMERS
(Number)

PROGRAMME TWO PLOT DEMONSTRATION FARMERS MEETINGS FIELD DAYS CROP SEMINARS CRITICAL INPUT PACKAGES SOIL TESTING CAMPAIGNS

2007-08 2008-09 2009-10 2010-11 2011-12 1006 3433 779 169 6519 530 806 3450 807 124 6842 542 881 3586 825 153 8125 497 843 3341 800 155 10929 484 788 3269 783 165 27304 435
Contd...

69

SERVICE TO FARMERS
(Number)

PROGRAMME VETERINARY CAMPAIGNS MEDICAL CHECKUP SALES POINT PERSONNEL TRAINING FARMERS TRAINING AND VISITS (PP) VILLAGES ADOPTED
PP Persons participated

2007-08 2008-09 2009-10 2010-11 2011-12 165 108 1111 5167 121 10 1070 5912 119 114 894 3711 140 130 824 5131 146 138 832 4474

431

438

434

411

398

Contd...

70

SERVICE TO FARMERS
(` In Lakh) ITEM GRANTS TO CORDET DEMONSTRATION EXPENSES BENEFIT TO FARMERS TRAINING EXPENSES OTHER PROM. PROG/CROP FILMS/IRDP ETC. SANKAT HARAN BIMA YOJANA TOTAL EXPENDITURE 2007-08 186.47 252.22 1010.67 183.26 586.22 2008-09 225.16 249.01 2036.60 192.13 810.52 2009-10 236.54 347.67 1793.34 164.97 567.97 2010-11 2011-12 251.75 340.88 243.75 463.35

1283.62 1846.44 217.34 890.08 234.10 836.97

822.00 3040.84

880.00 4393.42

948.00 4058.49

1248.00 1135.00 4231.67 4760.01 Contd...

71

SERVICE TO FARMERS
Other Social Activities/Development Programmes include: Supply of fodder in drought prone areas Veterinary Checkup and Distribution of Medicines

Human Health Checkup and Distribution of Medicines Providing drinking water facilities Assistance to School / School children Watershed development projects

72

COOPERATIVE RURAL DEVELOPMENT TRUST (CORDET)

PROMOTED BY IFFCO LOCATION and Annual Capacity (Bio-Fertilisers) KALOL (165 MT from Nov. 2003, 200 MT from April 2009 & 300 MT from April 2011) PHULPUR (U.P.) (75 MT from March 1996, 325 MT from April 2009 & 1000 MT from April 2011) KANDLA (GUJARAT) ACTIVITIES OF CORDET Farmers Training Soil Testing Production of Bio Fertilisers Demonstration Farming Seed Multiplication
73

PRODUCTION OF BIO - FERTILISERS

(Qty. in MT)

CORDET - PHULPUR & KALOL STRAIN Rhizobium Azotobacter PSB Azospirillium Acetobacter Total Production 2007-08 2008-09 2009-10 2010-11 2011-12 17.25 168.82 211.01 12.49 5.59 415.16 11.70 224.76 284.08 7.03 2.35 529.91 220.80 14.54 316.48 368.38 9.36 10.52 719.28 137.01 17.14 361.61 431.65 13.59 14.24 20.49 513.29 592.19 14.80 8.31

838.23 1149.08 159.66 124.00

Capacity Utilisation (%) 172.98

74

SALE OF BIO - FERTILISERS

(Qty. in MT)

STRAIN Rhizobium Azotobacter PSB Azospirillium Acetobacter Total Sale

2007-08 17.66 173.90 219.49 11.30 9.87 432.22

2008-09 11.60 235.61 283.05 8.80 2.64 541.10

2009-10 14.52 302.71 353.35 9.94 10.52 691.04

2010-11 17.22 364.91 441.34 13.45 14.16 851.08

2011-12 20.49 503.07 588.55 14.66 8.39 1135.16

75

PRODUCTION & SALE OF LIQUID BIO - FERTILISERS

(Qty. in Litre)

