Company
Profile
Godavari Fertilisers And
Chemicals Limited (GFCL), incorporated in 1981, has completed 25 years of its
existence. GFCL became a Murugappa Group company in July 2003 when
Coromandel Fertilisers Limited (CFL) acquired the stake of Government of Andhra
Pradesh in the process of disinvestment. With a view to foster business
relations, Foskor of South Africa and GCT of Tunisia - the two major raw material
suppliers have been made shareholders with 5% each in the equity of the
Company. IFFCO, the other major shareholder and co-promoter of the Company, has
also divested its shareholding in favour of CFL on 12th April 2007. Consequent to this,
the Company has become a subsidiary of CFL. Presently, CFL holds 74.92% of the
capital of the Company and the remaining is held by public.
The Company’s approximately 1.2 Million MT
manufacturing facility is located at Kakinada,
very close to the sea port and has excellent infrastructure. The plant is
strategically located to derive advantages of logistics- inbound and outbound.
The company has superior product and process technology and the production
efficiencies are comparable to the best in the world. The plant with 8.32 lac
MT name plate capacity in 2003, when it was acquired by Murugappa Group, is now
tuned to produce more than 1.15 million MT per annum with minimum additional
investment in capital assets. The company is one of the low cost producers of
DAP and complex fertilizers using imported phosphoric acid and has built in
flexibility to change the product mix with ease - both in terms of production
and marketing. The Company mainly markets its products through 9 regional
marketing offices in 6 States besides directly selling from the Plant. The
Company has a network of more than 8000 dealers. The demand for Godavari brand products is quite strong and realizing
this potential, the company has embarked upon an expansion project to add 4.25
lac MT of additional capacity by June 2009. Raw material availability is one of
the major factors in the successful operation of a fertiliser company. GFCL has
strong raw material supply linkages through long term supply agreements with
major international suppliers.
Management: The following are the Board of Directors of the Company.
Sl.
No.
|
Name
|
Position
held in Board
|
Committee
Membership
|
1.
|
Dr.Vijaya
Mallya
|
Chairman
|
-
|
2.
|
Shrikant.G.Lupovel
|
Director
|
Audit
Committee R & N Committee
Shareholders Grievance Committee
|
3.
|
Pratap
Narayan
|
Director
|
Audit
Committee R & N Committee
Shareholders Grievance Committee
|
4.
|
N.Sunder
Ranjan
|
Director
|
Audit
Committee R & N Committee
|
5.
|
B.S.Patil,
IAS
|
Director
|
-
|
6.
|
Deepika
Anand
|
Managing
Director
|
Shareholders
Grievance Committee
|
7.
|
K.Prabhakar
Rao
|
Director
Workers
|
|
Information about Plant and Infrastructure
I) Plant
A. Manufacturing Di-Ammonium Phosphate
(DAP)(18:46:0) and flexibility for production of 20:20:00:15 & NPK Grades like 17:17:17;19:19:19;14:35:14;12:32:16.
B. Pesticide formulations unit for
manufacturing 1200 KL per annum.
C. Eco-friendly Bio-fertiliser
Unit.
