Cabinet approves grant-in-aid of Rs.100 crore to Brahmaputra Valley Fertilizers Corporation

Cabinet approves grant-in-aid of Rs.100 crore to Brahmaputra Valley Fertilizers Corporation
The grant-in-aid of Rs. 100 crore to Brahmaputra Valley Fertilizers Corporation will restore the urea production capacity of 3.90 lakh MT per annum and ensure timely availability of urea to tea plantations and agriculture sector in the entire North Eastern region, especially Assam

The Cabinet Committee on Economic Affairs chaired by Prime Minister Narendra Modi Wednesday accorded approval to the proposal of the Department of Fertilizers for grant-in-aid of Rs.100 crore to Brahmaputra Valley Fertilizers Corporation (BVFCL), Namrup (Assam) to sustain operations of it’s urea manufacturing units.

BVFCL, Namrup is a public sector undertaking (PSU) formed as per Companies Act, under the administrative control of the Department of Fertilizers (DoF), Government of India. At present, the PSU is operating its two vintage plants viz. Namrup-ll and Namrup-lll in the premises of BVFCL. Despite being the first gas based urea manufacturing unit in India and having all the infrastructure and feedstock availability, it has been difficult to maintain reasonable production level from the existing units in a cost effective manner as their old and obsolete technology. In order to ensure the safe, sustainable and economic operation of the plants, certain equipment and machineries need to be replaced or overhauled. The minimum functional repair to be undertaken for smoother operation of the plants with procurement of mechanical, electrical, instrumentation and catalyst items among others shall attract an estimated expenditure of Rs.100 crore and therefore, Centre approved grant-in-aid of Rs. 100 crore to the PSU.

According to the Government of India, BVFCL is situated at North-Eastern part of India, which plays an important role of economic growth in the region. The grant-in-aid of Rs. 100 crore will restore the urea production capacity of 3.90 lakh MT per annum and ensure timely availability of urea to tea plantations and agriculture sector in the entire North Eastern region, especially Assam. It will also continue the existing employment of about 580 employees on permanent basis and another 1500 persons on ad-hoc basis. Further, 28,000 people would get benefits indirectly by this establishment.

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One Comment on “Cabinet approves grant-in-aid of Rs.100 crore to Brahmaputra Valley Fertilizers Corporation”

  1. आपके द्वारा दी गई जानकारी बहुत ही महत्वपूर्ण है। जानकारी साझा करने की लिए आपका बहुत बहुत धन्यवाद ।

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