SALES

STRAIN 2009-10 3637.75 3941.25 7579.00 124.5% 1910.00 2167.75 4077.75 2010-11 8081.25 7984.00 16065.25 263.4% 7603.50 7759.25 15362.75 2011-12 19784.50 17963.25 37747.75 301% 18152.25 16336.50 34488.75 Azotobacter PSB TOTAL Capacity Utilisation Azotobacter PSB TOTAL

PRODUCTION

Annual capacity : Phulpur : 5000 litre ( from April 2009/15000 litre from April 2011) Kalol : 1100 litre from April 2009/4000 litre from April 2011)

76

WATER SOLUBLE FERTILISERS (WSFs)

Increase in area under drip irrigation Demand for 100% Water Soluble Fertilisers are increasing in the country IFFCO successfully produced 165 MT, 470 MT, 2385 and 6024 MT of WSFs during the year 2008-09, 2009-10, 2010-11 and 2011-12 respectively at its Kandla Unit Commercial production of WSFs at Kandla Unit has started from April 2011 SALE OF WSFs
17:44:00 19:19:19 SOP 18:18:18 TOTAL

(in MT) 2010-11

1888.0

Product

2011-12

3527.1

1911.8 72.3 0.0 3873.0

1816.5 531.5 0.2 5875.3

77

Major ICT Activities

Wide Area Network (WAN) upto Area Office level with Corporate Server at Delhi. Virtual Private Network (VPN) connecting all Offices of IFFCO. IP Telephones available upto Area Office with video facility. Video conferencing extensively used nationally and internationally Among first Corporate to successfully implement e-procurement based on Public Key Infrastructure, Digital Certificate under legal framework of IT ACT 2000. Integrated ERP Applications in all Areas like HR, Finance, Marketing, Transportation, Materials, Maintenance, Production etc. Biometrics Attendance Recording System introduced in all Units.

IFFCO IT team is providing regular support to all IFFCO JVs Contd...

81

Major ICT Activities

Most of the Software developed by in-house expertise, often consulted by other organizations. HRMS, an in-house developed ERP, having 25 applications for better Corporate Governance and internal workflow. Intranet applications on Rules & Procedures, News, Weather, Crop growing periods, Notice Board, Technical Papers, Telephone, Blood Group, Software Project Monitoring, Hardware Complaints and Annual Confidential Reports etc. Multilingual Agri Information Portal to extend benefit of ICT to Cooperatives and farmers. More than 100 touch screen based Kiosks installed in 16 states. Work flow applications implemented to reduce paper work. Hosted Contact Centres and Kissan Call Centres have been setup to support the Farmers Community.
Contd...

82

ICT ACTIVITIES DURING 2011-12

Bandwidth of all links at Corporate office, New Delhi, from Airtel, Tulip and BSNL were upgraded from 52 Mbps to 72 Mbps. High Definition LED based Tele-presence Video Conferencing system have been installed at Head Office, State Marketing Offices for conducting Video Conferencing between these Offices & all State Marketing Offices.The setup established can facilitate Video with 20 locations at one time. Oracle ERP system implemented in HO, MKCO, Phulpur, Kalol, Paradeep Units, all State and Area Marketing Offices. Server Consolidation has been done at HO resulting into optimum resource utilization. Implementation of ERP at Kandla and Aonla has been planned during 2012-13.
Contd...

83

IP based Video Conferencing Setup

Multi-site (20 sites) High Definition (HD) VC unit with Bridge at Corporate office, New Delhi. Being heavily used for National and International internal meets, Departmental Interviews and Reviews, Board Meetings etc., Can connect upto 20 sites at a time. Received Green IT Award

84

IFFCO WIDE AREA NETWORK (WAN)

85

MAJOR AWARDS RECEIVED DURING 2011-12

IFFCO rebagged the 1st position in the Fertiliser and Agro Chemicals category and 37th position in the overall rankings for the year 2011 by India Edition of Fortune Magazine. IFFCO is the only Cooperative Society amongst the top 50 Indian companies in this ranking. IFFCO bagged several recognitions and Awards for its IT, Human Resource and Technical Divisions like CIO100 Awards 2011, Hall of Fame Award, Top 100 CISO Award 2011 and Best HR Practicing Organisation etc.

Contd...