II) Infrastructure at Kakinada
The
DAP plant is located in 730 acers of land at Kakinada with extensive Green Belt all around
plant. The offsite facilities are indicated below:
Production
GFCL Production
Performance over the Years
Year
|
Production
|
DAP
(MT)
|
20:20:0
(MT)
|
17:17:17
(MT)
|
14:35:14
(MT)
|
10:26:26
(MT)
|
12:32:16
(MT)
|
Total (MT)
|
1998-99
|
340171
|
-
|
-
|
-
|
-
|
|
340171
|
1999-00
|
337299
|
3037
|
-
|
-
|
-
|
|
340336
|
2000-01
|
367941
|
17164
|
-
|
-
|
-
|
|
385105
|
2001-02
|
531796
|
1901
|
-
|
-
|
-
|
|
533697
|
2002-03
|
613409
|
26761
|
-
|
-
|
-
|
|
640170
|
2003-04
|
628969
|
72151
|
-
|
-
|
-
|
|
701120
|
2004-05
|
666845
|
102655
|
-
|
-
|
-
|
|
769500
|
2005-06
|
557797
|
145334
|
-
|
-
|
-
|
|
703131
|
2006-07
|
504191
|
164024
|
29227
|
37922
|
7347
|
|
742711
|
2007-08
|
740613
|
5735
|
2258
|
14109
|
10587
|
33505
|
806807
|
2008-09
|
615729
|
|
|
166680
|
41218
|
64820
|
888447
|
Financial Highlights
Statement Indicating Year-wise Production, Turnover &
Profitability
Year
|
Production
(in MT)
|
Sales
(in MT)
|
Turnover
(Rs. in Cr.)
|
Profit/Loss
(Rs. in Cr.)
|
1999-00
|
3,85,105
|
4,14,100
|
462.65
|
14.52
|
2000-01
|
5,33,697
|
6,29,803
|
740.53
|
30.16
|
2001-02
|
6,40,170
|
7,37,052
|
905.46
|
31.79
|
2002-03
|
7,01,120
|
8,85,264
|
1041.25
|
7.99
|
2003-04
|
7,69,500
|
8,90,226
|
1056.24
|
(-) 11.85
|
2004-05
|
7,03,131
|
9,46,240
|
980.74
|
1.95
|
2005-06
|
7,42,711
|
7,50,000
|
730.01
|
(-)13.62)
|
2006-07
|
8,06,807
|
7,80,583
|
887.21
|
7.15
|
2007-08
|
8,88,447
|
8,94,391
|
1193.63
|
17.09
|
2008-09
|
10,24,307
|
10,31,931
|
1518.48
|
26.10
|
Regional
Marketing Offices
Andhra Pradesh: Kakinada,
Vijayawada, Kurnool,
Hyderabad
Uttar Pradesh: Lucknow
Madhya Pradesh: Bhopal
Maharashtra: Nagpur
Karnataka: Raichur
Chattisgarh: Raipur
West Bengal: Kolkata
Tamil Nadu: Chennai
The Company started Marketing operations
from kharif 1985. Company popularised the product by the brand name of
"Godavari DAP" and "Godavari
20:20:0".
The company manufactures the following products:
- DAP
- 14:35:14
- 12:32:16
- 10:26:26
The company also markets other Nitrogenous
& NPK grades.
·
Urea
·
Imported
MOP
·
Zinc
Sulphate
·
20:20:0
etc.
The company is the DAP Market Leader in A.P. State
of India
with a Market share exceeding 68%. The company enjoys an All India DAP Market
share of 11% in 2006-2007.
Production and Sales
Year
|
DAP(MTs)
|
20:20:0 (MTs)
|
17:17:17 (MTs)
|
14:35:14 (MTs)
|
10:26:26 (MTs)
|
12:32:16
|
Prod
|
Sales
|
Prod
|
Sales
|
Prod
|
Sales
|
Prod
|
Sales
|
Prod
|
Sales
|
Prod
|
Sales
|
1997-98
|
340171
|
304769
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
1998-99
|
337299
|
319123
|
3073
|
3037
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
1999-00
|
367941
|
380441
|
17164
|
17124
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
2000-01
|
531796
|
608981
|
1901
|
22101
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
2001-02
|
613409
|
693994
|
26761
|
55560
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
2002-03
|
628969
|
567983
|
72151
|
63485
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
2003-04
|
769500
|
790253
|
102655
|
107290
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
2004-05
|
557797
|
7711640
|
145334
|
151249
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
2005-06
|
504191
|
465828
|
164024
|
164752
|
29227
|
22296
|
37922
|
19291
|
7347
|
158
|
-
|
-
|
2006-07
|
740613
|
595495
|
5735
|
7855
|
2258
|
5912
|
14109
|
28729
|
10587
|
7329
|
33505
|
29992
|
2007-08
|
615729
|
625220
|
|
|
|
|
166680
|
131203
|
41218
|
47501
|
64820
|
66310
|
Coromandala Fertilizeres
Company History
1959
Independent India realised that its
largely agrarian economy needed a thrust in the right direction for its people
to benefit and prosper. Prime Minister Jawaharlal Nehru invited the Ford
Foundation to carry out a comprehensive study of Indian agriculture and give
its recommendations. The study revealed a crucial need to produce indigenous
chemical fertilisers to increase agricultural output to meet the country’s
ever-increasing food demand.
