FOREWORD

I am extremely happy to release updated edition of IFFCO at a Glancea popular annual compilation providing key information of the Society in a concise format. Its vital information is a ready reckoner of statistical data to IFFCO officials and visitors. Important information on overseas ventures, Vision 2015 and Information for International Guests are available at the end. With best wishes

(Dr. U.S. AWASTHI) Managing Director

INDEX
S.No. Chapters 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. IFFCO in Brief IFFCO Plants and their Performance Marketing and Sales Performance Financial Performance Human Resources, FDP and Bio/ Water Soluble Fertilisers Information and Communication Technology Awards and Accolades IFFCO Growth & JVs / Associates Vision 2015 Information for International Guests Page No. 1-11 13-37 39-53 55-63 65-79 80-87 89-93 95-122 123-130 131-139

IFFCO IN BRIEF

ORIGIN OF IFFCO
Till mid sixties, Cooperatives in India had no production facilities despite marketing nearly 70% of fertilisers. IFFCO was established as the farmers own initiative in Cooperative Sector on 3rd Nov. 1967 with two proposed plants at Kalol & Kandla. With the enactment of Multi State Co-operative Societies Act 2002, IFFCO is deemed to be registered as a Multi State Co-operative Society. The Society is fully owned by Cooperatives.

PRODUCTION CAPACITY
No. of Plant Locations : Five Installed/Revamped Annual Capacity ( '000 MT ) UREA NP/NPK/DAP TOTAL N TOTAL P2O5 WSFs ZINC SULPHATE MONOHYDRATE - - - - - - 4242.2 4335.4 2628.2 1712.8 15.0 30.0 (As on March 2013) Largest producer of fertilisers in the country

Contributed about 21.4% to the total N and 36.4% to the total P2O5 produced in the country during the year 2012-13.
3

SHARE CAPITAL
Authorised Share Capital Subscribed & Paid up Capital : : (As on 31st March 2013) (` in Crore) 1000.00 425.88

(Entire Share Capital held by Cooperatives)

GROWTH OF MEMBER SOCIETIES

(As on 31st March)
39368

2012-13
5

CUMULATIVE PRODUCTION TILL DATE

(As on 31st March 2013) (In Lakh MT)
PRODUCT PRODUCTION UREA 168.35 UREA 176.64 UREA 138.43 UREA 215.91 UREA 149.61 UREA 848.94 NPK 318.84 DAP 178.08 NP/NPK 44.83 DAP 49.52 NPK/DAP 591.35 FERTS. 1440.29 NUTRIENTS N 473.77 P2O5 207.49 6

UNIT KALOL PHULPUR - I PHULPUR - II AONLA - I AONLA - II TOTAL KANDLA PARADEEP TOTAL TOTAL

CUMULATIVE ACHIEVEMENTS TILL DATE

FERTILISER PRODUCTION FERTILISER SALE TURNOVER PROFIT BEFORE TAX PROFIT AFTER TAX (As on 31st March 2013) 1440.29 Lakh MT 1705.11 Lakh MT ` 2,11,809 Crore ` 10,586.77 Crore ` 8,031.62 Crore 13,034 Crore

CONTRIBUTION TO EXCHEQUER `

HIGHLIGHTS OF 2012-13
Production of Fertilisers (Best 85.83 lakh MT in 2010-11) Highest Production of Urea (Previous best 44.87 lakh MT in 2011-12) Highest Production of DAP (Previous best 14.92 lakh MT in 2011-12) Production of NP/NPK/DAP/WSFs (Best 41.81 lakh MT in 2010-11) Sale of Fertilisers (Best 125.88 lakh MT in 2010-11) Sale of Urea (Best 68.23 lakh MT in 2010-11) Sale of NP/NPK/DAP (Best 57.65 lakh MT in 2010-11) 79.02 lakh MT * 45.10 lakh MT 19.43 lakh MT 33.92 lakh MT * 100.54 lakh MT $ 62.32 lakh MT 38.22 lakh MT $

* Includes WSFs/ZnSO4 produced at Kandla Unit $ Includes ZnSO4 and Water soluble fertilisers (WSFs) 8

Contd...

HIGHLIGHTS OF 2012-13
Highest Profit Before Tax (Previous best ` 1025.78 crore in 2010-11) Profit After Tax (Best ` 791.49 crore in 2010-11) Sales Turnover (Best ` 32933.30 crore in 2008-09) Plant Productivity (Best 1724 MT/Emp. in 2011-12) Marketing Productivity (Best 8622 MT/Emp. in 2010-11) Lowest Composite Energy Consumption (Previous lowest 5.814 Gcal/MT of Urea in 2010-11) Fertiliser Despatches (Best 126.55 lakh MT in 2010-11) 9 ` 1107.43 Crore ` 728.72 Crore ` 21673.36 Crore 1671 MT/Employee 7228 MT/Employee 5.764 Gcal/MT of Urea

97.20 lakh MT

GROWTH IN PRODUCTION CAPACITIES

Jan.75 Apr.75 Mar.81 Sep.81 Jul.88 Dec.96 Aug.97 Dec.97 Aug.99 Apr.01 Apr.02 Apr.04 Oct.05 Dec.08 Apr.11 Apr.12

('000 MT) As on Date UREA

396.0 891.0 891.0 1617.0 2343.0 2491.5 3217.5 3217.5 3689.4 3689.4 3689.4 3689.4 4242.2 4242.2 4242.2

NPK/DAP
415.6 415.6 415.6 881.3 881.3 881.3 881.3 881.3 1600.1 1973.6 2191.1 2415.4 4335.4 4335.4 4350.4 4380.4*

Total Ferts.
415.6 811.6 1306.6 1772.3 2498.3 3224.3 3372.8 4098.8 4817.6 5663.0 5880.5 6104.8 8024.8 8577.6 8592.6 8622.6

* Include WSFs (15000 MT) and Zinc Sulphate (30000 MT) 10

Contd...

GROWTH IN PRODUCTION CAPACITIES

(Lakh MT)

11

IFFCO PLANTS AND THEIR PERFORMANCE

13

KALOL UNIT
YEAR OF COMMISSIONING INVESTMENT YEAR OF EXPANSION INVESTMENT PRODUCT AMMONIA UREA N CAPACITY MTPD MTPA M.W. KELLOG & HTAS STAMICARBON and H & G 1100 3,63,000 1650 5,44,500 759 2,50,470 : : : : 1975 ` 71.23 Crore 1997 ` 149.70 Crore

TECHNOLOGY

Kalol Unit is producing Neem coated Urea w.e.f. April 2011 15

KANDLA UNIT
YEAR OF COMMISSIONING : INVESTMENT : YEAR OF FIRST EXPANSION : INVESTMENT : YEAR OF SECOND EXPANSION : INVESTMENT :
PRODUCT CAPACITY TECHNOLOGY MTPA FOUR STREAMS (A,B,C & D) BASED ON TVA SLURRY GRANULATION PROCESS. TWO STREAMS (E & F) BASED ON AZF PIPE REACTOR TECHNOLOGY. P2O5 9,10,000 N 3,51,540

1975 ` 24.26 Crore 1981 ` 28.60 Crore 1999 ` 205.30 Crore

Kandla unit has added production capacity of Water Soluble Fertilisers (15000 MTPA) and Zinc Sulphate Monohydrate (30000 MTPA) 16

PHULPUR UNIT
YEAR OF COMMISSIONING INVESTMENT YEAR OF EXPANSION INVESTMENT : 1981 : ` 205.2 Crore (Phulpur - I) : 1997 : ` 1190 Crore (Phulpur - II)

YEAR OF DEBOTTLENECKING : 2008 INVESTMENT : ` 185.3 Crore PRODUCT AMMONIA UREA N CAPACITY TECHNOLOGY

MTPD MTPA 2955 9,75,150 KELLOG & HTAS 5145 16,97,850 SNAMPROGETTI 2367 7,81,011

Phulpur-I is producing Neem coated Urea w.e.f. August 2011 17

aonla unit
YEAR OF COMMISSIONING INVESTMENT YEAR OF EXPANSION INVESTMENT INVESTMENT PRODUCT AMMONIA UREA N CAPACITY MTPD MTPA 3480 11,48,400 HALDOR TOPSOE 6060 19,99,800 2788 9,19,908
18

: 1988 : ` 651.6 Crore (AONLA - I) : 1996 : ` 954.7 Crore (AONLA - II) : ` 149.2 Crore TECHNOLOGY

YEAR OF DEBOTTLENECKING : 2008

SNAMPROGETTI

PARADEEP UNIT
INVESTMENT PRODUCT PHOS. ACID SULPHURIC ACID P2O5 (Fert. Grades) N POWER : ` 2237 Crore TECHNOLOGY JACOBS ENG. LURGI GmbH JACOBS ENG.

