Categories: INDIA

More LNG to urea plants to boost output: Govt

NEW DELHI: The government has announced to increase gas supply to urea plants to about 90 per cent of their average consumption from Monday, a move that will boost productivity and ensure adequate availability of soil nutrients during the upcoming Kharif and subsequent Rabi crop seasons.Currently, the LNG supply to the urea plant is about 70-75% of the average consumption over the past six months. The government said on Saturday that supplies would increase “taking into account available stocks and the arrival of scheduled LNG cargoes.” It added that gas supply to other industrial and commercial sectors, including through the City Gas Distribution (CGD) network, will be increased by a further 10% from Monday.“All industrial consumers including fertilizer plants have been advised to provide additional requirements on site so that arrangements can be made by the gas marketing companies,” an official statement said.Earlier this week, the Fertilizer Ministry said domestic monthly urea production fell to 1.8 million tons in March from the previous average of 2.4 million tons. The company has said that as LNG supplies increase, manufacturing will increase, including through fortnightly “spot purchases.”Meanwhile, the Center on Saturday also extended the State Trading Enterprise (STE) status of India Potash Corporation Limited (IPL) to import urea through government account till March 31, 2027. The move is aimed at ensuring uninterrupted supply of urea to meet domestic demand amid volatile international markets.

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