Economic Times reported that New the foundation of the USD 625 million Iffco phosphoric acid JV, Jordan India Fertilizer Company was laid in Jordan on October 3rd 2009 by head of that nation, King Abdullah II. The plant, at Eshidiya is located near Jordan's rich rock phosphate mines and is expected to boost India's phos acid supply for key fertilizers such as DAP in the thick of volatile and fluctuating world prices.
The JV is a strategic partnership between IFFCO and Jordan Phosphate Mines Company wherein JPMC will be supplying around 2 million tonnes rock phosphate to the project from nearby mines in Jordan and IFFCO will be getting consistent supply of phosphoric acid to meet its requirement in India.
Mr Walid Ismail Kurdi chairman of JPMC and JIFCO said that this project with an investment of USD 625 million will be a win-win situation for both the countries. Jordan has abundant reserves of rock phosphate mineral and this project will boost their economy by way of direct and indirect employment, sourcing of materials and services from the local contractors/ establishments and export earnings of around USD 300 million per year.
India, through IFFCO shall be getting large quantity of phosphoric acid from Jordan. In 2008, phos acid prices skyrocketed globally, boosting India's fertilizer subsidy bill to a whopping INR 0.1 million before it reduced somewhat early 2009 on the back of cheaper crude oil prices.
Dr US Awasthi MD of Iffco said that “this JV Project will provide assured supply of phosphate input to the Indian agriculture for sustenance in food grains production. We are confident that the project will be completed on time."
JIFCO has been incorporated in March, 2008 as JV of Jordan Phosphate Mines Company, Jordan and Indian Farmers Fertilizer Cooperative Limited, India to set up a phosphoric acid project.
In order to meet the growing demand of fertilizers, IFFCO has also established JV in Senegal, Oman and Australia for sourcing a part of its requirement of raw material and finished fertilizer. With the focus on farmers’ needs, IFFCO has already diversified into Insurance, Power, Telecom and other sectors through various JV. Towards the upliftment of rural people in India, IFFCO has been undertaking projects in Farm Forestry, Cooperative & Rural Development, Agriculture services etc.
(Sourced from Economic Times)