89

MAJOR AWARDS RECEIVED DURING 2011-12

KALOL AND PHULPUR-I jointly won the FAI Award for Best Overall Performance of An Operating Fertilisers Unit for Nitrogen (Ammonia and Urea) for the year 2010. KALOL Unit was awarded Certification of Appreciation in recognition of appreciable achievement in Occupational Safety & Health in the category of manufacturing sector for the assessment period 2007 to 2009 by National Safety Council of India-Safety Awards -2010. KALOL Unit also received Certificate of Honour by Gujarat Safety Council and Directorate of Industrial Safety and Human in recognition of working for more than 3 million man hours without any accident during 2010. The unit also received 8 trophies for Horticulture from Gujarat Horticulture Association, Ahmedabad. PHULPUR Unit received Winner Trophy for National Safety Award 2009, from Ministry of Labour & Employment. PHULPUR Unit was declared runner-up for FAI Environment Protection Award in the nitrogenous fertiliser plants category for the year 2010-11. Contd...

90

MAJOR AWARDS RECEIVED DURING 2011-12

AONLA Unit won IFA Green Leaf Award 2011 for excellence and innovation in the field of Safety, Health and Environment (SHE) Management. Aonla also received Safety awards from FAI, IOE (India), DG FASLI, NSCI, Golden Peacock Award etc. AONLA unit was also conferred the Greentech Foundation Award for outstanding achievements in the implementing innovative learning and development practices at its unit and Enterprises Driving Growth and Excellence (EDGE) Award 2011 from United Business Media (I) Private Ltd. PARADEEP Unit received the FAI Award for the Best Technical Innovation actually implementing in the field of Fertilisers Production Technology for the year 2010-11. IKSL received Coffey International Award, Best Jury Award for ICT enabled Agriculture Initiative and SKOCH Digital Inclusion Award 2011 for its valuable contribution rendered to the farming community. IFFDC also won The Times of India Social Impact Award for its excellent performance in the field of improving rural livelihoods.

91

IFFCOs GROWTH
As on 01.04.1995 (Before) 31.03.2000 (During Vision 2000) 31.03.2005 (During Mission 2005) 31.03.2010 (During Vision 2010) 31.03.2015* (During Vision 2015) Achievements During 2011-12 * Targets Production (000 MT) 2935.6 5275.6 6153.7 8197.8 15000 8442.2 Sales (000 MT) 3216.3 5172.1 6464.5 11826.5 15000 12184.2 Turnover (` crore) 1931.93 4688.93 7396.98 16808.57 30000 25598.97 Net Worth (` crore) 1219.00 2386.73 3301.15 4270.50 7500 5645.37

95

INVESTMENTS
(As on 31.03.2012) JVs / SUBSIDIARIES / ASSOCIATES IFFCOs Equity (` in Crore) 80.37 2.68 394.58 329.08 13.50 27.75 66.60 1.20 270.54 3.65 % of Equity 18.54 34.00 72.64 25.00 8.88 20.64 74.00 100.00 27.00 72.99 Contd.

Industries Chimiques du Senegal (ICS) Indian Potash Limited (IPL) IFFCO TOKIO General Insurance Company Ltd. (ITGI) Oman India Fertiliser Company Ltd. (OMIFCO) National Commodity and Derivatives Exchange Ltd. (NCDEX) National Collateral Management Services Ltd. (NCMSL) IFFCO Chhattisgarh Power Ltd. (ICPL) Kisan International Trading FZE (KIT) Jordan India Fertilizer Company (JIFCO) IFFCO Kisan Sanchar Ltd. (IKSL)

96

INVESTMENTS
(As on 31.03.2012) JVs / SUBSIDIARIES / ASSOCIATES IFFCOs Equity (` in Crore) 48.75 15.00 15.00 12.54 2.34 0.10 % of Equity 100.00 100.00 15.00 95.38 1.00

IFFCO Kisan SEZ Ltd. IFFCO Kisan Bazar and Logistics Ltd. Universal Commodity Exchange Ltd. Indian Farm Forestry Development Cooperative Ltd. (IFFDC) GrowMax Agri Corp Maharashtra State Cooperative Bank Ltd.

Contd.....

