HFCI unit of Durgapur is on its revival path

The value of land and scrap machines of the Durgapur unit of Hindustan Fertilizer Corporation of India (HFCI) has been estimated at Rs 706.27 crore. This is according to a recent report tabled in both the houses of the parliament. The valuation has been done by Project and Development India Ltd (PDIL), a central public sector enterprise and has been certified by the government registered valuer.

urea-spraying-farming-land
Urea spraying in farm land by farmer

In India, urea constitutes more than half the total fertilizer consumption. Being a essential commodity that is used by the farmers, the price of urea is fixed by the government and as a result the government has to pay the difference between production cost and the market price as subsidy. As a result the government’s subsidy bill is swelling every year and is likely to cross 25,000 crore, in this financial year. The annual demand for urea, in the last fiscal was around 28 million tonnes out of which 22 million tonnes are indigenously produced. The demand – production gap for urea in the country is projected at around nine million tonne during the current plan period, which is likely to go up further by at an average rate of 2-3% per annum. Thus there is and will be a continuous import dependence of the country to bridge this gap unless some bold and concrete steps are taken by the government of India.
On the basis of the above scenario, the Cabinet Committee on Economic Affairs considered the recommendations of Empowered Committee of Secretaries (ECOS), regarding revival of five closed units of Fertilizer Corporation of India Ltd. (FCIL) at Sindri, Talcher, Ramagundam, Gorakhpur and Korba and three closed units of Hindustan Fertilizer Corporation of India Limited (HFCIL) at Durgapur, Haldia, Barauni and approved the Draft Rehabilitation Scheme. The ECOS has recommended revival of Sindri, Talcher and Ramagundam units of FCIL on nomination basis to the consortium of PSUs viz. Sindri by SAIL and NFL, Talcher by GAIL, CIL and RCF and Ramagundam by NFL and EIL. Remaining five units viz Gorakhpur, Korba, Durgapur, Haldia and Barauni are to be awarded through a bidding process.
The government had last year approved revival of eight closed units of Fertilizer Corporation of India Limited (FCIL) and Hindustan Fertilizer Corporation of India Limited (HFCIL) subject to the condition that Board of Industrial and Financial Restructuring proceedings be expedited and changes, if any, be placed before the Empowered Committee of Secretaries for a final decision.
So, the residents of the HFC colony at Bidhan Nagar of Durgapur is once again hoping that brighter days will return soon. The gloomy and sabby quarters of the HFC township which now seems to be a “ghost town” and its residents who are now mostly in their old age are hoping that government initiatives will sooner or latar see that production will start in the fertilizer plant. The retrenched HFC employees, after the liquidation of the Durgapur unit in February 2003 were accommodated in the company quarters against payment of lease-rent worth Rs 900 a month. Out of 400 quarters, the employees occupied 180 quarters.
Meanwhile the Chemical & Fertilizer ministry has allowed renewal of lease of its residential quarters in favour of former Hindustan Fertilizer Corporation employees, however, the ministry has remained indifferent about giving a new lease of life to the 400-odd accommodations that are in a shamble due to lack of maintenance and proper surveillance. The ministry, last February had revoked renewal of lease agreement for another 11 months and offered a fresh term for a period of eight months.
The administrative officer with the dismantled HFC unit in Durgapur, Mr Gautam Biswas said in a communication to the residents: “Further renewal of lease of quarters allotted to ex-employees has been extended up to 30 June 2013.”

Likes(2)Dislikes(0)
Related Posts Plugin for WordPress, Blogger...

1 Comment on HFCI unit of Durgapur is on its revival path

  1. Good to read the article..Lets all hope for better days ahead.. Would reques for a slight bigger fonts if not difficult in future.

    Likes(0)Dislikes(0)

Leave a Reply

Your email address will not be published.


*