CAPACITY MTPA 8,75,000 23,10,000 8,02,800 3,25,200 2 x 55 MW

The unit also started production of NPK (10:26:26) on 3rd January 2013. 19

KALOL EXPANSION PROJECT - II

IFFCO has envisaged setting up of 13 Lakh MT of Urea plant at Kalol. Project cost is likely to be about ` 4604 crore. No objection certificate has been received from Gujarat Industrial Corporation. Environment clearance has been received from Ministry of Environment and Forests (MoEF). Pre Project activities have been completed. Term Sheet signed with GAIL for supply of Gas (RLNG)

20

PLANT HIGHLIGHTS OF 2012-13

KALOL Produced highest ever urea of over 6.00 lakh MT, with capacity utilisation of 110.2%. Achieved specific energy consumption of 5.824 Gcal/MT of Urea during 2012-13. Transferred 39169 MT of surplus Ammonia to Kandla Unit. PHULPUR Produced 16.65 lakh MT of Urea with capacity utilisation of 98.1%. Achieved Specific Energy Cosumption of 6.112 Gcal/MT of Urea (Phulpur I + Phulpur II). Phulpur-I achieved lowest specific energy consumption of 8.368 Gcal/MT of Ammonia during 2012-13.
Contd... 21

PLANT HIGHLIGHTS OF 2012-13

AONLA Produced highest ever 22.45 lakh MT of Urea with capacity utilisation of 112.3%. Also achieved lowest ever specific energy consumption of 5.49 Gcal/MT of Urea. AonlaI produced highest ever 10.92 lakh MT of Urea with capacity utilisation of 109.2% and operated with lowest ever specific energy consumption of 5.615 Gcal/MT of Urea. Aonla-II produced highest ever 11.53 lakh MT of Urea with capacity utilisation of 115.3% and operated with lowest ever specific energy consumption of 5.372 Gcal/MT of Urea.
Contd... 22

PLANT HIGHLIGHTS OF 2012-13

KANDLA The unit produced 19.12 lakh MT of NPK/DAP during 2012-13 including 15644 MT of WSFs and Zinc Sulphate Monohydrates with capacity utilisation of 78%. PARADEEP Produced 14.80 lakh MT of NP/NPK/DAP during the year 2012-13 with capacity utilisation of 77%. Paradeep Unit produced 13.57 lakh MT of Sulphuric Acid and 6.28 lakh MT of Phos. Acid during 2012-13. Paradeep unit also sold 3.29 LMT of Gypsum and 5992 MWH of power during 2012-13.
Contd... 23

TOTAL FERTILISER PRODUCTION

(Lakh MT)

71.68

81.98

85.83

84.42

79.02

2008-09

2009-10

2010-11
24

2011-12

2012-13

PRODUCT WISE PRODUCTION PERFORMANCE

(Lakh MT)
NPK/DAP UREA TOTAL

81.98 71.68

85.83

84.42

79.02

40.68 31.00

43.24 38.74

44.02 41.81

44.87 39.55

45.10 33.92

2008-09

2009-10

2010-11

2011-12

2012-13

25

NUTRIENT WISE PRODUCTION PERFORMANCE

(Lakh MT)

P2O5
23.29

N
25.85

26.13

26.95

26.13

9.18

11.94

12.88

13.32

12.89

2008-09

2009-10

2010-11

2011-12

2012-13

26

UNIT WISE PRODUCTION PERFORMANCE

(Lakh MT) UNIT KALOL PHULPUR-I PHULPUR-II AONLA-I AONLA-II TOTAL PLANT AMMONIA UREA AMMONIA UREA AMMONIA UREA AMMONIA UREA AMMONIA UREA UREA 2008-09 2009-10 3.28 5.60 3.93 6.63 4.76 8.41 5.69 9.87 5.90 10.18 40.68 3.84 6.00 4.23 7.23 5.84 10.00 5.78 10.00 5.84 10.00 43.24 2010-11 2011-12 2012-13 3.95 6.00 4.35 7.45 5.89 10.26 5.86 9.88 5.90 10.43 44.02 3.88 6.00 3.93 7.02 6.69 11.33 6.06 10.66 5.78 9.87 44.87 3.86 6.00 4.04 6.73 5.62 9.92 6.34 10.92 6.67 11.53 45.10 Contd... 27

UNIT WISE PRODUCTION PERFORMANCE

(Lakh MT) UNIT KANDLA PARADEEP PLANT 10:26:26 12:32:16 20:20:00 DAP NPK/DAP NP DAP 10:26:26 NP/DAP 2008-09 2009-10 10.41 5.38 - 2.15 17.94 8.70 4.37 - 13.06 31.0 71.68 23.29 9.18 11.91 4.61 - 7.23 23.74 10.98 4.02 - 15.00 38.74 81.98 25.85 11.94 2010-11 2011-12 16.10 8.46 - 0.60 25.19 7.45 9.17 - 16.62 41.81 85.83 26.13 12.88 4.75 10.30 1.07 4.97 21.14* 8.46 9.95 - 18.41 39.55 84.42 26.95 13.32 2012-13 4.95 6.19 7.83 19.12* 3.15 11.60 0.05 14.80 33.92 79.02 26.13 12.89

TOTAL (KDL+PRD) TOTAL FERTS MATERIAL NUTRIENTS N P2O5

* Includes WSFs/ZnSO4 28

PRODUCTION OF WSFs/ZnSO4 Monohydrate

(Qty in MT) PRODUCT 17:44:00 18:18:18 ZnSO4 Total 2008-09 165 165 2009-10 470 470 2010-11 2385 2385 2011-12 5900 125 114 6139 2012-13 8556 1969 5119 15644

29

STREAM DAYS ACHIEVED

UNIT KALOL PHULPUR-I PHULPUR-II AONLA-I AONLA-II PLANT AMMONIA UREA AMMONIA UREA AMMONIA UREA-I UREA-II AMMONIA UREA-I UREA-II AMMONIA UREA-I UREA-II 2008-09 2009-10 336 331 328 319 293 299 301 338 335 343 346 331 334 344 345 346 331 344 342 346 347 337 343 322 318 316 2010-11 2011-12 354 348 359 353 329 322 327 333 327 313 344 345 350 353 348 323 331 365 359 363 351 347 346 329 328 328 2012-13 349 346 331 328 316 315 316 350 347 349 355 350 354 Contd... 30

STREAM DAYS ACHIEVED

UNIT KANDLA PLANT TRAIN A TRAIN B TRAIN C TRAIN D TRAIN E TRAIN F AVERAGE 2008-09 2009-10 206 203 218 194 206 190 203 @ 259 279 306 281 288 293 286 2010-11 2011-12 312 311 302 296 300 291 302 277 287 283 254 265 283 275@ 2012-13 252 277 230 258 265 261 257@

