IFFCO at a Glance

2010-11

FOREWORD
I am immensely happy to release new and 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 in International Units is also available under the chapter Information for International Guests. With Best Wishes

(Dr. U.S. AWASTHI) Managing Director

INDEX
S. No 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. Chapters IFFCO In Brief IFFCO Plants and Performance Marketing and Sales Performance Financial Performance Human Resources,CSR, Bio/Water Soluble Fert. Information and Communication Technology Awards received by IFFCO Investments by IFFCO Visionary Fruits Vision 2015 Information for International Guests Page No. 1-12 13-36 37-50 51-60 61-74 75-80 81-84 85-92 93-120 121-128 129-138

IFFCO IN BrIEF

IFFCO SAD

AN

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
(As on March 2011) Largest producer of fertilisers in the country No. of Plant Locations : Five Installed Annual Capacity (000 MT) UREA NPK/DAP TOTAL N TOTAL P2O5 WSF 4242.2 4335.4 2628.2 1712.8 15.0

Contributed about 21.5% to the total N 29.6% to the total P2O5 produced in the country during the year 2010-11
3

SHArE CAPITAL
(As on 31st March 2011) (Rs in Crore) Authorised Share Capital Subscribed & Paid up Caital : : 1000.00 425.95

(Entire Share Capital wholly owned by Cooperatives)

GrOWTH OF MEMBEr SOCIETIES

(As on 31st March)

CUMULATIVE PrODUCTION TILL DATE

(In Lakh MT) (As on 31st March 2011) UNIT KALOL PHULPUR - I PHULPUR - II AONLA - I AONLA - II TOTAL KANDLA PARADEEP TOTAL TOTAL PRODUCT UREA UREA UREA UREA UREA UREA NPK DAP NP DAP NPK/DAP FERTS. NUTRIENTS N P2O5 PRODUCTION 156.35 162.89 117.18 194.33 128.22 758.97 291.45 165.28 33.17 27.97 517.87 1276.84 420.69 181.28

CUMULATIVE ACHIEVEMENTS TILL DATE

(As on 31st March 2011) FERTILISER PRODUCTION FERTILISER SALE TURNOVER PROFIT BEFORE TAX PROFIT AFTER TAX CONTRIBUTION TO EXCHEQUER 1276.84 Lakh MT 1482.69 Lakh MT Rs. 1,64,542 Crore Rs. Rs. Rs. 8,465 Crore 6,547 Crore 9,602 Crore

HIGHLIGHTS OF 2010-11
Highest Production of Fertilisers
(Previous best 81.98 lakh MT in 2009-10) 85.83 lakh MT * 44.02 lakh MT 41.81 lakh MT * 125.88 lakh MT ** 68.23 lakh MT 57.65 lakh MT **

Highest Production of Urea (Previous best 43.24 lakh MT in 2009-10) Highest Production of NP/NPK/DAP (Previous best 38.74 lakh MT in 2009-10) Highest Sales of Fertilisers (Previous best 118.27 lakh MT in 2009-10) Highest Sale of Urea (Previous best 63.35 lakh MT in 2009-10) Highest Sales of NP/NPK/DAP (Previous best 54.92 lakh MT in 2009-10)

* Includes 2385 tonne of Urea Phosphate at Kandla Unit ** Includes 3873 tonne of Water soluble fertilisers 8

HIGHLIGHTS OF 2010-11
Highest Profit Before Tax (Previous best Rs. 807.09 crore in 2002-03) Highest Profit After Tax (Previous best Rs. 557.21 crore in 2002-03) Sales Turnover (Best Rs 32933 crore in 2008-09) Highest Plant Productivity (Previous best 1669 MT/Employee in 2005-06) Highest Marketing Productivity (Previous best 7885 MT/Employee in 2009-10) Lowest Composite Energy Consumption (Previous lowest 5.832 Gcal/MT of Urea in 2009-10) Highest Fertiliser Despatches (Previous best 117.66 lakh MT in 2009-10) 9 Rs 1025.78 Crore Rs. 791.49 Crore Rs. 21195.16 Crore 1710 MT/Employee 8622 MT/Employee 5.814 Gcal/MT Of Urea

126.55 lakh MT

GrOWTH IN PrODUCTION CAPACITIES

('000 MT) As on Date 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 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 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* 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 Contd...

* WSF = 15000 MT per annum

10

GrOWTH IN PrODUCTION CAPACITIES

(Lakh MT)

11

IFFCO PLANTS & PErFOrMANCE

13

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

TECHNOLOGY

15

KANDLA UNIT
YEAR OF COMMISSIONING INVESTMENT YEAR OF FIRST EXPANSION INVESTMENT YEAR OF SECOND EXPANSION INVESTMENT : : : : : : 1975 Rs. 24.26 Crore 1981 Rs. 28.60 Crore 1999 Rs. 205.30 Crore

PRODUCT CAPACITY TECHNOLOGY TPA P2O5 9,10,000 FOUR STREAMS (A,B,C & D) BASED ON TVA SLURRY GRANULATION PROCESS. TWO STREAMS (E & F) BASED ON AZF PIPE REACTOR TECHNOLOGY.