97

INFRASTRUCTURAL INVESTMENTS
Project/Location Jetty at Kandla Unit Barge Jetty at Kandla Unit * Naphtha tank wagons Railway line/siding * at Kandla and Paradeep Marine Cargo Terminal at Paradeep * * Work in progress Objective To handle liquid Raw Materials To handle Solid RMs and Imported Ferts. 100 tank wagons for movement of Naphtha to Phulpur Speedy Movement of Fertilisers Transportation of Fertilisers Project Cost ` 24 Crore ` 35 Crore ` 15 Crore ` 82 Crore ` 40 Crore

Contd...

98

INVESTMENT FOR CAPACITY INCREASE

In the year 1993, IFFCO initiated major Expansion Projects for all the four operating units by setting up new plants or by way of expansion of existing plants By the year 1999, all the four projects of IFFCO were completed at a cost of ` 2500 crore without any cost and time overrun Investment to the equity capital was made from internal resources of the Society Production capacity of the Society was doubled
Contd...

99

INVESTMENT FOR CAPACITY INCREASE

Aonla project completed ahead of schedule in Dec 1996 at a cost of ` 955 crore. Commercial production started from 25.12.1996 Kalol Ammonia and Urea Plants Revamped in August 1997 at an investment of ` 149.7 crore Phulpur Expansion Project completed in December 1997 within 32 months from the zero date at an investment of ` 1190 crore. Commercial Production started from 22.12.1997 Kandla Expansion completed at a Project cost of ` 205.3 crore and commercial production started on 5.8.1999, 77 days ahead of schedule
Contd...

100

INVESTMENT FOR CAPACITY INCREASE

Energy Saving Project (ESP) implemented in all Ammonia and Urea Plants at Kalol, Phulpur and Aonla units with total investment of ` 412 Crore (USD 90 Million). Capacity Enhancement Project (CEP) increased Urea capacity to 42.42 lakh tonne from 36.89 lakh tonne. Acquired NPK/DAP Plant of 2 Million MTPA at Paradeep alongwith Phosphoric Acid and Sulphuric Acid plant at a cost of USD 505 Million in October 2005.

101

Industries Chimiques du Senegal (ICS)

IFFCO held 18.54 % equity in ICS as on March 31, 2012. Industries Chimiques du Senegal (ICS) was established following an agreement between the Government of India and Government of Senegal in March 1980. The commercial production of the Phosphoric Acid plant at Darou, Senegal commenced in April, 1984. The Darou plant had an initial installed capacity of 240,000 Tonne Per Annum (TPA) of Phosphoric Acid in terms of P2O5 and the Mbao Plant of 200,000 TPA NPK fertilizer. The Darou plant was debottlenecked in 1991 to increase its capacity to 330,000 TPA P2O5. ICS implemented Expansion Project to increase the capacity of Phosphoric Acid to 660,000 TPA P2O5 in February 2002. ICS was recapitalized in April 2008 and a Consortium led by IFFCO took over the management control of ICS. Since acquiring the management control, major investments has been taken up for rehabilitation of ICS plants. ICS exported 3.66 lakh MT of Phosphoric Acid in terms of P2O5 to IFFCO during the year 2011 as against 3.10 Lakh MT during the year 2010.

102

Indian Potash Limited (IPL)

IFFCO held 34% equity in IPL as on March 31, 2012. IPL is primarily engaged in import and trading of Potash and Fertilisers. IFFCOs demand of Potash for its complex fertilizer plant at Kandla is also sourced from IPL. During the year 2010-11, the company achieved a healthy increase in volume sales of MOP, DAP and Urea resulting in sales turnover of ` 20,454 Crore.

103

IFFCO-TOKIO GENERAL INSURANCE CO. LTD. (ITGI)

ITGI was established in the year 2000 in collaboration with Tokio Marine Asia with opening of the Insurance Sector for private investment. IFFCO held 72.64% equity in ITGI as on March 31, 2012. Indian Potash Ltd. and Tokio Marine Asia hold 1.36% and 26% equity in ITGI respectively. The scope of operations of ITGI includes a mix of following: Rural Insurance Business Fire Insurance Business Marine Insurance Business Miscellaneous Insurance Business

During the financial year 2011-12, ITGI recorded a Gross Written Premium (GWP) of ` 2026 Crore. ITGI was ranked at third position amongst the private players in India. IFFCO-TOKIO has a 100% subsidiary called IFFCO-TOKIO Insurance Services Ltd which commenced its operations in Sept 2003.
Contd...