@ Low due to shortage of raw materials 31

STREAM DAYS ACHIEVED

UNIT PARADEEP SAP PAP NP/DAP TRAIN - I TRAIN - II TRAIN - A TRAIN A TRAIN B TRAIN C AVERAGE 248 271 306 232 218 220 223 316 316 319 261 263 262 262 334 291 322 268 263 278 270 318 327 350 263 257 277 266 218 254 316 246 225 227 233 PLANT 2008-09 2009-10 2010-11 2011-12 2012-13

32

CAPACITY UTILISATION@
(As Percentage) UNIT KALOL PRODUCT 2008-09 2009-10 2010-11 UREA 103 109 93 106 109 60 47 94 53 110 104 100 100 100 87 50 98 70 110 107 103 99 104 79 71 99 75 2011-12 110 101 113 107 99 78 78 102 78 2012-13 110 96 99 109 115 75 74 99 75

PHULPUR-I UREA PHULPUR-II UREA AONLA-I AONLA-II KANDLA UREA UREA P2O5

PARADEEP P2O5 TOTAL N P2O5

@ As per revamped capacity with effective dates. 33

Specific Energy Consumption of Urea Plants

ENERGY (Gcal/MT Urea) 2008-09 KALOL PHULPUR I PHULPUR II AONLA I AONLA II Composite Energy consumption 5.949 6.895 5.988 5.697 5.522 5.943 2009-10 5.796 6.687 5.666 5.690 5.544 5.832 2010-11 5.731 6.670 5.669 5.676 5.522 5.814 2011-12 5.935 6.680 5.574 5.690 5.578 5.824 2012-13 5.824 6.697 5.716 5.615 5.372 5.764

Contd... 34

Specific energy consumption of Phosphatic Plants

ENERGY (Gcal/MT P2O5) 2008-09 KANDLA PARADEEP 0.304 2.111 2009-10 0.244 1.784 2010-11 0.288 1.104 2011-12 0.279 1.526 2012-13 0.285 1.848

35

Commitment to Better Environment

All IFFCO Units and townships have attractive landscape, surrounded by thousands of trees. IFFCO is committed to improvement of safety, health and environment in and around its plants in line with international norms. More and more energy saving devices are being deployed in IFFCO premises all over India.

36

QUALITY MANAGEMENT / CERTIFICATION

Kalol Unit has got IMS for ISO 9001-2008, ISO 14001 2004 and OHSAS 18001-2007 recertified by Bureau Veritas Certification (India). Phulpur Unit is the first in Fertiliser Sector to be accredited with BSEN 15001 Certification by BSI, for its Energy Management System. Aonla Unit is certified with International Standard EN 160012009, ISO 9001-2008, ISO 14001-2004 and OHSAS 180012007 by M/S QS Zurich AG, Zurich. Kandla Unit has got re-certification of ISO 14001-2004. Paradeep Unit is having ISO 14001-2004 and OSHAS 18001-2007 Certificates from Bureau Veritas.

37

MARKETING AND SALES PERFORMANCE

39

40

SALES PERFORMANCE
Marketing Division of IFFCO achieved a sale of 100.54 lakh MT of fertilisers during 2012-13. Best sale achievement was 125.88 lakh MT in 2010-11. The Society achieved a sale of 62.32 lakh MT of Urea and 38.22 lakh MT of NP/NPK/DAP/WSFs during 201213. Best sale was 68.23 lakh MT of Urea and 57.65 lakh MT of NP/NPK/DAP during 2010-11.

41

MARKETING TERRITORIES OF IFFCO

42

MARKETING CHANNELS
Distribution of fertilisers mainly through the Cooperative System: State level Apex Cooperative Marketing Federation acts as wholesaler Direct supplies to Societies in some States IFFCO-NCDC Cooperative Societies Small quantities to Institutional agencies like Agro Industries Corporation etc 161 IFFCO Farmers Service Centres
43

DISTRIBUTION & WAREHOUSING

TRANSPORTATION Both by Rail (91%) and Road (09%) WAREHOUSING Federations & Cooperative Godowns Central Warehousing Corporation (CWC) and State Warehousing Corporation (SWC)

44

Despatches of fertilisers
(Qty. in Lakh MT)

2008-09 KALOL KANDLA PHULPUR AONLA PARADEEP SUB TOTAL IMPORTED TOTAL 5.60 17.89 15.03 20.05 13.05 71.62 34.98 106.60

2009-10 6.00 23.85 17.23 20.00 15.00 82.08 35.58 117.66

2010-11 6.00 25.25 17.71 20.30 16.62 85.88 40.67 126.55

2011-12 6.00 21.37 18.32 20.52 18.45 84.66 40.79 125.45

2012-13 6.00 18.88 16.65 22.39 14.78 78.70 18.50 97.20

45

TOTAL SALE OF FERTILISERS

(Lakh MT)

112.58

118.27

125.88

121.88 100.54

2008-09

2009-10

2010-11

2011-12

2012-13

46

SALES PERFORMANCE
(Lakh MT)

NPK/DAP

UREA
63.35 68.23 57.65 54.00 38.22 67.88 62.32

53.89

58.69

54.92

2008-09

2009-10

2010-11

2011-12

2012-13

47

SALES PERFORMANCE
(In Lakh MT)
PRODUCT UREA OWN IMPORTS TOTAL 2008-09 40.71 17.98 58.69 8.20 10.76 5.51 24.47 6.63 21.91 28.54 0.88 53.89 112.58 2009-10 43.22 20.13 63.35 11.38 11.95 4.62 27.94 11.13 15.84 26.98 0.00 54.92 118.27 2010-11 43.74 24.49 68.23 7.51 17.16 8.38 33.05 9.85 14.71 24.56 0.00 57.65 125.88 2011-12 44.77 23.11 67.88 10.71 7.91 10.09 28.71 14.19 10.99 25.18 0.00 54.00 121.88 2012-13 45.48 16.84 62.32 4.81 5.30 6.14 16.25 19.67 2.15 21.81 0.00 38.22 100.54

20:20:0 10:26:26 12:32:16 NP/NPK DAP NP/NPK/DAP/MOP TOTAL OWN IMPORTS TOTAL DAP TOTAL$

MOP TOTAL FERTS.

$ include water soluble fertilisers etc. and imported NP/NPK/DAP

48

SALES DURING KHARIF SEASON

(Lakh MT)
NPK/DAP UREA TOTAL

54.03

55.05

58.81

55.31 44.69

29.22 24.81

24.7 27.35

30.02 28.79

31.46 23.85

28.20 16.49

2008

2009

2010

2011

2012

49

SALES DURING KHARIF SEASON

(In Lakh MT)

PRODUCT UREA NP NPK 10:26:26 NPK 12:32:16 NP/NPK DAP/MAP MOP TOTAL NPK/DAP* TOTAL FERTS.*
* Includes WSFs/ZnSO4 etc.

2008 24.81 3.75 6.49 2.96 13.20 15.15 0.88 29.22 54.03

2009 27.70 4.57 3.12 1.48 9.17 18.18 0.00 27.35 55.05

2010 30.02 3.34 7.95 5.97 17.26 11.49 0.00 28.79 58.81

2011 31.46 5.62 2.32 4.93 12.87 10.98 0.00 23.85 55.31

2012 28.20 2.66 1.88 2.79 7.33 9.09 0.00 16.49 44.69

50

SALES DURING RABI SEASON

(In Lakh MT)

NPK/DAP

UREA

TOTAL

58.55

63.22

67.07

66.53 55.85

33.89
24.66

35.65
27.57

38.21
28.86

36.42
30.11

34.12
21.73

2008-09

2009-10

2010-11
51

2011-12

2012-13

SALES DURING RABI SEASON

(In Lakh MT)

PRODUCT UREA NP NPK 10:26:26 NPK 12:32:16 NP/NPK TOTAL DAP/MAP TOTAL NP/NPK/DAP # TOTAL FERTS. #

2008-09 33.89 4.45 4.27 2.55 11.27 13.39 24.66 58.55

2009-10 35.65 6.81 8.83 3.14 18.78 8.79 27.57 63.22

2010-11 38.21 4.17 9.21 2.41 15.79 13.07 28.86 67.07

2011-12 2012-13 36.42 5.08 5.59 5.17 15.84 14.20 30.11 66.53 34.12 2.15 3.42 3.35 8.92 12.72 21.73 55.85

