OCP and Kribhco to launch NPK fertiliser joint venture in India
Morocco-based Office Chérifien des Phosphates (OCP) has entered a 50:50 joint venture (JV) deal with Krishak Bharati Cooperative (Kribhco) to build a greenfield NPK fertiliser plant in Krishnapatnam, Andhra Pradesh, India.
The plant will be built with an investment of around $230m, and have an annual production capacity of 1.2t of NPK fertilisers.
To be established in line with the Indian Government’s 'Make in India' initiative, the entire project also comprises the development of logistical infrastructure in the region.
Office Chérifien des Phosphates chairman and CEO Mostafa Terrab said: “OCP has always been, and remains fully committed to contribute to India’s agricultural development.
“We believe large-scale local investments designed to respond to farmer’s specific needs is the key ingredient to successful agricultural ecosystem development. As one of the major cooperatives in India, Kribhco is an excellent partner to develop a farmer-oriented agricultural input joint-venture.
“This partnership is designed to be truly a win-win project for all the stakeholders involved but foremost for India’s agriculture and particularly for Indian farmers.”
The proposed plant will be benefitted from Kribhco’s knowledge on market and farmer’s requirement, as well as OCP’s industrial capabilities and expertise.
Krishak Bharati Cooperative chairman Dr Chandra Pal Singh said: “Farmers of the country shall benefit with continued supply of various NPK-grade products based on best quality phosphate in the world.”
As part of the OCP-Kribhco joint-venture, Kribhco is likely to invest in a phosphoric acid unit in Morocco.
Last month, OCP finalised a deal to use Shell’s Thiogro technology to produce sulphur-enhanced fertilisers.
Image: Deal signing between OCP and Kribhco. Photo: courtesy of S.A OCP.