104

OPERATIONS OF ITGI
Cooperative Institutions like State, District and Urban Cooperative Banks, Cotton Cooperatives, Dairy Cooperatives and Sugar Cooperatives are used for selling ITGI products. To strengthen Cooperative Channels, ITGI is recruiting Agents from Cooperative Societies so that the benefits of Insurance reaches the village populace. Cooperative Agents are trained and all the expenses are borne by ITGI. Society gets an additional income by way of Commission. ITGI has been identified for Micro Insurance innovation Grant by International Labour Organization (ILO) to carry out the Cattle Insurance project called Pashudhan Bima. The Company participated actively in Rashtriya Swasthya Bima Yojna (RSBY) of Govt. Of India and extended health Insurance to more than 5 lakh Below Poverty Line (BPL) Families. Contd... 105

INSURANCE PRODUCTS OF ITGI

Apart from meeting general insurance requirements of rural area like policies for Home, Shops, Tractors, two Wheelers etc., ITGI has also launched various products to cater to insurance needs of the farming community in rural areas:
106

Barish Bima Yojna Mausam Bima Yojna Kisan Suvidha Bima Yojna Mahila Suraksha Bima Yojna Janta Bima Yojna Jansuraksha Bima Yojna Janswasthaya Bima Yojna Sankat Haran Bima Yojna Fasal Bima Yojna

SANKAT HARAN BIMA YOJANA BY ITGI

This Unique Policy which is linked with the purchase of fertiliser bag from Cooperative Society and Sponsored by IFFCO has entered in 12th year. Maximum liability limited to ` 1 lakh irrespective of the number of bags purchased. Cash receipt is evidence of insurance cover. During the period, the Policy provided insurance cover to approximately 76.51 lakh farmers. Disbursed claims to the tune of ` 71.81 crore since September 2001.
Contd...

107

IFFCO Kisan Sanchar Ltd. (IKSL)

IFFCO held 72.99 % equity in IKSL as on March 31, 2012. IKSL was incorporated in April 2007 with the objective to use Information Communication Technology to empower farmers in rural India and to strengthen the cooperative network in the country. During the year 201112, IKSL achieved a turnover of ` 183.7 crore.

Contd...

108

IKSL OPERATIONS
The Company provides Value Added Services through mobile phones, which includes disseminating five free voice messages daily to the farmers IKSL received the prestigious Business in the Communitys (BITC) Award for Excellence 2011- Coffey International Award in UK. IKSL received Best Jury Award at eWorld Forum 2011, SKOCH Digital Inclusion Award 2011 and Grand Jury Award of the Manthan Award South Asia. IKSL has been awarded the work of establishing and operating Kisan Call Centre (KCC) services by Department of Agriculture and Cooperation (DAC), Ministry of Agriculture, Government of India.

109

Kisan International Trading FZE (KIT)

Kisan International Trading FZE (KIT), a wholly owned subsidiary of IFFCO was set up as a trading and investment venture in Dubai in April 2005 primarily to handle imports, exports and logistics support for various fertilizers, fertilizers, raw materials and intermediates. KIT actively trades in Rock Phosphates, Ammonia, Phosphoric Acid, Urea, Di-Ammonium Phosphate (DAP), Mono-Ammonium Phosphate (MAP), NP Fertilisers NP 20:20:0, NP 16:20:0, 13S, Sulphur, specialty Water Soluble Fertilisers like Sulphate or Potash, Iron Ore, Furnace Oil and Zinc Ash. The Company also undertakes logistics for transportation of Ammonia to IFFCO under the Ammonia offtake Agreement of IFFCO with Oman India Fertiliser Company (OMIFCO) at Sur in Oman. KIT has made strategic investments in leading organizations like Legend International Holdings Inc, Australia, Americas Petrogas Inc, Canada, Grow Max Agricorp, Canada, and Jordan India Fertilizer Company LLC (JIFCO). KIT has established a 100% subsidiary namely FERT COOP Trading LLC, Dubai to deal in local trading activities in UAE.