1961
An industrial licence was granted to three
companies – IMC (the world’s largest producer of fertilisers then), Chevron
Chemical Company (a major American player in fertilisers / industrial
chemicals) and E.I.D.Parry (India)
Limited (India’s
largest private fertiliser producer with 60 years’ standing) – to set up a
giant chemical fertiliser complex.
The first Board of Directors was
constituted on October 16, with H V R Iengar as its Chairman. Others on the
Board included J Q Cope, Charles Dennison, J K John, Dr L Bharat Ram, A W
Horton, J T Gibson, S C Dholakia, V K Rao and Raja Rameswar Rao. L L Powell and
P J Davies were the first Managing Director and Dy. Managing Direct
respectively. Donald I Meikle was the first Company Secretary.
1962
Market development commence in the form of
a “seeding programme”. E.I.D. Parry was appointed CFL’s principal sales agent
in India
for our product aptly name “GROMOR” epitomising the idea of GROwing MORe food
for the nation.
A 483.5 acres site was identified at Visakhapatnam along the “Coromandel” coast (India’s east
coast), from where the Company derived its name. The land, taken under a
50-year lease from Visakhapatnam Port Trust, has a private jetty just 5 km from
the plant site. With a capital investment of Rs.50 crores, Lumus Company
undertook construction of the plant.
1964
On March 2, Dr Bharat Ram was elected
Chairman of CFL’s Board of Directors. He was the longest-servicing Chairman,
with an innings of 37 years. Addressing the AGM as Chairman on July 15, 2004, he
nostalgically commented, “In my long innings in public life, business and
industry, I have had varied experience. But I would like to affirm today, the
last occasion when I shall address you as the Chairman of CFL, that no
assignment has given me such pleasure and a sense of fulfillment as working
with you all. FCFL has been a role model, a commonwealth, in co-operative
effort to build a great company, anchored in values and every aspect of what is
commonly known today as “corporate governance”. You have indeed won my prizes;
but your most precious treasure is the loyalty and sense of belonging of the
men and women who were with you earlier, and who are happily still with you.”
1967
On December 10, Mr. Morarji Desai, the
then Deputy Prime Minister of India, dedicated the fertiliser plant to the
nation, in the presence of Mr. Kasu Brahmananda Reddy, the Chief Minister of
Andhra Pradesh. Grandhi Ramamurthy, a local farmer, was given the honour of
cutting the ribbon!
The 245 ft high Urea prill tower was one
of the tallest industrial structures in India then. Though not operational
today, it still presents a formidable sight, towering against the skyline,
recalling old memories for those who were associated with its operation.
1970
The “GROMOR farmer” was
developed as a marketing symbol and introduced on our bags to spread the
message of “higher yields, bigger profits”. Today, farmer house holds across
our addressable markets identify CFL’s brand by this symbol.
1971
The “Coromandel Lecture”
was instituted to provide a forum for thinkers, economists, social and
agricultural research scientists around the world to share their thoughts on
issues of global concern such as food security, environment and extension
activity.
The “Borlaug Award”, instituted in honour
of Nobel Laureate Dr Norman Borlaug (father of the wheat revolution), honours
eminent men of science and industry for their distinctive contribution to the
cause of agriculture. This reflects CFL’s concern to develop a symbiotic
interaction between agriculture, industry and academia.