3,51,540 16

PHULPUr UNIT
YEAR OF COMMISSIONING INVESTMENT YEAR OF EXPANSION INVESTMENT INVESTMENT PRODUCT AMMONIA UREA N CAPACITY TPD 2955 2367 TPA 9,75,150 7,81,011
17

: 1981 : Rs. 205.2 Crore (Phulpur - I) : 1997 : Rs.1190 Crore (Phulpur - II) : Rs.185.3 Crore TECHNOLOGY KELLOG & HTAS SNAMPROGETTI

YEAR OF DEBOTTLENECKING : 2008

5145 16,97,850

AONLA UNIT
YEAR OF COMMISSIONING INVESTMENT YEAR OF EXPANSION INVESTMENT INVESTMENT PRODUCT AMMONIA UREA N CAPACITY TPD TPA HALDOR TOPSOE SNAMPROGETTI 3480 11,48,400 6060 19,99,800 2788 9,19,908
18

: 1988 : Rs. 651.6 Crore (AONLA - I) : 1996 : Rs. 954.7 Crore (AONLA - II) : Rs.149.2 Crore TECHNOLOGY

YEAR OF DEBOTTLENECKING : 2008

PArADEEP UNIT
INVESTMENT PRODUCT PHOS. ACID SULPHURIC ACID P2O5 (Fert. Grades) N POWER : Rs. 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 - II

IFFCO has envisaged setting up 13.86 Lakh MT of Urea plant at Kalol. Project cost is likely to be about Rs. 4660 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 2010-11

KALOL Produced 6.00 lakh MT of Urea with capacity utilisation of 110%. Achieved lowest specific energy consumption of 5.7310 Gcal/MT of Urea during 2010-11. PHULPUR Produced the highest ever 17.71 lakh MT of Urea with capacity utilisation of 104%. Phulpur-I and Phulpur-II produced the highest ever 7.45 LMT and 10.26 LMT of Urea, respectively, with lowest specific energy consumption of 6.6698 Gcal/MT of Urea at Phulpur-I. Specific Energy Consumption at Phulpur-II was 5.6689 Gcal/MT of Urea.
Contd...

21

PLANT HIGHLIGHTS OF 2010-11

AONLA Produced the highest ever 20.31 lakh MT of Urea with capacity utilisation of 102%. AonlaI produced 9.88 lakh MT of Urea and operated with specific energy consumption of 5.6763 Gcal/MT of Urea. Best production was 10.00 lakh MT of Urea in 2009-10. Aonla-II produced the highest ever 10.43 lakh MT of Urea and operated with specific energy consumption of 5.5220 Gcal/MT of Urea.
Contd...

22

PLANT HIGHLIGHTS OF 2010-11

KANDLA The unit produced 25.19 lakh MT of NPK/DAP during 2010-11. Best production was 26.86 lakh MT of NPK/DAP in 2005-06. Kandla Unit also produced 2385 MT of Urea Phosphate as trial production during 2010-11 PARADEEP Produced the highest ever 16.62 lakh MT of NP/DAP during the year 2010-11 registering a rise of 10.8 % over last year. Paradeep Unit also produced an all time high 19 lakh MT of Sulphuric Acid and 6.56 lakh MT of Phos. Acid during 2010-11.

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 2006-07 3.46 5.60 3.41 5.73 5.06 8.83 5.08 8.85 5.20 8.85 37.86 2007-08 3.18 5.45 3.76 6.30 5.20 9.24 5.10 8.76 5.67 9.89 39.63 2008-09 3.28 5.60 3.93 6.63 4.76 8.41 5.69 9.87 5.90 10.18 40.68 2009-10 3.84 6.00 4.23 7.23 5.84 10.00 5.78 10.00 5.84 10.00 43.24 2010-11 3.95 6.00 4.35 7.45 5.89 10.26 5.86 9.88 5.90 10.43 44.02 Contd...

27

UNIT WISE PrODUCTION PErFOrMANCE

(Lakh MT) UNIT KANDLA PLANT 10:26:26 12:32:16 DAP NPK/DAP PARADEEP NP DAP NP/DAP TOTAL (KDL+PRD) TOTAL FERTS NUTRIENTS MATERIAL N P2O5 * Includes Urea Phosphate 2006-07 5.72 11.0 8.04 24.76 3.32 4.18 7.50 32.26 70.12 22.17 11.29 2007-08 8.41 6.91 4.86 20.18 2.73 5.93 8.66 28.84 68.47 22.36 9.94 2008-09 10.41 5.38 2.15 17.94 8.70 4.37 13.06 31.0 71.68 23.29 9.18 2009-10 11.91 4.61 7.23 23.74 10.98 4.02 15.00 38.74 81.98 25.85 11.94 2010-11 16.10 8.46 0.60 25.19 * 7.45 9.17 16.62 41.81 85.83 26.13 12.88

28

STrEAM DAYS ACHIEVED

UNIT KALOL PHULPUR-I PHULPUR-II PLANT AMMONIA UREA AMMONIA UREA AMMONIA UREA-I UREA-II AONLA-I AMMONIA UREA-I UREA-II AONLA-II AMMONIA UREA-I UREA-II 2006-07 327 328 324 337 316 309 308 321 311 325 326 313 324 2007-08 315 320 341 332 329 339 322 313 285 307 334 330 322 2008-09 336 331 328 319 293 299 301 338 335 343 346 331 334 2009-10 344 345 346 331 344 342 346 347 337 343 322 318 316 2010-11 354 348 359 353 329 322 327 333 327 313 344 345 350 Contd...