# Include water soluble fertilisers etc. 52

Handling of imported Fertilisers

Qty. (Lakh MT) Particulars OMIFCO UREA No. of VESSELS UREA (GOI A/C) No. of VESSELS DAP No. of VESSELS MAP/NPK No. of VESSELS TOTAL Fertilisers No. of VESSELS 2008-09 9.55 30 7.82 26 21.98 66 0.50 7 39.85 129 2009-10 10.19 32 10.33 30 15.88 39 0.0 0 36.40 101 2010-11 10.02 31 14.49 30 14.75 33 1.32 4 40.58 98 2011-12* 10.51 27 13.83 33 11.44 24 6.77 19 42.55 103 2012-13 9.33 23 6.58 13 1.73 04 17.64 40

* 2 vessels of NP transferred to Kandla Unit 53

54

55

FINANCIAL PERFORMANCE
(In ` Crore) Particulars SALES TURNOVER PROFIT BEFORE TAX PROFIT AFTER TAX SHARE CAPITAL RESERVES AND SURPLUS NETWORTH INVESTMENTS 2008-09 2009-10 2010-11 2011-12 2012-13 32933.30 16808.57 441.95 360.01 426.28 3532.59 3958.87 914.00 567.28 401.10 426.24 3844.26 4270.50 892.33 21195.16 25598.97 21673.36 1025.78 791.49 425.95 4542.09 4968.04 1169.91 1017.78 772.18 425.80 5219.57 5645.37 1300.16 1107.43 728.72 425.88 5855.31 6281.19 1470.37

57

PROFIT BEFORE TAX (PBT)

(In ` Crore)

1025.78

1017.78

1107.43

441.95

567.28

2008-09

2009-10

2010-11
58

2011-12

2012-13

PROFIT AFTER TAX (PAT)

(In ` Crore)

791.49

772.18

728.72

360.01

401.10

2008-09

2009-10

2010-11

2011-12

2012-13

59

TURNOVER
(In ` Crore)

32933 25599 21195 16809 21673

2008-09

2009-10

2010-11

2011-12

2012-13

60

NETWORTH
(In ` Crore)

5645 4968 3959 4271

6281

2008-09

2009-10

2010-11

2011-12

2012-13

61

CREDIT RATINGS ASSIGNED TO IFFCO

CRISIL Ratings : AA-(outlook stable) rating on IFFCOs Long Term Borrowing Programme. This rating indicates high degree of safety with regard to timely payment of interest and principal on the instrument. A1+ rating to IFFCOs `100 Crore Commercial Paper Programme. This rating indicates that the degree of safety with regard to timely payment of interest and principal on the instrument is Very Strong. Governance and Value Creation (GVC) rating at GVC Level 2. This rating indicates that the capability of the Society with respect to wealth creation for all its stakeholders, while adopting sound corporate governance practices, is high.
Contd... 62

CREDIT RATINGS ASSIGNED TO IFFCO

INDIA RATINGS (Formerly FITCH Ratings) : Long Term Rating of IND AA with stable outlook to the Long Term Debt Programme of IFFCO. This rating indicates high degree of safety with regard to timely payment of interest and principal on the instrument.
Short Term Rating of IND AA/ IND A1+ to IFFCOs working capital/short term borrowings. This rating indicates that the degree of safety with regards to timely payment of interest and principal of the instrument is very strong.

CARE Ratings : AA (Double A) rating to long term borrowings; it indicates high degree of safety regarding timely servicing of financial obligations.
A1+ (A one plus) rating to IFFCOs working capital facilities /Short Term Loans, which indicates very strong degree of safety regarding timely payment of financial obligations.
63

 human Resources Farmers development programme Bio/water soluble fertilisers

65

66

PLANT PRODUCTIVITY PER EMPLOYEE (MT)

(Production Units)

1710 1608 1376

1724

1671

2008-09

2009-10

2010-11

2011-12
67

2012-13

SALE PRODUCTIVITY PER EMPLOYEE (MT)

(Marketing Division)

7397

7885

8622

8532 7228

2008-09

2009-10

2010-11

2011-12

2012-13

68

farmers development programmes (FDP)

IFFCO is committed towards sustainable economic development of farmers and their families, the local community and society at large to improve their quality of life. The Society has undertaken activities in the areas of community development, environment protection, horticulture, health care, medical facilities and literacy enhancement/empowerment programme. IFFCO spent Rs. 46.86 crore during 2012-13 on various social and community development programmes.

69

SERVICE TO FARMERS
Agricultural Extension and fertiliser use promotion programmes are an integral part of the marketing activity. Programmes are conducted through Area/State/Zonal offices under the able guidance of agricultural scientists. Programmes undertaken are : Balanced Fertilisation programmes Adoption of villages for all round socio-economic development Farmers visit to various agricultural institutes and research farms Farmers Meetings, Field Days and Crop Seminars Static/Mobile Soil Testing Laboratories with Audio-visual aids
Contd... 70

SERVICE TO FARMERS
(Number)

PROGRAMME TWO PLOT DEMONSTRATION FARMERS MEETINGS FIELD DAYS CROP SEMINARS CRITICAL INPUT PACKAGES SOIL TESTING CAMPAIGNS

2008-09 2009-10 2010-11 2011-12 2012-13 806 3450 807 124 6842 542 881 3586 825 153 8125 497 843 3341 800 155 10929 484 788 3269 783 165 27304 435 834 3428 810 165 20024 438
Contd... 71

SERVICE TO FARMERS
(Number)

PROGRAMME VETERINARY CAMPAIGNS MEDICAL CHECKUP

2008-09 2009-10 2010-11 2011-12 2012-13 121 10 119 114 894 3711 140 130 824 5131 146 138 832 4474 139 133 904 4302

SALES POINT 1070 PERSONNEL TRAINING FARMERS' TRAINING AND VISITS (PP*) VILLAGES ADOPTED
*PP Persons participated

5912

438

434

411

398

410

Contd... 72

SERVICE TO FARMERS
(` In Lakh) ITEM GRANTS TO CORDET DEMONSTRATION EXPENSES BENEFIT TO FARMERS TRAINING EXPENSES OTHER PROM. PROG/CROP FILMS/IRDP ETC. SANKAT HARAN BIMA YOJANA TOTAL EXPENDITURE 2008-09 225.16 249.01 2036.60 192.13 810.52 2009-10 236.54 347.67 1793.34 164.97 567.97 2010-11 251.75 340.88 1283.62 217.34 890.08 2011-12 2012-13 243.75 463.35 256.85 495.02

1846.44 2481.34 234.10 836.97 251.49 914.20

880.00 4393.42

948.00 4058.49

1248.00 4231.67

1135.00

962.00

4760.01 5360.90

73

SERVICE TO FARMERS
Other Social Activities/Development Programmes include: Supply of fodder in drought prone areas Veterinary Checkup and Distribution of Medicines

Human Health Checkup and Distribution of Medicines Providing drinking water facilities Assistance to School / School children Watershed development projects

74

COOPERATIVE RURAL DEVELOPMENT TRUST (CORDET)

PROMOTED BY IFFCO LOCATION and Annual Capacity (Bio-Fertilisers) KALOL (165 MT from Nov. 2003, 200 MT from April 2009, 330 MT from April 2011 & 385 MT from July 2012) PHULPUR (U.P.) (75 MT from March 1996, 325 MT from April 2009 & 1000 MT from April 2011) KANDLA (GUJARAT) ACTIVITIES OF CORDET Farmers Training Soil Testing Production of Bio Fertilisers Demonstration Farming Seed Multiplication
75

PRODUCTION OF BIO - FERTILISERS

(Qty. in MT)