1976
Our fertiliser retail
outlet at Secunderabad got a boost with garden lovers fervently seeking small
quantities of fertilisers for bigger and richer blooms and fruit.
1977
CFL completed a decade of participation in augmenting agricultural production
for the nation. Its vital role covered soil nourishment, sharing agronomic
expertise, supporting agricultural education and rewarding research – all of
which had progressively grown in width and depth during the decade.
1980-90
Plans to diversify were afoot. A “groundbreaking” ceremony was performed in
November 1980 at Chilamkur (Andhra Pradesh), which is rich in limestone
deposits, to set up a one million tonne cement plant. The fully computerised
plant (designed by world-renowned cement manufacturer Krupp Polysius of West Germany)
was commissioned in 1984. It was later sold to India Cements in 19903
1995-99
Chevron Chemical Company
divested its stake in favour of E.I.D.Parry (I) Limited in 1995, followed by
IMC in 1999. E.I.D. Parry (I) Limited acquired majority shareholding in CFL,
making it a part of the Murugappa Group, a highly reputed industrial
conglomerate.
2000
CFL’s growth over the years has been punctuated with several path-breaking
modernisation / upgradation programmes. Begun in 1975, the programme gathered
momentum in 1992-95, when the Sulphuric Acid, Phosphoric Acid and Complex
Granulation plants were debottlenecked. Production capacity wend up from the
original 247,000 MT to 400,000 MT. On September 29, Mr. N Chandrababu Naidu,
the then Chief Minister of Andhra Pradesh, inaugurated a new complex granulation
train. This further augmented capacity to 600,000 MT, a boon to the entire
farming community.
2003
On July 12, CFL consolidated its business by acquiring controlling stake in
Godavari Fertilisers & Chemicals Limited (GFCL). To optimise synergy of operations
in the Group, the Farm Inputs Division of E.I.D Parry (I) Limited was merged
with CFL on December 1.
2004
Mr. V Ravichandran took over as President & WTD on January 22. Mr. A Vellayan took over as Chairman on
September 1. Other Directors on the Board are Mr J Jayaraman, Mr.M M
Murugappan, Mr. T M M Nambiar , Mr. M K Tandon, Mr. D E Udwadia, Mr. S
Viswanathan and Mr. K A Nair. The first post-merger AGM of the Company was held
on July 15.
2005
CFL signs a Business Assistance Agreement with Foskor Limited, South Africa.
Locations
CFL's has fertiliser plants in Visakhapatnam, Ennore and Ranipet and Plant Protection
Chemicals plant at Navi Mumbai, Ranipet and Jammu. It also has marketing branches in the
following states:
·
Madhya
Pradesh
·
Chattisgarh
·
Orissa
·
Andhra
Pradesh
·
Karnataka
·
Tamilnadu
·
Punjab
·
Haryana
·
Rajasthan
·
Gujarat
·
Maharashtra
·
Kerala
·
Tamilnadu
Safety & Environment
Safety, Health and Environment (SHE) are
inviolable ingredients of our corporate alues. We treat the neighbourhood as an
important stakeholder, and constantly hold ourselves accountable to them. Our
facilities ensure utmost safety to the plant personnel, and our workplaces are
ergonomically designed to reduce fatigue, create a cheerful ambience, and
minimise exposure to the operating personnel. We treat pollution at source, and
have several safety procedures dovetailed in our manufacturing processes. Our
endeavour is to avoid generation of waste (through better processes), minimise
the impact on the environment (through process modifications) and treat the
residual impact.
Pro-actively implemented the Process
Safety Management System (PSMS), which helps avoid incidents and accidents
where hazardous chemicals are handled. Going beyond mandatory health and safety
norms applicable to the industry, we have developed safety standards that have
become veritable benchmarks for others.
Committed to adopting the best available
techniques to reduce emission levels, and continuously re-engineer our
facilities to minimise the discharge impact.