29

STrEAM DAYS ACHIEVED

UNIT KANDLA PLANT TRAIN A TRAIN B TRAIN C TRAIN D TRAIN E TRAIN F AVERAGE 2006-07 225 303 302 299 301 293 287 2007-08 242 249 248 239 225 235 240 @ 2008-09 206 203 218 194 206 190 203 @ 2009-10 259 279 306 281 288 293 286 2010-11 312 311 302 296 300 291 302

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

30

STrEAM DAYS ACHIEVED

UNIT PARADEEP SAP TRAIN - I TRAIN - II PAP NP/DAP TRAIN - A TRAIN A TRAIN B TRAIN C AVERAGE 197 180 308 97 96 190 128 268 221 275 165 107 151 141 248 271 306 232 218 220 223 316 316 319 261 263 262 262 334 291 322 268 263 278 270 PLANT 2006-07 2007-08 2008-09 2009-10 2010-11

31

CAPACITY UTILISATION
(As Percentage) UNIT KALOL PHULPUR-I PRODUCT UREA UREA 2006-07 103 104 102 102 102 96 32 93 66 2007-08 2008-09@ 2009-10@ 2010-11@ 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

PHULPUR-II UREA AONLA-I AONLA-II KANDLA PARADEEP TOTAL UREA UREA P2O5 P2O5 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 2006-07 5.981 7.098 5.788 5.673 5.510 5.923 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

Contd...

33

SPECIFIC ENErGY CONSUMPTION OF PHOSPHATIC PLANTS

ENERGY (Gcal/MT P2O5 ) 2006-07 KANDLA PARADEEP 0.224 3.164 2007-08 0.275 2.558 2008-09 0.304 2.111 2009-10 0.244 1.784 2010-11 0.288 1.104

34

COMMITMENT TO BETTEr ENVIrONMENT & QUALITY MANAGEMENT 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. Kalol, Phulpur, Aonla and Kandla Units hold ISO-14001 Certificate for Environment Management System. Kalol, Phulpur and Aonla Units have received ISO-9001 for Quality Management

35

MArKETING AND SALES

37

HIGHEST EVEr SALE

Marketing Division of IFFCO achieved highest ever sale of 125.88 lakh MT of fertilisers during 2010-11. Previous best was 118.27 lakh MT in 2009-10. Society achieved highest ever sale of 68.23 lakh MT of Urea and 57.65 lakh MT of NP/NPK/DAP (includes 3873 MT of Water soluble fertilisers) during 2010-11. Previous best sale was 63.35 lakh MT of Urea and 54.92 lakh MT of NP/NPK/DAP during 2009-10.

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

TOTAL SALE OF FErTILISErS

(Lakh MT)

43

SALES PErFOrMANCE
(Lakh MT)

44

SALES PErFOrMANCE
(In Lakh MT)
PRODUCT UREA OWN IMPORTS TOTAL 20:20:0 10:26:26 12:32:16 NP/NPK DAP TOTAL OWN IMPORTS TOTAL DAP MOP NP/NPK/DAP/MOP TOTAL FERTS. TOTAL 2006-07 38.81 13.60 52.41 1.97 5.25 9.80 17.02 9.89 6.57 16.46 0.21 33.69 86.10 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 *

* Includes 3873 MT of water soluble fertilisers # Includes 1.32 LMT Imported NPK

45

SALES DUrING KHArIF SEASON

(Lakh MT)

46

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.

2006 23.34 0.91 3.02 3.94 7.87 7.23 0.00 15.10 38.44

2007 23.34 2.81 3.78 5.69 12.28 7.82 0.00 20.10 43.44 47

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

SALES DUrING rABI SEASON

(In Lakh MT)

48

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.

2006-07 29.07 1.06 2.23 5.86 9.15 9.23 0.21 18.59 47.66

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 38.21 4.17 9.21 * 2.41 15.79 13.07 0.00 28.86 67.07 #

# Includes water soluble fertilisers * Includes 1.32 LMT Imported NPK

49

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 2006-07 9.10 32 4.56 12 6.78 15 0.38 3 20.82 62 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

50

FINANCIAL PErFOrMANCE

51

FINANCIAL PErFOrMANCE
(In Rs. Crore) 2006-07 SALES TURNOVER PROFIT BEFORE TAX PROFIT AFTER TAX SHARE CAPITAL RESERVES AND SURPLUS NETWORTH NET ASSETS EMPLOYED INVESTMENTS JVs/ ASSOCIATES/OTHERS 10330.11 251.25 175.02 422.92 3218.92 3641.84 10661.98 740.46 2007-08 12162.82 380.52 257.59 423.93 3264.73 3688.66 10998.49 770.57 2008-09 32933.30 441.95 360.01 426.28 3532.59 3958.87 17303.77 914.00 2009-10 16808.57 567.28 401.10 426.24 3844.26 4270.50 2010-11 21195.16 1025.78 791.49 425.95 4542.09 4968.04

16319.45 16737.31 892.33 1169.91

53

PrOFIT BEFOrE TAX (PBT)

(In Rs. Crore)

54

PrOFIT AFTEr TAX (PAT)

(In Rs. Crore)

55

TUrNOVEr
(In Rs. Crore)

56

NETWOrTH
(In Rs. Crore)

57

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. P1+ 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...