CORDET - PHULPUR & KALOL STRAIN Rhizobium Azotobacter PSB Azospirillium Acetobacter Total Production Capacity Utilisation (%) 2008-09 2009-10 2010-11 2011-12 2012-13 11.70 224.76 284.08 7.03 2.35 529.91 221 14.54 316.48 368.38 9.36 10.52 719.28 137 17.14 361.61 431.65 13.59 14.24 20.49 513.29 592.19 14.80 8.31 15.05 639.99 723.09 1.10 32.88

838.23 1149.08 1412.10 160 124 103

76

SALE OF BIO - FERTILISERS

(Qty. in MT)

STRAIN Rhizobium Azotobacter PSB Azospirillium Acetobacter Total Sale

2008-09 11.60 235.61 283.05 8.80 2.64 541.10

2009-10 14.52 302.71 353.35 9.94 10.52 691.04

2010-11 17.22 364.91 441.34 13.45 14.16 851.08

2011-12 20.49 503.07 588.55 14.66 8.39 1135.16

2012-13 14.60 660.40 741.47 0.50 32.88 1449.85

77

PRODUCTION & SALE OF LIQUID BIO - FERTILISERS

(Qty. in Litre)

SALES

STRAIN 2009-10 3637.75 3941.25 7579.00 124.5% 1910.00 2167.75 4077.75 2010-11 8081.25 7984.00 16065.25 263% 7603.50 7759.25 15362.75 2011-12 19784.50 17963.25 37747.75 199% 18152.25 16336.50 34488.75 2012-13 43324.00 44649.25 87973.25 236% 44857.00 47501.50 92358.50 Azotobacter PSB TOTAL Capacity Utilisation Azotobacter PSB TOTAL

PRODUCTION

Annual capacity :Phulpur : 5000 litre since Apr 2009;15000 litre since Apr 2011;17500 ltr (2012-13) Kalol : 1100 litre since Apr 2009;4000 litre since Apr 2011;25000 ltr since July12 78

WATER SOLUBLE FERTILISERS (WSFs)

Increase in area under drip irrigation Commercial production of WSFs at Kandla Unit started in April 2011 SALE OF WSFs /ZnSO4 etc.
Product 17:44:00 19:19:19 0:0:50 18:18:18 SubTotal ZnSO4 (33%) ZnSO4 (21%) Sulphur Bentonite Phospho Gypsum Total 2010-11 1888.0 1911.8 72.3 0.0 3873.0 3873.0 2011-12 3527.1 1816.5 531.5 0.2 5875.3 2.9 543.2 558.2 3303.3 10282.9 (in MT) 2012-13 4544.6 227.5 825.1 941.5 6538.7 1864.6 167.0 979.8 5871.7 15421.8

79

81

82

Major ICT Activities

Wide Area Network (WAN) upto Area Office level with Corporate server at Delhi. Redundant Multiple MPLS and Virtual Private Network (VPN) links connecting all plants of IFFCO. IP Telephones available upto Area Office. Video conferencing extensively used nationally and internationally. First among Corporates to successfully implement e-procurement based on Public Key Infrastructure, Digital Certificate under legal framework of IT ACT 2000. Integrated ERP Applications in all Areas like HR, Finance, Marketing, Transportation, Materials, Maintenance, Production etc. Biometrics Attendance Recording System introduced in Paradeep and Aonla Units. IFFCO IT team is providing regular support to all IFFCO JVs. Established Disaster Recovery Site at tier-IV Data Centre, Hyderabad. Contd... 83

Major ICT Activities

Most of the Software developed by in-house expertise, often consulted by other organizations. HRMS, an in-house developed ERP, having 25 applications for better Corporate Governance and internal workflow. Intranet applications on Rules & Procedures, News, Weather, Crop growing periods, Notice Board, Technical Papers, Telephone, Blood Group, Software Project Monitoring, Hardware Complaints and Annual Confidential Reports etc. Multilingual Agri Information Portal to extend benefit of ICT to Cooperatives and farmers. More than 100 touch screen based Kiosks installed in 16 states. Work flow applications implemented to reduce paper work. Kisan call centre has become operational.
Contd...

84

ICT ACTIVITIES DURING 2012-13

Bandwidth of all MPLS-VPN links at Corporate office, New Delhi, from Airtel, Tulip and BSNL were upgraded from 72 Mbps to 104 Mbps and internet links were upgraded to 79 Mbps. High Definition LED based Tele-presence Video Conferencing system has been installed at the Head Office and State Offices for conducting Video Conferencing between the Head Office & all Marketing Offices. The Setup established can facilitate Video with 20 locations at one time. Oracle ERP system implemented in HO, MKCO, Phulpur, Kalol, Kandla, Aonla and Paradeep Units, all State and Area Marketing Offices. Server Consolidation has been done at HO resulting in optimum resource utilization. Upgraded LAN at Delhi on 10 Ghps redundant Fiber connectivity to each floor with faster core switches and wi-fi access points. Contd...
85

IP based HD Video Conferencing Setup

Multi-site (20 sites) High Definition (HD) VC unit with Bridge at Corporate office, New Delhi. Being heavily used for National and International internal meets, Departmental Interviews and Reviews, Board Meetings etc., Can connect upto 20 sites at a time. Received Green IT Award

86

IFFCO WIDE AREA NETWORK (WAN)

87

Awards and Accolades

89

90

MAJOR AWARDS RECEIVED DURING 2012-13

IFFCO has bagged several Awards during the year 2012-13. The major Awards won by IFFCO were: IFFCO emerged as the only Cooperative amongst the top 100 companies. The Society was also ranked 4th in this years Business Standards listing of 1000 unlisted companies. IFFCO was accorded the first prize for its publication Golden Harvest by Public Relations Society of India. IFFCO also won the SKotch Digital Inclusion Award 2012. C10100 Award was awarded to IFFCO. IFFCO IT was placed in Top 100 CISCO award by InfoSecurity Magazine and iViZ Security for IT Security. IFFCO IT won 2012 Computer World Honors Laureate Award. IFFCOs agriculture extension activities were also recognized by FAI.
Contd...
91

MAJOR AWARDS RECEIVED DURING 2012-13

Phulpur Unit Bagged the Best Production Performance Award for Nitrogenous Fertiliser Plant- 2012 from FAI. Selected for 2nd prize in National Energy Conservation Award 2012 by Bureau of Energy Efficiency , Ministry of Power. Received National Award for Excellence in Energy Management 2012 by Confederation of India Industry (CII). Got Golden Peacock Environment Management Award for excellent work done towards preservation of environment. Aonla Unit Aonla Unit received Environment Protection Award for Nitrogenous Fertiliser Plant 2012 (Runner up) from Fertilisers Association of India (FAI), New Delhi, in the FAI Annual Seminar 2012. Awarded NSCI Safety Award 2011 (Certificate of Appreciation) from NSCI for appreciable achievement in occupational Safety & Health during the assessment period of 3 years (2008-2010). Contd...
92

MAJOR AWARDS RECEIVED DURING 2012-13

Received the 13th annual Greentech Environment Award 2012 (Gold Award) in Fertiliser Sector, for outstanding achievement in Environment Management. Bagged National Award for innovative Training Practices 2011-12 (certificate of merit) from Indian Society for Training & Development, New Delhi, for innovative training practices at Aonla Unit. Declared winner of the Golden Peacock National Training Award 2012 for initiatives and achievements in the field of training excellence. Environment Protection Award for NP/NPK Complex Fertiliser plant including Captive Acids Winner for the year 2012 from Fertilisers Association of India (FAI). Best Technical Innovation Runner up for the year 2011-12 from FAI. National Award for excellence in Water Management 2012 from Confederation of India Industry (CII).