Visakhapatnam Plant has achieved ‘1
million safe man-hours’ for the 36th time, that included 3 million consecutive
safe man-hours for the fifth time. The company’s Visakhapatnam and Ranipet facilities achieved
perfect 4-4 scores in recent compliance audits for implementation of the
Process Safety Management System (PSMS). The Visakhapatnam facility is also certified for
OHSAS 18001:1999, an international standard for occupational health and safety.
Environment:
CFL diligently discharges its responsibility
towards the environment and the neighborhood:
·
The
DCDA technology at the sulphuric acid plant reduces sulphur oxide emission
considerably.
·
To
avoid sulphur dust emission, India’s
first-ever liquid sulphur terminal has been installed at the jetty, which also
conserves energy by avoiding burning of fossil fuel.
Effluent treatment plants in our facilities totally recycle
effluents; and bag filters ensure effective recovery of rock dust.
·
The
Fluorine recovery plant converts fluorine in effluents to hydrofluosilicic acid
(a value-added product), a classic example of our ‘wealth from waste’ approach.
·
Rainwater-harvesting
schemes have been implemented to improve ground water availability in the plant
premises.
·
As
part of an extensive afforestation drive, lakhs of trees have been planted
around our facilities.
The ultimate accolade for our environment
consciousness comes from the greatest auditor of them all - Mother Nature
herself - in the form of scores of species of migratory birds regularly flocking
to the ‘green belts’ that encircle our plants.
Mission &
Vision
Vision
To be the leader in the phosphatic
fertiliser industry, producing high quality fertilisers at low cost and giving
satisfaction to all stake holders.
Purpose & Mission
To enhance the prosperity of farmer
through the supply of quality farm inputs and related services to ensure value
for money.
Values & Beliefs
- Adhere to ethical
norms in all dealings with shareholders, employees, customers, suppliers,
financial institutions and government
- Provide value for
money to customers through quality products and services
- Treat our people with
respect and concern; provide opportunities to learn, contribute and
advance; recognize and reward initiatives, innovativeness and creativity.
- Maintain- an
organisation climate conducive to trust, open communication and team
spirit - a style of operation befitting our size, but reflecting
moderation and humility.
- Manage environment
effectively for harnessing opportunities
- Discharge
responsibilities to various sections of society and preserve environment.
- Grow in an accelerated
manner, consistent with values and beliefs, by continuous organisation
renewal.
Products and Services
Gromor 14-35-14:
- Contains nitrogen
phosphate and potash.
- Highest total nutrients
content (63%)
- N&P ratio same as
DAP. But 14-35-14 has extra 14% potash.
- Highest in phosphate
(35%)
- Best for cotton,
groundnut, chilly, soyabeans, potato, etc.
- Not suitable for
tobacco and grapes.
Gromor 28-28-0 :
- Complex with highest
N&P in 1:1 ratio
- Unique granulation by
coating prilled urea with ammonium phosphate layer.
- Such granule
configuration ensures efficient utilisation of nutrients.
- Highly suitable for
paddy, wheat.
Gromor 20-20-0-13 :
- A high analysis
complex Fertiliser containing all the three major nutrients - Nitrogen,
Phosphate and Potash, was launched by CFL in March 2003.
- This complex contains
Phosphate and Potash in the ratio of 1:1, the highest among the NPK
Fertilisers. Its unique features being :
Paramfos 16-20-0-13
- Ammonium Phosphate
Sulphate containing Nitrogen, Phosphate and Sulphur.
- It is the most
preferred Fertiliser in drill-sown areas.
Parrygold
- Ammonium Phosphate
Sulphate Containing Nitrogen and Phosphate in 1:1 ratio.
- It is an ideal
Fertiliser for all crops grown in Sulphur
deficient soils.
Parry super (Single Super Phosphete)
- First chemical
Fertiliser to be manufactured in India.
- Favoured Fertiliser
for dry land areas.
- Controls acidity in
soil and increase productivity.