58

CrEDIT rATINGS ASSIGNED TO IFFCO

FITCH Ratings :

Short Term Rating of F1+ (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 :

PR1+ (PR one plus) rating to IFFCOs working capital facilities/ Short Term Loans having tenure upto one year.
CARE AA (Double A) rating to External Commercial Borrowings and other existing long term borrowings having tenure of over one year. 59

HUMAN rESOUrCES, COrPOrATE SOCIAL rESPONSIBILITIES AND BIO / WATEr SOLUBLE FErTS.

61

PLANT PrODUCTIVITY PEr EMPLOYEE (MT)

(Production Units)

62

SALE PrODUCTIVITY PEr EMPLOYEE (MT)

(Marketing Division)

63

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 Rs. 47.04 crore on various social development activities during 2010-11. It was Rs. 45.92 crore during 2009-10.

64

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 development villages for all round socio-economic research

Farmers visit to various agricultural institutes and farms Farmers Meetings, Field Days and Crop Seminars

Static/Mobile Soil Testing Laboratories with Audio-visual aids

Contd...

65

SErVICE TO FArMErS
(Number)

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

2006-07 2007-08 763 3208 714 151 6011 652 1006 3433 779 169 6519 530

2008-09 806 3450 807 124 6842 542

2009-10 2010-11 881 3586 825 153 8125 497 843 3341 800 155 10929 484
Contd...

66

SErVICE TO FArMErS
(Number)

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

2006-07 2007-08 120 66 989 4269 165 108 1111 5167

2008-09 121 10 1070 5912

2009-10 2010-11 119 114 894 3711 140 130 824 5131

402

431

438

434

411

Contd...

67

SErVICE TO FArMErS
(Rs. 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 2006-07 172.20 215.50 1085.56 184.73 364.70 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 2010-11 251.75 340.88

1793.34 1283.62 164.97 567.97 217.34 890.08

798.00 2820.69

822.00 3040.84

880.00 4393.42

948.00 1248.00 4058.49 4231.67 Contd...

68

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

69

COOPErATIVE rUrAL DEVELOPMENT TrUST (COrDET)

PROMOTED BY IFFCO LOCATIONS KALOL (GUJARAT) PHULPUR (U.P.) KANDLA (GUJARAT) ACTIVITIES OF CORDET Farmers Training Soil Testing Production of Bio Fertilisers Demonstration Farming Seed Multiplication
70

PrODUCTION OF BIO - FErTILISErS

(Qty. in MT)

CORDET - PHULPUR & KALOL (Annual Capacity 325 MT & 200 MT)* STRAIN Rhizobium Azotobacter PSB Azospirillium Acetobacter Total Production Capacity Utilisation (%) 2006-07 9.97 158.06 204.00 3.65 18.59 394.27 164.28 2007-08 17.25 168.82 211.01 12.49 5.59 415.16 172.98 2008-09 2009-10 2010-11 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 14.24 838.23 159.66

* With effect from 01.04.2009, previously it was 240 MT

71

SALE OF BIO - FErTILISErS

(Qty. in MT)

STRAIN Rhizobium Azotobacter PSB Azospirillium Acetobacter Total Sale

2006-07 9.99 141.65 206.20 2.37 14.93 375.14

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

72

PrODUCTION & SALE OF LIQUID BIO - FErTILISErS

(Qty. in Litre)

STRAIN PRODUCTION Azotobacter PSB TOTAL Capacity Utilisation SALES Azotobacter PSB TOTAL 1910.0 2167.75 4077.75 7603.50 7759.25 15362.75 2009-10 3637.75 3941.25 7579.00 124.5% 2010-11 8081.25 7984.00 16065.25 263.4%

Installed Annual Capacity = 5000 Ltr. (Phulpur) + 1100 Ltr. (Kalol) = 6100 Ltr./Annum

73

WATEr SOLUBLE FErTILISErS

Increase in area under drip irrigation Demand for 100% water soluble fertilisers are increasing in the country The present demand is mostly being met by imports IFFCO successfully produced 165 MT, 470 MT and 2385 MT of Urea Phosphate during the year 2008-09, 2009-10 and 2010-11,respectively, at its Kandla Unit Commercial production of Urea Phosphate at Kandla Unit has started from April 2011 Society is likely to produce 15000 MT of Urea Phosphate during 2011-12
74

INFOrMATION AND COMMUNICATION TECHNOLOGY

75

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. Many phones have 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 Corporate enterprise wide Applications in all Areas like HR, Finance, Marketing, Transportation, Materials, Maintenance, Production etc. Biometrics Attendance Recording System introduced in Paradeep and Aonla Units. Contd...

76

MAJOr ICT ACTIVITIES

All 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. Free Multilingual e-mail facilities to Cooperatives. Work flow applications implemented to reduce paper work.
Contd...

77

ICT ACTIVITIES DUrING 2010-2011

New infrastructure was set up at Corporate Office Completed consolidation of HRMS at Corporate Office Setting up of Disaster Recovery (DR) Site at Hyderabad completed MIS Portal, HRMS, Plant Maintenance Management System, Product Dispatch System etc. further upgraded. IFFCO has also provided software support to ITGI, ICPL, IKSL, IKSEZ and OMIFCO.
Contd...

