FACT to expand production, to tap more markets

The public sector Fertilizers and Chemicals Travancore (FACT) will add five lakh tonnes more to its production capacity, as it plans to tap the markets in states like West Bengal, Odisha, Maharashtra, and Gujarat.

FACT chairman and managing director Kishor Rungta told the Indian Chamber of Commerce and Industry here at an online presentation that FACT was already successfully tapping the south Indian market, and that it wanted to explore the upcountry markets too.

He said FACT would be helped by the Cochin Port Trust to use the coastal mode of transport in its bid to tap the north Indian market. FACT has a strong presence in Kerala and neighbouring States like Tamil Nadu, Karnataka, and Andhra Pradesh.

The company already produces nine lakh tonnes of fertilizers, and a new Factamfos plant will ensure additional capacity for the future.

Mr. Rungta said the performance of the company during the pandemic from April to July had been good. The growth in sale by 55% is remarkable, he added.

For FACT, 2019- 20 was a good year, but the current year will be even better. The company had successfully completed caprolactam plant trial runs during the year, he said.

FACT has a market share in Kerala of 90% for factomfos and almost 100% for ammonium sulphate. In the southern States, FACT’s share is 30% for factamfos and 72% for ammonium sulphate.

Indian Chamber of Commerce president Sunny L. Malayil welcomed the participants and introduced FACT and Mr. Rungta, who initially explained how FACT was adjusting its activities to make substantial contribution to the nation’s economy during the pandemic.

Mr. Rungta said FACT had been following strict COVID-19 protocol for employees as well as transportation. The company contributed ₹50 lakh to the Prime Minster’s Relief Fund and has been associating itself with local municipalities for backing community kitchen.

FACT declared a net profit of ₹976 crore in 2019-20. The profit was made possible by 42% growth in turnover during the last financial year, he said. Factamfos production of 8.45 lakh metric tonnes achieved during the last year is an all-time high, he added.

The production of ammonium sulphate stood at 2.21 lakh tonnes, which is the highest in the last 19 years. Total fertilizer sales was 11.17 lakh tonnes, which is also a record for the company over the last 18 years.

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Printable version | Sep 27, 2020 1:04:32 AM | https://www.thehindu.com/news/cities/Kochi/fact-to-expand-production-to-tap-more-markets/article32339187.ece

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