Paradeep Unit

93

94

iffco's Growth and jvs/ASSOCIATES

95

96

IFFCOs GROWTH
As on 01.04.1995 (Before) 31.03.2000 (During Vision 2000) 31.03.2005 (During Mission 2005) 31.03.2010 (During Vision 2010) 31.03.2015* (During Vision 2015) Achievements During 2012-13 * Targets 97 Production (000 MT) 2935.6 5275.6 6153.7 8197.8 15000 7902 Sales (000 MT) 3216.3 5172.1 6464.5 11826.5 15000 10054 Turnover (` crore) 1931.93 4688.93 7396.98 16808.57 30000 21673.36 Net Worth (` crore) 1219.00 2386.73 3301.15 4270.50 7500 6281.19

INVESTMENTS
(As on 31.03.2013) JVs / SUBSIDIARIES / ASSOCIATES IFFCOs Equity (` in Crore) 80.37 2.68 394.58 329.08 13.50 27.75 66.60 1.20 440.26 3.65 % of Equity 18.54 34.00 72.64 25.00 8.88 20.64 74.00 100.00 27.00 72.99 Contd. 98

Industries Chimiques du Senegal (ICS) Indian Potash Limited (IPL) IFFCO TOKIO General Insurance Company Ltd. (ITGI) Oman India Fertiliser Company Ltd. (OMIFCO) National Commodity and Derivatives Exchange Ltd. (NCDEX) National Collateral Management Services Ltd. (NCMSL) IFFCO Chhattisgarh Power Ltd. (ICPL) Kisan International Trading FZE (KIT) Jordan India Fertiliser Company (JIFCO) IFFCO Kisan Sanchar Ltd. (IKSL)

INVESTMENTS
(As on 31.03.2013) JVs / SUBSIDIARIES / ASSOCIATES IFFCOs Equity (` in Crore) 61.65 19.00 15.00 12.54 2.34 0.10 % of Equity 100.00 100.00 15.00 95.52 1.00

IFFCO Kisan SEZ Ltd. IFFCO Kisan Bazar and Logistics Ltd. Universal Commodity Exchange Ltd. Indian Farm Forestry Development Cooperative Ltd. Grow Max Agri Corp Maharashtra State Cooperative Bank Ltd.

Contd..... 99

INFRASTRUCTURAL INVESTMENTS
Project/Location Jetty at Kandla Unit Barge Jetty at Kandla Unit * Railway line/siding at Kandla and Paradeep* Marine Cargo Terminal at Paradeep * * Work in progress Objective To handle liquid Raw Materials To handle Solid RMs and Imported Ferts. Speedy Movement of Fertilisers Transportation of Fertilisers Project Cost ` 24 Crore ` 35 Crore ` 46.5 Crore ` 40 Crore

Contd...

100

INVESTMENT FOR CAPACITY INCREASE

In the year 1993, IFFCO initiated major Expansion Projects for all the four operating units by setting up new plants or by way of expansion of existing plants By the year 1999, all the four projects of IFFCO were completed at a cost of ` 2500 crore without any cost and time overrun Investment to the equity capital were made from internal resources of the Society Production capacity of the Society was doubled
Contd... 101

INVESTMENT FOR CAPACITY INCREASE

Aonla project completed ahead of schedule in Dec 1996 at a cost of ` 955 crore. Commercial production started from 25.12.1996 Kalol Ammonia and Urea Plants revamped in August 1997 at an investment of ` 149.7 crore Phulpur Expansion Project completed in December 1997 within 32 months from the zero date at an investment of ` 1190 crore. Commercial Production started on 22.12.1997 Kandla Expansion completed at a Project cost of ` 205.3 crore and commercial production started on 5.8.1999; 77 days ahead of schedule
Contd... 102

INVESTMENT FOR CAPACITY INCREASE

Energy Saving Project (ESP) implemented in all Ammonia and Urea Plants at Kalol, Phulpur and Aonla units with total investment of ` 412 Crore (USD 90 Million). Capacity Enhancement Project (CEP) increased Urea capacity to 42.42 lakh tonne from 36.89 lakh tonne. Acquired NPK/DAP Plant of 2 Million MTPA at Paradeep alongwith Phosphoric Acid and Sulphuric Acid plant at a cost of USD 505 Million in October 2005.

103

Industries Chimiques du Senegal (ICS)

IFFCO holds 18.54 % equity in ICS as on March 31, 2013. Industries Chimiques du Senegal (ICS) was established following an agreement between the Government of India and Government of Senegal in March 1980. The commercial production of the Phosphoric Acid plant at Darou, Senegal commenced in April, 1984. The Darou plant had an initial installed capacity of 240,000 Tonne Per Annum (TPA) of Phosphoric Acid in terms of P2O5 and the Mbao Plant of 200,000 TPA NPK fertilizer. The Darou plant was debottlenecked in 1991 to increase its capacity to 330,000 TPA P2O5. ICS implemented Expansion Project to increase the capacity of Phosphoric Acid to 660,000 TPA P2O5 in February 2002. ICS was recapitalized in April 2008 and a Consortium led by IFFCO took over the management control of ICS. Since acquiring the management control, major investments have been taken up for rehabilitation of ICS plants. ICS exported 3.64 lakh MT of Phosphoric Acid in terms of P2O5 to IFFCO during the year 2012. 104

Indian Potash Limited (IPL)

IFFCO holds 34% equity in IPL as on March 31, 2013. IPL is primarily engaged in trading of imported Potassic, Phosphatic and nitrogenous Fertilisers. IFFCOs demand of Potash for its complex fertilizer plant at Kandla is also sourced from IPL. IPL has also diversified into Dairy business. During the year 2011-12, the company achieved sales turnover of ` 25773 Crore.

105

IFFCO-TOKIO GENERAL INSURANCE CO. LTD. (Iffco tokio) IFFCO TOKIO was established in the year 2000 in collaboration with Tokio Marine Asia with opening of the Insurance Sector for private investment. IFFCO holds 72.64% equity in IFFCO TOKIO as on March 31, 2013. Indian Potash Ltd and Tokio Marine Asia hold 1.36% and 26% equity in IFFCO TOKIO, respectively. The scope of operations of IFFCO TOKIO includes a mix of the following : Rural Insurance Business. Fire Insurance Business. Marine Insurance Business. Miscellaneous Insurance Business.

During the financial year 2012-13, IFFCO TOKIO recorded a Gross Written Premium (GWP) of ` 2649 Crore with profit before Tax of ` 197 crore (provisional). IFFCO-TOKIO has a 100% subsidiary called IFFCO-TOKIO Insurance Services Ltd. which commenced its operations in Sept 2003.
Contd... 106

OPERATIONS OF IFFCO TOKIO

Cooperative Institutions like State, District and Urban Cooperative Banks, Cotton Cooperatives, Dairy Cooperatives and Sugar Cooperatives are used for selling IFFCO TOKIO products. To strengthen Cooperative Channels, IFFCO TOKIO is recruiting Agents from Cooperative Societies so that the benefits of Insurance reaches the village populace. Cooperative Agents are trained and all the expenses are borne by IFFCO TOKIO. The Society gets an additional income by way of commission. IFFCO TOKIO has been identified for Micro Insurance innovation Grant by International Labour Organization (ILO) to carry out the Cattle Insurance project called Pashudhan Bima. The Company participated actively in Rashtriya Swasthya Bima Yojna (RSBY) of Govt. Of India and extended health Insurance to more than 5 lakh Below Poverty Line (BPL) Families. Contd...
107

INSURANCE PRODUCTS OF IFFCO TOKIO

Apart from meeting general insurance requirements of rural area like policies for Home, Shops, Tractors, Two Wheelers etc., IFFCO TOKIO has also launched various products to cater to insurance needs of the farming community in rural areas: Barish Bima Yojna Mausam Bima Yojna Kisan Suvidha Bima Yojna Mahila Suraksha Bima Yojna Janta Bima Yojna Jansuraksha Bima Yojna Janswasthaya Bima Yojna Sankat Haran Bima Yojna Fasal Bima Yojna
108