78

IP BASED VIDEO CONFErENCING SETUP

Multi-site VC Unit at Corporate office, New Delhi

DPC Conducted through Video Conferencing 79

Contd...

IFFCO WIDE ArEA NETWOrK (WAN)

80

AWArDS rECEIVED BY IFFCO

81

MAJOr AWArDS rECEIVED DUrING 2010-11

Kalol Unit (35 years old) won the prestigious Fertiliser Association of India (FAI) awards for Best overall Performance of an operating Fertiliser Unit for Nitrogen (Ammonia & Urea) for the year 2009-10. Kalol was also awarded Certification of Appreciation by National Safety Council of India Safety Award -2009 in recognition of Appreciable achievement in occupational Safety & Health during the assessment period of three year from 2006 to 2008. Kalol Unit conferred with the BS OHSAS 18001:2007 accreditation in recognition of the Management Systems for Health Safety and Environments, in addition to ISO 9001:2008 and ISO 14001:2004. Kalol Unit also received many awards from Gujarat Horticulture Association for remarkable contribution towards Green Environment in Plant and Township.
Contd...

82

MAJOr AWArDS rECEIVED DUrING 2010-11

Phulpur Unit bagged the First Prize for Energy Conservation for the year 2009-10 in Fertiliser Sector and the National Award for Prevention of Pollution from Ministry of Environment & Forest. Phulpur Unit was declared runner up for FAI Best Overall Performance Award for 2009-10. Aonla Unit bagged the National Safety Award constituted by Ministry of Labour and Employment for the year 2008-09. Aonla unit also bagged Safety Health and Environment (SHE) award from International Fertiliser Association (IFA) and CII Environment Best Practices Award 2011, for the installation of CDR Unit. Aonla Unit also bagged Gold in Greentech Environmental Excellence Award 2010.
Contd...

83

MAJOr AWArDS rECEIVED DUrING 2010-11

Paradeep Unit made its presence in the list of recipients of Awards by receiving Certificate of Merit for the Energy Conservation for the year 2009-10. Paradeep Unit also received the Silver in Greentech Environmental Excellence Award 2010. IT, Finance & PR Departments were also bestowed with various industry awards and accolades for their superb performance and innovative ideas. IFFCO was also awarded by FAI for Best Work done on transfer of improved Farm Technology.

84

INVESTMENTS BY IFFCO

85

INVESTMENTS OUTSIDE IFFCO

(As on 31.03.2011)

Indian Potash Ltd (IPL) IFFCOs Equity Percentage of Equity held Activity : Rs. 2.68 Crore : 34% : Marketing of Potash and Imported Fertilisers

Industries Chimiques du Senegal (ICS) IFFCOs Equity Percentage of Equity held Plant Site Products : : : : Rs. 80.37 Crore 18.54 % Darou, Senegal Rock Phosphate, Phosphoric Acid and NPK Fertilisers
Contd...

86

INVESTMENTS OUTSIDE IFFCO

(As on 31.03.2011)

IFFCO - TOKIO General Insurance Company Ltd. (ITGI) IFFCOs Equity Investment Percentage of Equity held Activity : Rs. 303.78 Crore : 72.64% : General Insurance

Oman India Fertiliser Company (OMIFCO) IFFCOs Equity Percentage of Equity held Plant Site Products : : : : Rs. 329.08 Crore 25% Sur, Oman Ammonia, Urea
Contd...

87

INVESTMENTS OUTSIDE IFFCO

(As on 31.03.2011) National Commodity and Derivative Exchange (NCDEX) IFFCOs Equity Investment : Rs. 13.50 Crore Percentage of Equity held : 8.88.% Activity : On Line Multi Commodity Exchange National Collateral Management Services Ltd. (NCMSL) IFFCOs Equity : Rs. 4 Crore Percentage of Equity held : 13.33% Activity : Collateral Risk Management Services IFFCO Chhattisgarh Power Ltd Project Cost (Estimated) IFFCOs Equity investment Debt : Equity Ratio IFFCO Equity Activity : : : : : Rs. 7544 Crore Rs. 66.60 Crore 70 : 30 74% Power Generation (1320 MW) Contd...

88

INVESTMENTS OUTSIDE IFFCO

(As on 31.03.2011) Kisan International Trading FZE (KIT) Investment : Rs. 11 Crore* IFFCOs Equity: Rs. 1.20 Crore Location : Dubai Activity : Special purpose vehicle (SPV) for shipping, logistics and investments in new overseas Joint Ventures. * Includes Rs. 9.80 crore towards 9 bonus shares received during 2007-08 Jordan India Fertiliser Company (JIFCO) Project Cost : USD 671 Million IFFCO Equity : 52% (IFFCO 27% + KIT 25%) (USD 56.33 Million paid) Activity : Phos. Acid Plant (1500 MTPD) Production expected by 1st Quarter of 2013 IFFCO Kisan Sanchar Ltd. (IKSL) Paid up Share Capital : Rs. 5 Crore IFFCO Equity : Rs. 3.65 Crore % of Equity held : 72.99 % Activity : Rural Telecom related Services Contd...

