The Cabinet Committee on Economic Affairs (CCEA) has approved the proposal for revival of five closed units of the Fertilizer Corporation of India (FCI) at Sindri, Talcher, Ramagundam, Gorakhpur and Korba.
The Cabinet Committee on Economic Affairs (CCEA) at a meeting in New Delhi on Thursday also approved the waiver of the Government of India loan and interest thereon amounting to Rs 10,644 crore standing against these units.
The Cabinet Committee on Economic Affairs (CCEA) too approved the proposals for an inter-corporate loan of Rs 171 crore and a commitment fee of Rs 25 crore for the FCI to be given by the PSUs involved in the process of revival of the Fertilizer Corporation of India (FCI) units at Sindri, Talcher and Ramagundam.
This would ensure positive net worth for the Fertilizer Corporation of India (FCI) and enable it to come out of the purview of the BIFR and hasten the process of revival of the closed units, official sources said.
The demand-production gap for urea in the country is projected at around nine million tonnes during the current plan period, which is likely to go up further by at an average rate of 2-3 per cent per annum. There is a continuous import dependence of the country to bridge this gap.
Revival of the closed units would ensure a larger availability of indigenous fertilisers in the country, the sources said.