SANKAT HARAN BIMA YOJANA BY IFFCO TOKIO

This Unique Policy which is linked with the purchase of fertiliser bag from Cooperative Society and Sponsored by IFFCO has entered into its 13th year. Maximum liability limited to ` 1 lakh irrespective of the number of bags purchased. Cash receipt is evidence of the insurance cover. During the period, the Policy provided insurance cover to approximately 76.51 lakh farmers. Has disbursed claims to the tune of ` 80.14 crore since September 2001.
Contd... 109

IFFCO Kisan Sanchar Ltd. (IKSL)

IFFCO holds 72.99 % equity in IKSL as on March 31, 2013. IKSL was incorporated in April 2007 with the objective to use Information Communication Technology to empower farmers in rural India and to strengthen the cooperative network in the country. During the year 201213, IKSL achieved a turnover of ` 225 crore with provisional Profit Before Tax of ` 8.25 crore. ifasal, a special service on Airtel DTH Channel, started on 23rd October, 2012 During 2012-13, IKSL added 19.76 lakh new users of which 11.5 lakh farmers actively avail of the voice message service.
Contd... 110

IKSL OPERATIONS
IKSL received the prestigious Business in the communitys (BITC) Award for Excellence 2011- Coffey International Award in UK. IKSL received Best Jury Award at eWorld Forum 2011, SKOCH Digital Inclusion Award 2011 and Grand Jury Award of the Manthan Award South Asia. IKSL has been awarded for the work of establishing and operating Kisan Call Centre (KCC) services by Department of Agriculture and Cooperation (DAC), Ministry of Agriculture, Government of India.

111

Kisan International Trading FZE (KIT)

Kisan International Trading FZE (KIT), a wholly owned subsidiary of IFFCO was set up as a trading and investment venture in Dubai in April 2005 primarily to handle imports, exports and logistics support for various fertilizers, fertilizers, raw materials and intermediates for all round agricultural development and farmers welfare. KIT actively trades in Rock Phosphates, Ammonia, Phosphoric Acid, Urea, Di-Ammonium Phosphate (DAP), Mono-Ammonium Phosphate (MAP), NP Fertilisers, Sulphur, speciality Water Soluble Fertilisers like Sulphate or Potash, Iron Ore, Furnace Oil and Zinc Ash. The Company also undertakes logistics for transportation of Ammonia to IFFCO under the Ammonia offtake Agreement of IFFCO with Oman India Fertiliser Company (OMIFCO) at Sur in Oman.
Contd... 112

Kisan International Trading FZE (KIT)

KIT has made strategic investments in leading organizations like Legend International Holdings Inc, Australia, Americas Petrogas Inc, Canada, Grow Max Agricorp, Canada, and Jordan India Fertilizer Company LLC (JIFCO). KIT has also promoted IFFCO CANADA Enterprise Ltd. in Quebec, Canada with its Canadian partners to set up a Urea Project to produce 1.27 million tonne of Urea per annum with an investment of USD 1.2 Billion ( ` 6500 crore) IFFCO CANADA Enterprise Ltd., an ammonia-urea project, is expected to be commissioned in 2017. KIT has established a 100% subsidiary namely FERT COOP Trading LLC, Dubai to deal in local trading activities in UAE.

113

OMAN INDIA FERTILISER COMPANY (OMIFCO)

IFFCO holds 25% equity in OMIFCO as on March 31,2013. OMIFCO has two-train Ammonia-Urea Fertiliser manufacturing plant with Ammonia and Urea capacities of 2x1750 TPD and 2x2530 TPD respectively at the Sur Industrial Estate in the Sultanate of Oman. The Complex is designed to produce 1.652 million tonne per year of granulated urea and 0.25 million tonne per year of surplus Ammonia using Natural Gas as feedstock. The Commercial production started on July 14, 2005. Natural Gas is supplied by the Ministry of Oil and Gas, Sultanate of Oman under long term Gas Supply Agreement. Entire production of Urea is being purchased by Government of India under a long term Urea Offtake Agreement. The Surplus Ammonia is being purchased by IFFCO under a long term Ammonia Offtake Agreement. The Company sold 1.80 million MT of Urea and 0.15 million MT of surplus Ammonia during the year 2012.
114

National Commodity and Derivative Exchange (NCDEX)

IFFCO holds 8.88% equity stake in NCDEX as on March 31, 2013. NCDEX is the leading Commodity Exchange promoted by NABARD, ICICI, NSE, LIC and IFFCO. Other Major Shareholders are Jaypee Capital Services Ltd., Shree Renuka Sugars Ltd., CRISIL, PNB, Canara Bank and Goldman Sachs. NCDEX is a leading nationwide commodity exchange which provides online trading platform for commodity futures. NCDEX has over 865 Trading and Clearing Members and more than 48000 trading terminals spread over 700 centers across the country. Commodities traded on the Exchange stood at 29 comprising of 21 agricultural products, 3 energy, 2 metals and 3 bullion as on March 31, 2013.
Contd...

115

NCDEX
NCDEX has accredited more than 780 warehouses with storage capacity of about 6 lakh MT. The Company has 80 depository participants and 15 clearing Banks. The Average Daily Traded Value (ADTV) ON NCDEX platform in 2012-13 was ` 5437 crore.

116

National Collateral Management Services Ltd. (NCMSL)

IFFCO holds the largest 20.64% equity stake in NCMSL as on March 31, 2013. NCMSL was incorporated on 28th September, 2004 and is the first National level Collateral Management Company. NCMSL provides services in both, the Agricultural sector and the Industrial sector. On the Agricultural side, NCMSL provides services to the Farmers community in the form of quality testing and warehousing facilities. In the Industrial segment NCMSL offers Risk Management Solutions, Field Warehousing Facility and Receivables Management Services. NCMSL handles over 800 Warehouses across India covering all strategic locations. NCMSL has firmed up plan to acquire 216 acres of land for setting up its own warehouses across various sites in India. For the year 2011-12, NCMSL achieved an income of ` 203.93 Crore with Profit after Tax of ` 10.15 Crore.
117

IFFCO Kisan Bazar & Logistics Ltd.

The Company was incorporated on February 26, 2004 as 100% owned subsidiary of IFFCO with the objective to provide one stop shop for farmers to cater to their requirements of fertilizers, seeds, agro chemicals, pesticides and agricultural tools etc. The Company has included setting up and development of logistics, infrastructure, industrial and commercial structures in its field of business activities. IKBLL has been identified as Special Purpose Vehicle (SPV) by IFFCO for setting up Barge Jetty for Solid Cargo Handling at Kandla along with Kandla Port Trust.
118

IFFCO Chhattisgarh Power LTD. (ICPL)

IFFCO has diversified into the power sector by incorporating a joint venture company, named IFFCO Chhattisgarh Power Limited (ICPL) to set up a 1320 MW coal based Mega Power Plant in District Surguja of Chhattisgarh. IFFCO, as the majority partner, holds 74% equity and Chhattisgarh State Power Holding Company Limited (CSPHCL) holds 26% equity in ICPL. Coal required for the project will be supplied through Tara Coal Block close to the Project Site. The mines have coal reserves of 252 million MT. The coal block is being developed by CMDC ICPL Coal Ltd (CICL), a Joint Venture of ICPL and Chhattisgarh Mineral Development Corporation Ltd in which CMDC holds 51% share and ICPL holds 49% share in equity. Private land acquisition is complete. Other statutory clearances, water allocation, Power Purchase Agreement are already in place.