89

INVESTMENTS OUTSIDE IFFCO

(As on 31.03.2011) LEGEND INTERNATIONAL HOLDING AUSTRALIA ACTIVITIES : Rock Mining and Phosphates Project

ARIA CHEMICALS (ORISSA) LTD. IFFCO EQUITY IFFCO INVESTMENT ACTIVITY : : : 45% 0.45 crore Aluminium Fluoride facility at Paradeep for production of 20000 MT Aluminium Fluoride

IFFCO Kisan SEZ Ltd. Project Cost IFFCO Equity Activity : : : Rs. 630 Crore Rs. 48.75 Crore Setting up Multi product IFFCO Kisan SEZ at Nellore (AP) Contd...

90

INVESTMENTS OUTSIDE IFFCO

(As on 31.03.2011) Others IFFCO Kisan Bazar & Logistics Ltd. Universal Commodity Exch. Ltd. Indian Farm Forestry Development Cooperative (IFFDC) Grow Max Agri. Corp Maharashtra State Coop. Bank Ltd. : : Rs. 15 Crore Rs. 15 Crore

: : :

Rs. 12.54 Crore Rs. 2.34 Crore Rs. 0.10 Crore

91

INFrASTrUCTUrAL INVESTMENTS
Project/Location Jetty at Kandla Unit Barge Jetty at Kandla Unit * Naphtha tank Wagons Railway line/siding * 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 Rs. 24 Crore Rs. 35 Crore Rs. 15 Crore

Rs. 46.5 Crore Rs. 40 Crore

92

VISIONArY FrUITS

93

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 2010-11 * Targets Production ('000 MT) 2935.6 5275.6 6153.7 8197.8 15000 8583.4 Sales ('000 MT) 3216.3 5172.1 6464.5 11826.5 15000 12587.7 Turnover (Rs. crore) 1932.9 4688.9 7397.0 16808.6 30000 21195.16 Net Worth (Rs. crore) 1219.0 2386.7 3301.2 4270.5 7500.0 4968.0

94

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 Rs. 2500 crore without any cost and time overrun Investment to the equity capital were made from internal resources of the Society Production capacity of the Society was doubled
Contd...

95

INVESTMENT FOr CAPACITY INCrEASE

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

96

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 Rs. 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.

97

INDUSTrIES CHIMIQUES DU SENEGAL (ICS)

ICS successfully recapitalised and restructured by IFFCO Consortium in April 2008. IFFCO Consortium has taken over Management control of ICS Senegal. Major rehabilitation work of ICS plant facilities and Rock phosphate mines for improving the production performance has been taken up to achieve full Capacity Utilisation. ICS exported 3.10 lakh MT of Phos. Acid in terms of P2O5 to IFFCO during the year 2010 as against 2.57 LMT during 2009.
98

INDIAN POTASH LIMITED (IPL)

IPL is primarily engaged in trading of imported Potassic and Non-Potassic Fertilisers. During 2009-10, IPL achieved sales turnover of Rs. 17004 crore with PAT of Rs. 184 crore. IFFCO received a dividend of Rs. 0.97 crore from IPL for the year 2009-10.

99

IFFCO-TOKIO GENErAL INSUrANCE CO. LTD. (ITGI) Diversified into General Insurance due to Tremendous potential available To serve the insurance needs of farmers IFFCOs Rural Brand Equity Low gestation period Rural Insurance Business Fire Insurance Business Marine Insurance Business Miscellaneous Insurance Business
Contd...

The scope includes a mix of following:

Operations began in Dec. 2000

100

OPErATIONS OF ITGI
Gross provisional premium in 2010-11 was Rs. 1988.86 crore 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.
Contd... 101

SANKAT HArAN BIMA YOJANA BY ITGI

Linked with purchase of each bag of IFFCO/IPL fertiliser from Cooperative Society/FSC. Maximum liability limited to Rs. 1 lakh irrespective of the number of bags purchased Cash receipt is evidence of insurance cover Policy provided insurance cover to 93.2 lakh farmers Disbursed claims to the tune of Rs. 64.91 crore since September 2001
Contd...

102

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 : 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
103

IFFCO KISAN SANCHAr LTD. (IKSL)

IKSL incorporated in April 2007 with objective to use Information Communication Technology to empower farmers in rural India and to strengthen the cooperative network in the country. IKSL received the certificate of Incorporation on 12.04.2007 and certificate for commencement of Business on 13.06.2007. As on 31.03.2011, paid up share capital of IKSL was Rs. 5 crore, in which IFFCO held an investment of Rs. 3.65 crore with equity share holding of 72.99%.
Contd...

104

IKSL OPErATIONS
IKSL has grown beyond its pilot stage and emerged as a key player in rural telecom retailing services in the country IKSL has commenced full fledged activities in 18 states Subscriber base of IKSL was around 45 lakh in March 2011 About 14200 activating societies and 19600 transactive societies are engaged with IKSL IKSL forged strategic tie ups with State Agricultural Universities and Research Institutions to ensure the quality and relevance of information supplied through its VAS plateform Profit Before Tax was Rs. 19.12 Crore during 2010-11 with Net Profit after tax of Rs. 12.85 Crore 105

KISAN INTErNATIONAL TrADING FZE (KIT)

KIT has been set up by IFFCO as a wholly owned subsidiary of IFFCO in Dubai in April 2005. KIT has become a leading international organisation to handle Import and Export of fertilisers and fertiliser raw materials and intermediates. KIT is also catering to requirement of imported Urea, DAP, MAP for various customers in India. During 2010-11, KIT achieved turnover of USD 825 million with a net profit of USD 13.08 million. KIT paid Dividend of USD 2.74 Million to IFFCO for the year 2010-11.
106