110

OMAN INDIA FERTILISER COMPANY (OMIFCO)

IFFCO held 25% equity in OMIFCO as on March 31,2012. OMIFCO two-train Ammonia-Urea Fertiliser manufacturing plant with Ammonia and Urea capacities of 2x1750 TPD and 2x2530 TPD respectively at the Sur Industrial Estate in the Sultanate of Oman. The Complex is designed to produce 1.652 million tonne per year of granulated urea and 0.25 million tonne per year of surplus Ammonia using Natural Gas as feedstock. The Commercial production started from July 14, 2005. Natural Gas is supplied by the Ministry of Oil and Gas, Sultanate of Oman under long term Gas Supply Agreement. Entire production of Urea is being purchased by Government of India under a long term Urea Offtake Agreement. The Surplus Ammonia is being purchased by IFFCO under a long term Ammonia Offtake Agreement. The Company sold 2.04 million MT of Urea and 0.16 million MT of surplus Ammonia during the year 2011. 111

National Commodity and DerivativeS Exchange (NCDEX)

IFFCO held 8.88% equity stake in NCDEX as on March 31, 2012. NCDEX is the leading Commodity Exchange setup by NABARD, ICICI, NSE, LIC and IFFCO. Other Major Shareholders include Jaypee Capital Services Ltd., Shree Renuka Sugars Ltd., CRISIL, PNB, Canara Bank and Goldman Sachs. NCDEX is a leading nationwide commodity exchange which provides online trading platform for commodity futures. NCDEX has over 720 Trading and Clearing Members, 124 trading members and more than 43,198 trading terminals spread over 700 centers across the country. Commodities traded on the Exchange stood at 32 comprising of 21 agricultural products, 2 energy, 2 metals, 1 polymer and 6 bullion as on March 31, 2012.
Contd...

112

NCDEX
NCDEX has accredited over 308 warehouses with storage capacity of 792,791 MT. The Company has 76 depository participants and 15 clearing Banks. The Average Daily Traded Value (ADTV) increased from ` 4,686 crore in 2010-11 to ` 6,034 crore in 2011-12.

113

National Collateral Management Services Ltd. (NCMSL)

IFFCO held the largest 20.64% equity stake in NCMSL as on March 31, 2012. NCMSL was incorporated on 28th September, 2004 and is the first National level Collateral Management Company. NCMSL provides services in both the Agricultural sector and the Industrial sector. On the Agricultural side, NCMSL provides services to the Farmers community in the form of quality testing and warehousing facilities. In the Industrial segment NCMSL offers Risk Management Solutions, Field Warehousing Facility and Receivables Management Services. NCMSL handles 850 Warehouses in 14 States, across 160 locations in India and deal with as many as 42 agricultural commodities. Currently, NCMSL works on a Leased/Franchised model. NCMSL is implementing project for setting up its own warehouses across various sites in India at a cost of ` 304 Crore. For the year 2010-11, NCMSL achieved total income of ` 188.83 Crore with Profit After Tax of ` 4.60 Crore.

114

IFFCO Kisan Bazar & Logistics Ltd.

The Company was incorporated on February 26, 2004 as 100% owned subsidiary of IFFCO with the objective to provide one stop shop for farmers to cater to their requirements of fertilizers, seeds, agro chemicals, pesticides and agricultural tools etc. The Company has included setting up and development of logistics, infrastructure, industrial and commercial structures in its field of business activities. IKBLL has been identified as Special Purpose Vehicle (SPV) by IFFCO for setting up Barge Jetty for Solid Cargo Handling at Kandla along with Kandla Port Trust.
115

IFFCO Chhattisgarh Power LTD. (ICPL)

IFFCO has diversified into the power sector by incorporating a joint venture company, named IFFCO Chhattisgarh Power Limited (ICPL) to set up a 1320 MW coal based Mega Power Plant in District Surguja of Chhattisgarh. IFFCO, as the majority partner, holds 74% equity and Chhattisgarh State Power Holding Company Limited (CSPHCL) holds 26% equity in ICPL. Coal required for the project will be supplied through Tara Coal Block close to the Project Site. The mines have coal reserves of 252 million MT. The coal block is being developed by CMDC ICPL Coal Ltd (CICL), a Joint Venture of ICPL and Chhattisgarh Mineral Development Corporation Ltd in which CMDC holds 51% share and ICPL holds 49% share in equity. Private land acquisition is complete. Other statutory clearances, water allocation, Power Purchase Agreement are already in place. Environment clearance for Power Project has been accorded by the Ministry of Environment and Forests, Government of India.
Contd...

