Meghmani Organics expands into nano urea and plans to build a Rs 150-crore plant in Gujarat
Nano urea improves crop nutritional quality and yield and is thought to be environmentally safe.
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Meghmani Organics Limited's wholly owned subsidiary MCNL announced on December 23 that it has inked a licencing arrangement with one of India's largest domestic fertiliser manufacturers to create nano urea fertiliser.
Nano urea is a liquid fertiliser that improves nutritional quality, crop output, and is environmentally safe.
According to a business release, MCNL will spend Rs 150 crore to build a nano urea facility in Gujarat.
The plant's yearly capacity is estimated to be 5 crore bottles (500 ml). According to the statement, MNCL will begin commercial production in Q4 FY24 and will generate an annual top line of Rs 1,000 crore.
India's urea demand is 35 million metric tonnes (mmt) per year, with almost 29 mmt generated domestically and the remainder imported.
As more farmers embrace nano urea, the government hopes to reduce India's reliance on urea imports by 2025. It will also assist in reducing the government's subsidy load on conventional urea.
Mansukh Mandaviya, India's Fertilizers Minister, has stated that the country hopes to eliminate urea imports by 2025, as the country increases its domestic production capacity through the opening of new plants.
India, the world's largest urea importer, imports almost 30% of its annual urea use of 35 million tonnes.
"By 2025, we hope to be free of reliance on imported urea... our five new facilities will be operational," Mandaviya stated.