OMAN INDIA FErTILISEr PrOJECT (OMIFCO)

Grassroots Ammonia/Urea complex at Qalhat, Oman, at a cost of USD 892 million. Commercial production started from July 14, 2005. The project comprises two Ammonia and two Urea plants of 2x1750 MTPD and 2x2530 MTPD respectively. Installed capacity of 1.652 million MT of Urea per annum. Entire production of Urea is being purchased by GoI under Urea Offtake Agreement. Surplus Ammonia being purchased by IFFCO. OMIFCO produced 2.08 million MT of Urea and 0.14 million MT of surplus Ammonia during the year 2010 and earned USD 151 million as Profit after Tax. OMIFCO conferred with HIS MAJESTY CUP AWARD 2009 on December 28, 2009.
107

NATIONAL COMMODITY AND DErIVATIVE EXCHANGE (NCDEX)

NCDEX is one of the national exchanges for On Line Trading in commodity futures. Agricultural produce occupies a quarter of commodity basket. IFFCO holds 8.88% equity stake in NCDEX with an objective of empowering farming community and Cooperative Societies and for giving better return on their crop produce. NCDEX is the leading exchange promoted by NABARD, ICICI, NSE, LIC and IFFCO. Other Major Shareholders are Jaypee Capital Services Ltd., Shree Renuka Sugars Ltd., CRISIL, PNB, Canara Bank and Goldman Sachs.
Contd...

108

NCDEX
There were over 820 Trading and Clearing Members and about 33600 trading terminals as on March 31, 2011. Commodities traded on the Exchange stood at 46 comprising of 27 agricultural products, 6 energy, 6 metals and 7 bullion as on March 31, 2011. Income during 2009-10 was Rs. 98.17 crore with Profit before Tax at Rs. 24.50 crore. NCDEX has accredited over 400 warehouses with storage capacity of 1.3 million MT. NCDEX has 65 depository participants and 14 clearing Banks.
109

NATIONAL COLLATErAL MANAGEMENT SErVICES LTD. (NCMSL)

IFFCO and NCDEX promoted National Collateral Management Services Limited (NCMSL) on 28th September 2004 with the objective of : Providing end-to-end Collateral Risk Management Solutions Accreditation / Grading of Warehouses Empanelment of Graders / Certifiers Facilitating structures for Commodity Lending Insurance tie up and adequate liability coverage

Other major shareholders are Canara Bank, Punjab National Bank, Corporation Bank, Bank of India, HDFC Bank, HAFED and Karur Vysya Bank For the year 2009-10, NCMSL achieved total income of Rs. 127.70 Crore with PAT of Rs. 4.14 Crore 110

IFFCO KISAN BAZAr & LOGISTICS LTD.

Formerly IFFCO Kisan Bazar Ltd. was incorporated on February 26, 2004 with the objective to undertake business in Agri-input and Consumer goods for the benefit of Farmers and Cooperatives. IKBLL invested Rs. 15 Crore to acquire 90 % shareholding in Baylis Generators Ltd. which holds patents to convert Mechanical Energy into Electrical Energy. 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. MoU for the same signed on February 17, 2011.
111

IFFCO CHHATTISGArH POWEr LTD. (ICPL)

IFFCO has entered the power sector by incorporating a joint venture company named IFFCO Chhattisgarh Power Limited (ICPL) with Chhattisgarh State Electricity Board (CSEB) on January 25, 2006 to set up a 1320 MW coal based Mega Power Plant based on supercritical technology at an estimated project cost of Rs. 7544 Crore. The project is envisaged to be financed with debt : equity ratio of 70:30. The State Government has allocated Tara Coal Block for the ICPL project.
Contd...

112

IFFCO CHHATTISGArH POWEr LTD. (ICPL)

ICPL has formed a Joint Venture company named CMDC IPCL Coal Ltd. (CICL) with Chhattisgarh Mineral Development Corporation to develop Tara Coal Block. CMDC holds 51% share capital and ICPL holds 49% share capital. The process for land acquisition is in final stage alongwith other clearances like Environmental clearance and Forest clearance. Commercial Operation by ICPL is expected to commence during the year 2013-14.
113

JOrDAN INDIA FErTILISEr COMPANY (JIFCO) IFFCO and Jordan Phosphates Mines Company Ltd. (JPMC) have promoted a Joint Venture Company Jordan India Fertiliser Company (JIFCO) on March 6, 2008 to set up a Phosphoric Acid Plant with Annual Capacity of 475000 MT of P2O5 at Eshidiya. IFFCO & its affiliates and JPMC will hold equity in ratio of 52% and 48%, respectively. JPMC will make available the required quantity of Rock Phosphate for the project. The foundation stone of the Plant was laid at Eshidiya site on October 3, 2009 under patronage of His Majesty, King Abdullah II, the King of Jordan. Project implementation activities commenced from April 14, 2010. SNC Lavlin International, France, is Project Manager under EPCM Contract. Phos. Acid plant is expected to start commercial production by 1st Quarter of 2013.
114