116

Jordan India Fertilizer Company (JIFCO)

IFFCO and Jordan Phosphates Mines Company Ltd. (JPMC), Jordanhave promoted Jordan India Fertilizer Company (JIFCO) on March 6, 2008. JIFCO is constructing a Phosphoric Acid Plant with Annual Capacity of 475,000 MT of P2O5 at Eshidiya in Jordan. IFFCO (27%) and Kisan International Trading FZE, Dubai (25%) together hold 52% equity, while JPMC holds 48% equity. JPMC will make available the required quantity of Rock Phosphate for the project, while KIT will purchase minimum 70% of Phosphoric acid Produced. SNC Lavalin, France, is Project Manager under Engineering, Procurement and Construction Management Contract. Project implementation activities commenced from October 14, 2010. The Project is expected to start commercial production by July 2013. 117

Legend International Holdings Inc. Australia

Legend has exploration interests in Queensland Territory, Australia, having phosphate deposits of 1.0 billion tonne at 16% P2O5. Legend has been granted Mining Lease in one portion of D-Tree North (DSO belt) and also for Paradise North. Legends project is significant for securing supplies for Rock Phosphate for Paradeep Unit in view of depleting reserves worldwide

118

Americas Petrogas Inc. (API), Canada

IFFCO and Associates have acquired about 15% stake in Americas Petro Gas Inc., Canada (API) along with 20% stake in its subsidiary GrowmaxAgri Corp, Canada. API is a public listed Canadian Company having interests in Oil and Gas fields in Argentina and Potash reserves in Peru. APIs 100% subsidiary Petrogas Argentina, C.A. holds working interest in 16 blocks having 2 million acres in Neuquen basin of Argentina for exploration of oil and gas. Production of Crude Oil has commenced from April 2010. API has promoted a Canadian subsidiary GrowMax Agri Corp (GrowMax). GrowMaxs 100% owned subsidiary, Americas Potash Peru (APP) is setting up Potash Mining Project at Bayovar, Peru of capacity 0.25 million MT per annum. The Company holds about 820 sq. km of surface and subsurface rights in the deposits of Potash in Sechura Province of Peru. GrowMax has signed a Potash Offtake-Agreement with Kisan International Trading FZE(KIT). As per the Offtake agreement, IFFCO and its associates would off-take up to 50% of the MOP produced from the project.

119

IFFCO KISAN SEZ LTD. (IKSEZ)

IFFCO is developing an Agro-based Kisan SEZ in Nellore, Andhra Pradesh through its wholly owned subsidiary namely IFFCO Kisan SEZ Limited (IKSEZ), with primary focus on Food Processing and Agri Based Industries. The SEZ being set up on 1023 Hectares (2527 Acre) of land owned by IFFCO, was notified on 19th April, 2010 by Ministry of Commerce. All Central Government clearances, including the Environment Clearance for SEZ and State Government approvals have been obtained.
Contd...

120

IFFCO KISAN SEZ LTD. (IKSEZ)

Project Proposals have been received relating to Aqua Food processing, Poultry Processing, Logistics Infrastructure, Cold Storages and Vegetable & Fruits Processing, which are under consideration. Among other ventures, an integrated Dairy Farm is proposed to be set up in collaboration with internationally renowned Dairy Cooperative viz. Fonterra, New Zealand and GDH, New Delhi.