119

Jordan India Fertilizer Company (JIFCO)

IFFCO and Jordan Phosphates Mines Company Ltd. (JPMC), Jordan established Jordan India Fertiliser Company (JIFCO) on March 6, 2008. JIFCO is constructing a Phosphoric Acid Plant with Annual Capacity of 475,000 MT of P2O5 at Eshidiya in Jordan. IFFCO (27%) and Kisan International Trading FZE, Dubai (25%) together hold 52% equity, while JPMC holds 48% equity. JPMC will make available the required quantity of Rock Phosphate for the project, while KIT will purchase minimum 70% of Phosphoric acid Produced. SNC Lavalin, France, is the Project Manager under Engineering, Procurement and Construction Management Contract. Project implementation activities commenced on October 14, 2010. The Project is expected to start commercial production by July 2013.
120

Americas Petrogas Inc. (API), Canada

IFFCO and Associates have acquired about 15% stake in Americas Petro Gas Inc., Canada (API) along with 20% stake in its subsidiary GrowmaxAgri Corp, Canada. API is a public listed Canadian Company having interests in Oil and Gas fields in Argentina and Potash reserves in Peru. APIs 100% subsidiary Petrogas Argentina, C.A. holds working interest in 16 blocks having 2 million acres in Neuquen basin of Argentina for exploration of oil and gas. Production of Crude Oil commenced on April 2010. API has promoted Canadian subsidiary GrowmaxAgri Corp (Growmax). GrowMaxs 100% owned subsidiary, Americas Potash Peru (APP) is setting up Potash Mining Project at Bayovar, Peru of capacity 0.25 million MT per annum. The Company holds about 820 sq. km of surface and sub-surface rights in the deposits of Potash in Sechura Province of Peru. GrowMax has signed a Potash Offtake-Agreement with Kisan International Trading FZE(KIT). As per the Offtake agreement, IFFCO and its associates would off-take up to 50% of the MOP produced from the project.
121

IFFCO KISAN SEZ LTD. (IKSEZ)

IFFCO has set up an Agro-based Kisan SEZ in Nellore, Andhra Pradesh through its wholly owned subsidiary namely IFFCO Kisan SEZ Limited (IKSEZ), with primary focus on Food Processing and Agri Based Industries. The SEZ has 1023 Hectares (2527 Acre) of land owned by IFFCO, notified by Ministry of Commerce on 19th April, 2010. All Central Government clearances, including the Environment Clearance for SEZ and State Government approvals have been obtained. Project Proposals have been received relating to Aqua Food processing, Poultry Processing, Logistics Infrastructure, Cold Storages and Vegetable & Fruits Processing, which are under consideration. SEZ became operational on 09.10.2012 with an Agri processing unit exporting processed onions and red chillies.
122

vision 2015

123

124

BROAD VISION OF THE SOCIETY

To augment the incremental income of farmers by helping them to increase their crop productivity through balanced use of energy efficient fertilisers To maintain the environmental health To make cooperative societies economically and democratically strong for professionalised services to the farming community to ensure an empowered rural India. To diversify into other profitable business areas, apart from fertiliser sector, for sustained growth and adequate return to member shareholders
125

VISION 2015
IFFCO successfully implemented its earlier Corporate Plans namely VISION 2000, MISSION 2005 and VISION 2010 which resulted in becoming one of the largest producer and marketer of Chemical Fertilisers by expansion of IFFCOs existing units, setting up joint venture companies overseas and diversification into new sectors. IFFCO has now visualised a comprehensive VISION-2015 having objectives of :Plan entitled

Production of fertilisers through expansion of existing units Setting up of fertiliser production facilities in India and abroad Diversification into other profitable sectors Strengthening its raw material sourcing through Strategic joint ventures in India and abroad Formulation of Strategic Alliances through IFFCO consortium
126

Major salient features of Vision-2015

Become Global Leader in Fertilisers Production to cater to Food Security needs of the Nation. Maximise synergies of core business through Downstream value Additions and Forward/Backward integration. Enhance presence in International markets through strategic joint ventures and Synergistic Acquisitions. Promote Integrated Nutrient Management to improve efficiency of fertiliser use and to promote location specific research on efficient fertiliser practices. Diversify into other profitable businesses to maximise returns to stake holders
Contd... 127

Major salient features of Vision-2015

Bring sustainability and strategies to prevent climate changes by reducing Energy consumption, improving Resources management and promoting Renewable Energy sources. Help Cooperative Societies to become economically strong, professionally managed and to equip Farming community with advanced agricultural practices for improved productivity to ensure empowered Rural India. Achieve Fertilisers Production/Marketing target of 15 million tonne per annum with an annual turnover of ` 30,000 crore. Leverage State of the Art Technologies and Global best practices to retain its global competitiveness
128

MAJOR PROJECTS IN HAND

IFFCO CHHATTISGARH POWER LIMITED JORDAN INDIA FERTILISER COMPANY AMERICAS PETROGAS INC. IFFCO KISAN SEZ LIMITED IFFCO CANADA ENTERPRISES LIMITED

129

TARGETS UNDER VISION - 2015

Area of Operation Production of Fertilisers Sale of Fertilisers Turnover Networth Projected Target 15 Million Tonne 15 Million Tonne USD 6500 Million USD 1700 Million

130

INFORMATION FOR international guests

131

PRODUCTION PERFORMANCE
('000 MT)

132

SALES PERFORMANCE
('000 MT)

133

FINANCIAL PERFORMANCE
(USD Million)
2008-09 SALES TURNOVER PROFIT BEFORE TAX PROFIT AFTER TAX SHARE CAPITAL RESERVES & SURPLUS NETWORTH INVESTMENTS 6055.11 81.26 66.19 78.38 649.50 727.88 168.05 2009-10 3090.42 104.30 73.75 78.37 706.80 785.17 164.06 2010-11 3896.94 188.60 145.52 78.32 835.11 913.42 215.10 2011-12 4706.62 187.13 141.97 78.29 959.67 1037.96 239.05 2012-13 3984.86 203.61 133.98 78.30 1076.56 1154.86 270.34

The items have been stated at the current financial year-end rate of ` 54.3893 per US$, to make the same comparable.

134

PROFIT BEFORE TAX & PROFIT AFTER TAX

(USD Million)

300 250 200 150 100 50 0 2008-09 2009-10 2010-11 2011-12 2012-13
81.26

PBT

PAT
188.60 145.52 104.30 73.75 187.13 141.97 203.61 133.98

66.19

135

TURNOVER AND NETWORTH

(USD Million)

Turnover

Networth

6055.11 4706.62 3090.42 3896.94 3984.86

2008-09

72 7.8 8

2009-10

78 5.1 7

2010-11
136

91 3.4 2

2011-12

10 37 .9 6

2012-13

11 54 .8 6

HIGHLIGHTS OF 2012-13
Production of Fertilisers (Best 8.58 million MT in 2010-11) Sales of Urea & NPK/DAP (Best 12.59 million MT in 2010-11) Highest Profit Before Tax (Previous best USD 188.60 million in 2010-11) Profit After Tax (Best USD 145.52 million in 2010-11) Sale Turnover (Best USD 6055.11 million in 2008-09) 7.90 Million MT

10.05 Million MT

USD 203.61 Million

USD 133.98 Million

USD 3984.86 Million

137

CUMULATIVE ACHIEVEMENTS
(Till 31st March, 2013)

FERTILISER PRODUCTION FERTILISER SALE TURNOVER PROFIT BEFORE TAX PROFIT AFTER TAX CONTRIBUTION TO EXCHEQUER

144.03 Million MT 170.51 Million MT USD 38943.14 Million USD 1946.52 Million USD 1476.76 Million USD 2396.43 Million

138

GROWTH IN PRODUCTION CAPACITIES

(In Million MT)

139

Indian Farmers Fertiliser Cooperative Ltd.

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140

141

Designed & Compiled by: Management Services Department Website : www.iffco.in, www.iffco.coop Produced by: Publicity Department Indian Farmers Fertiliser Cooperative Ltd. IFFCO Sadan, C-1, Distt. Centre, Saket Place, New Delhi-110 017 Printed at:
Printocrat Inc. Pvt. Ltd., C111/2, Naraina Industrial Area Ph-I, New Delhi- 110 028 (June 2013) (2500 Copies)