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

115

AMErICAS PETrOGAS INC. (API), CANADA

API is Public Listed Canadian firm having interest in Oil & Gas in Argentina and Potash in Peru. IFFCO and its Associates acquired about 15% stake in Americas Petrogas Inc., Canada (API) alongwith 20% stake in Growmax Agri Corp., which is a subsidiary of API. APIs 100% subsidiary Petrogas Argentina, C.A. holds working interest in 16 blocks having 1.8 million acres in Neuquen basin of Argentina for exploration of oil and gas. Production of Crude Oil has commenced from April 2010. Growmax Agri Corp. owns 100% of Americas Potash Peru (APP) S.A. having mineral and surface rights to Potash deposits at Sechura Province in 820 Sq. Kms. APP is setting up Potash facility of 0.25 Million MT per annum of MoP. IFFCO and its Associates would have right to 50% Potash Offtake from Peru project. API initiated drilling of 1st deep Shale Gas well in Argentina in April 2011. 116

IFFCO KISAN SEZ (IKSEZ)

IFFCO is setting up a multi-product KISAN Special Economic Zone (IKSEZ) at Nellore with an investment of Rs. 630 crore. The foundation stone was laid on 21.03.2008 by Late Dr. Y.S. Rajasekhara Reddy, the then Chief Minister of Andhra Pradesh. The SEZ is having 1023 hectares (2527 acre) of land owned by IFFCO. MoU between IFFCO, Fonterra - New Zealand, and Global Dairy Health Ltd. signed on November 11, 2010 for development and operation of Dairy Farms at IKSEZ. Technical feasibility study is being carried out by Fonterra.
Contd...

117

IFFCO KISAN SEZ (IKSEZ)

IKSEZ site is located on NH-5 (Howrah-Chennai Highway). It is close to Krishnapatnam port. The project will consist of farmer friendly facilities like Logistics Zone with State-of-the-art Warehousing facilities, Cold Storage, Food Processing zone. The project would also have Agribiotech Park, Demo Centres, Training Plots, Green Houses, Incubation Centres, Distribution Centre, Highway Rural Mart, Health Care Centre etc.
Contd...

118

IFFCO KISAN SEZ (IKSEZ)

Agro Food Park would be backed with Agriclinics, Nurseries, Soil Testing Centres, Microfinance, Smart Card Systems, Farmer and Rural Youth Training Centres, Rural Marts/Village Business Centres. There would also be plenty of scope to increase and develop dairy and livestock farming in the region to involve Women Power to create secondary revenue streams in times of down turns. The expected secondary and tertiary industries include Automobile Components, Pharmaceuticles and Leather products etc.
119

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
123

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 VISION-2015 having objectives of : Plan entitled

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 124

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...

125

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 Rs. 30,000 crore.
126

MAJOr PrOJECTS IN HAND

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

127

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

128

IMPOrTANT INFOrMATION FOr INTErNATIONAL GUESTS

129

PrODUCTION PErFOrMANCE
('000 MT)

131

SALES PErFOrMANCE
('000 MT)

132

FINANCIAL PErFOrMANCE*
(USD Million)
2006-07 SALES TURNOVER PROFIT BEFORE TAX PROFIT AFTER TAX SHARE CAPITAL RESERVES & SURPLUS NETWORTH NET ASSETS EMPLOYED INVESTMENTS JVS/ Associates 2266.37 55.12 38..40 94.72 720.92 815.64 2387.90 165.84 2007-08 2668.46 83.48 56.51 94.95 731.18 826.13 2463.27 172.58 2008-09 7225.38 96.96 78.98 95.47 791.17 886.65 3875.42 204.70 2009-10 3687.71 124.46 88.00 95.46 860.98 956.44 3654.97 199.85 2010-11 4650.10 225.05 173.65 95.40 1017.26 1112.66 3748.56 262.02

*The Revenue and Balance Sheet items have been stated at the current Financial Year average rate of Rs. 45.58 per US$ and year-end rate of Rs. 44.65 per US$ respectively, to make the same comparable 133

PrOFIT BEFOrE TAX & PrOFIT AFTEr TAX

(USD Million)

134

TUrNOVEr AND NETWOrTH

(USD Million)

135

HIGHLIGHTS OF 2010-11
Production of Fertilisers (Previous best 8.20 million MT in 2009-10) Highest Sales of Urea & NPK/DAP (Previous best 11.83 million MT in 2009-10) 8.58 Million MT

12.59 Million MT

Highest Profit Before Tax USD 225.05 Million (Previous best USD 177.07 million in 2002-03) Highest Profit After Tax USD 173.65 Million (Previous best USD 122.25 million in 2002-03) Sale Turnover (Best USD 7225.38 million in 2008-09) USD 4650.10 Million

136

CUMULATIVE ACHIEVEMENTS
(Till 31st March, 2011)

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

127.68 Million MT 148.27 Million MT USD 36099.61 Million USD 1857.17 Million USD 1436.38 Million USD 2106.63 Million

137

GrOWTH IN PrODUCTION CAPACITIES

(In Million MT)

138

139

Designed & Compiled by: Management Services Department Website : www.iffco.in, www.iffco.coop Produced by: Publicity Department Indian Farmers Fertiliser Cooperative Ltd. IFFCO Sadan, C-1, Distt. Centre, Saket Place New Delhi-110 017 Printed at: India Offset Press, A-1, Indl. Area Phase-1, Mayapuri, New Delhi- 1100 064 (May 2011) (3000 Copies)