121

BROAD VISION OF THE SOCIETY

To augment the incremental income of farmers by helping them to increase their crop productivity through balanced use of energy efficient fertilisers To maintain the environmental health To make cooperative societies economically and democratically strong for professionalised services to the farming community to ensure an empowered rural India. To diversify into other profitable business areas, apart from fertiliser sector, for sustained growth and adequate return to member shareholders
125

VISION 2015
IFFCO successfully implemented its earlier Corporate Plans namely VISION 2000, MISSION 2005 and VISION 2010 which resulted into becoming one of the largest producer and marketer of Chemical Fertilisers by expansion of IFFCOs existing units, setting up joint venture companies overseas and diversification into new sectors. IFFCO has now visualised a Comprehensive Plan entitled VISION-2015 having objectives of : Production of fertilisers through expansion of existing units Setting up of additional fertiliser production facilities in India and abroad through joint ventures Diversification into other profitable sectors Strengthening raw material sourcing through strategic joint ventures Formulation of strategic alliances through IFFCO consortium 126

Major salient features of Vision-2015

Become Global Leader in Fertilisers Production to cater to Food Security needs of the Nation. Maximise synergies of core business through downstream value additions and forward/backward integration. Enhance presence in international markets through strategic joint ventures and synergistic acquisitions. Promote Integrated Nutrient Management to improve efficiency of fertiliser use and to promote location specific research an efficient fertiliser practices.
Contd...

127

Major salient features of Vision-2015

Bring sustainability and strategies to prevent climate changes by reducing energy consumption, improving resources management and promoting Renewable Energy sources. Help Cooperative Societies to become economically strong, professionally managed and to equip farming community with advanced agricultural practices for improved productivity to ensure empowered Rural India. Achieve fertilisers production/marketing target of 15 million tonne per annum with an annual turnover of ` 30,000 crore.
128

MAJOR PROJECTS IN HAND

IFFCO CHHATTISGARH POWER LIMITED JORDAN INDIA FERTILIZER COMPANY LEGEND INTERNATIONAL HOLDINGS INC. AMERICAS PETROGAS INC. IFFCO KISAN SEZ LIMITED

129

TARGETS UNDER VISION - 2015

Area of Operation Production of Fertilisers Sale of Fertilisers Turnover Networth Projected Target 15 Million Tonne 15 Million Tonne USD 6500 Million USD 1700 Million

130

PRODUCTION PERFORMANCE
('000 MT)

132

SALES PERFORMANCE
('000 MT)

133

FINANCIAL PERFORMANCE
(USD Million)
2007-08 SALES TURNOVER PROFIT BEFORE TAX PROFIT AFTER TAX SHARE CAPITAL RESERVES & SURPLUS NETWORTH INVESTMENTS 2377.57 74.38 50.35 82.87 638.18 721.05 150.63 2008-09 6437.75 86.39 70.37 83.33 690.55 773.87 178.67 2009-10 3285.72 110.89 78.41 83.32 751.47 834.79 174.43 2010-11 4143.19 200.52 154.73 83.27 887.89 971.16 228.71 2011-12 5004.04 198.95 150.94 83.24 1020.32 1103.56 254.15

The items have been stated at the current financial year-end rate of ` 51.1565 per US$, to make the same comparable.

134

PROFIT BEFORE TAX & PROFIT AFTER TAX

(USD Million)

135

TURNOVER AND NETWORTH

(USD Million)

136

HIGHLIGHTS OF 2011-12
Production of Fertilisers (Best 8.58 million MT in 2010-11) Sales of Urea & NPK/DAP (Best 12.59 million MT in 2010-11) Profit Before Tax (Best USD 200.52 million in 2010-11) Profit After Tax (Best USD 154.73 million in 2010-11) Sale Turnover (Best USD 6437.75 million in 2008-09) 8.44 Million MT

12.18 Million MT

USD 198.95 Million

USD 150.94 Million

USD 5004.04 Million

137

CUMULATIVE ACHIEVEMENTS
(Till 31st March, 2012)

FERTILISER PRODUCTION FERTILISER SALE TURNOVER PROFIT BEFORE TAX PROFIT AFTER TAX CONTRIBUTION TO EXCHEQUER

136.12 Million MT 160.45 Million MT USD 37168.42 Million USD 1853.01 Million USD 1425.56 Million USD 2249.12 Million

138

GROWTH IN PRODUCTION CAPACITIES

(In Million MT)

139