(XIMB) Sustainability - Fertilizer industry

1. Xavier Institute of
Management, Bhubaneswar
Sustainability practices across Industries

2. SDCS – Fertilizer Industry
GROUP 6
Nibedita Panda UM15153
Nihitha Davis UM15154
Parida Pruthiraj UM15155
Pranay Sarkar UM15156
Pratik Agarwal UM15157

3. Agenda
 Use of fertilizers
 Types of fetilizers
 Global demand for fertilizers
 Global consumption of fetilizer types
 Fertilizer Industry in India
 Leading fertilizer manufacturers in India
 Leading Fertilizer Manufacturers and their sustainable practices
 Global 4R Nutrient Framework
 Conclusion

4. Why use fertilizers?
• Fertilizers are any solid, liquid or gaseous substances containing one or more
plant nutrients.
• They are applied to the soil, directly on the plant or added to aqueous solutions,
in order to maintain soil fertility, improve crop development, yield and/or crop
quality.
Types of fertilizers

5. Global Demand for Fertilizers
Source: FAO.org

6. Global consumption of fertilizers
 The consumption of K2O is
seen to rise in the global
consumption gaining
significant importance over
N and P2O5 over the years
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
1930/31 1960/61 1980/81 2000/01 2010/11
N
P2O5
K2O

7. About Fertilizers Sector in India
India is the world’s second-largest consumer of fertilizers after
China and the world’s third-largest producer
In 2014-2015, the country produced 3083.6 thousand
tons of fertilizers
57 Large Sized fertilizers plants and 64 medium sized and
small sized chemical fertilizer production units in India
The fertilizer industry has the capacity to indigenously meet
50 percent of the country’s phosphatic fertilizers

8. Some of the Top leading fertilizer
companies in India:
 National Fertilizers Limited
 Fertilizers & Chemicals Travancore Limited
 Rashtriya Chemicals & Fertilizers Limited
 Madras Fertilizers Limited
 Steel Authority Of India Limited
 Neyveli Lignite Corporation Limited
 Paradeep Phosphates Limited
 Pyrites, Phosphates & Chemicals Limited
 Hindustan Fertilizer Corporation Limited

9. Categories of Inorganic Fertilizers
 UREA
India’s produces about 80 percent of its Urea fertilizer needs
 NON-UREA
largely import dependent for its requirements of phosphatic and potassic (P
& K) fertilizers either as finished fertilizers or raw materials
Government Subsidies:-
 A major challenge the industry faces is delayed subsidy payments from
the government which are putting a strain on the working capital of the
fertilizer companies
 On account of the downward revision in RasGas prices, lower domestic
gas prices and lower IPP urea prices subsidy receivables should fall from
over six months’ outstanding as on March 31, 2016 to four to five months’
outstanding as on March 31, 2017

10. Fertilizer Industry and Sustainability
 Over the years Ammonia
plants have led to enhanced
plant throughput and lower
overall energy consumption
and reduced CO2 emissions.
 International Fertiliser
Association tracks progress in
ammonia plant efficiency and
CO2 emissions to encourage
members to improve their
performance
Region
Production (MT
Ammonia)
Energy intensity(GJ/T
NH3)
Western
Europe 12.2 35
North America 14.4 37.9
Africa 4 36
India 12.2 43.3
China 43.7 48.8
World 145.4 41.6
International Energy Agency has published benchmarks for
ammonia for different regions of the world.

11.  G8 nations also published
the benchmark for NH3 and
the dotted line shows best
practice level for ammonia
production.
 India far exceed the safe
level and there is
immediate need for
incorporation of efficient
production practices
G8 nations production levels
benchmarked

12. Companies And their Sustainable
practices
 Israel Chemicals:
 Israel Chemicals focuses on production and creation of products like
Fertilizer, metals, and other chemical compounds
 They have aligned their corporate sustainability with 17 sustainability
development goals 169 target seek to build on the millennium
development and realize the human rights.
 Some of their goals are ending hunger, achieving food security and
improving nutrition and promoting sustainable agriculture, saving energy
,combat climatic change ,achieve gender equality and empowering all
women and girls

13.  OCP Morocco:
 They have a lot of different types of fertilizers though they mainly focus on phosphate
fertilizers and also offer complex chemical fertilizers for different needs in agriculture
 In order to boost sustainable agriculture in Africa, OCP has adopted a comprehensive
strategy emphasizing three main actions: Learning, Engaging and innovating
Companies And their Sustainable
practices

14.  Yara International:
 All of their products focus on agriculture and better food production. They are a well
known brand and also have different types of fertilizers at their disposal
 Their sustainable agriculture pillars are:-
 Profitable production- Agriculture must provide sufficient financial reward to farmers, enable
them to make a decent living, encourage production and conservation of the environment
 Protected environment- Agriculture shall minimize the use of non-renewable resources, replenish
tapped resources, protect and enhance the environment and natural resources
 Prosperous communities- Agriculture shall contribute to thriving and viable local communities, to
economic and social development, including the provision of healthy food
Companies And their Sustainable
practices

15.  Mosaic:
 Mosaic is one of the leaders in phosphate and potash fertilizer
production globally. Their goal is to be able to help agricultural
lands around the world achieve the best production in numbers
and quality
 Sustainable Initiatives are:
 Water- Responsible use of water is a prime element of Mosaic’s global
sustainability efforts. Their water management initiatives involve
facility-specific and segment-wide initiatives to reduce their water
footprint
 Land reclamation- In Florida phosphates unit, they conduct effective
inch by inch reclamation and return excavated lands to productive
uses for both wildlife and people
Companies And their Sustainable
practices

16.  Potashcorp:
 Potashcorp is the largest fertilizer firm in the world in
terms of production and revenues. They have lot of
manufacturing units and mines in USA
 Their prime focus area towards sustainability are:
 Safety : They have very stringent safety and health
standards as followed by SHE manual
 Environmental impact: They invest their energy and
resources on technology, research, stewardship initiatives
and management system that helps in meeting federal,
state/provincial and local regulatory requirements
 Supply chain management- They look for the most
responsible and cost-effective ways to procue goods
and services from their suppliers
Companies And their Sustainable
practices

17. The Global “4R” Nutrient Stewardship Framework:-
Right
Products/Sources
• Balanced
fertilization (N,P,K,
secondary and
micronutrients)
• Nutrient form
(urea, nitrate,
ammonium)
Right Rate
• Soil testing, yield
goal analysis, Crop
removal balance,
plant tissue
analysis and record
keeping
Right time
• Application timing,
slow and
controlled release
of fertilizers, Urea
and nitrification
fertilizers
Right Place
• Application
method,
incorporation of
fertilizers,
Applicator
maintenance and
calibration
The core of “4R” Nutrient framework is to ensure that the right source of plant nutrients
are applied at the right rate, time and place to meet sustainability objectives

18. CONCLUSION
• The fertiliser industry has seen
tremendous growth in the previous
decade
• Various measures to improve
productivity at fertilizer plants have
been adopted and have proved
successful
• Various sustainability practices
adopted by fertilizer manufactures
were discussed
• There is an increase awareness among
consumers towards organically grown
food as it is deemed to be healthier

19. References
 www.business.mapsofindia.com
 www.indianfertilizer.com
 www.iisc.ernet.in
 www.ipni.net
 www.Fertilizer.org
 www.Nature.org
 www.Sustainabletable.org