Brahmaputra Valley Fertilizer Corporation Limited (BVFCL)

• Overview

Brahmaputra Valley Fertilizer Corporation Limited (BVFCL) is the pioneer in India in production of Urea from Natural gas and the unit started production w.e.f. 1st January 1969. The Company was formed on 5th April 2002 after hiving off the Namrup Unit of Hindustan Fertilizer Corporation Limited. It is the only urea manufacturing company in the whole of North Eastern and Eastern part of India. The Company has played a crucial role in the development of this backward NE region and making available urea fertilizer to the local farmers, which is produced from cheap and locally available domestic natural gas. Now, the Company is producing Neem Coated Urea and two organic fertilizers viz. Liquid Bio Fertilizer and Vermi Compost in the brand name of “Mukta”. It is also doing trading of other fertilizers like SSP, MoP, DAP, Rock Phosphate, City Compost etc. It has two operable ammonia urea units at Namrup (Assam) which are of small capacity and were established way back in 1976 and 1987. Its Corporate Office is also situated at Namrup. The other establishments of the Company are Liaison Office at Delhi and Marketing offices at Guwahati, Patna and Bhubaneswar. The Company is having a wide and experienced Dealers Network spread over its Marketing territory of NE States, West Bengal, Bihar, Jharkhand, Odisha, Telengana, Andhra Pradesh, Chattishgarh etc.

The details of existing plants are given below:

* Due to non-availability of natural Gas beyond the contracted quantity, Namrup-II plants were operated at 50% of the capacity during the post revamp period w.e.f. Nov-2005. 

• Vision/ Mission

To be a significant producer of nitrogenous fertilizer in an efficient, economical and environment friendly manner and provide a package of agricultural services through pan India presence. Imported urea handling permission has been granted for Paradip Port and the material is being distributed through own dealers network in the states of Odisha, Telengana, Andhra Pradesh, Chattishgarh, Jharkhand, West Bengal and Bihar. The Company is further expanding/strengthening its Dealers Network in Odisha, Chattishgarh, Jharkhand, Uttar Pradesh, Madhya Pradesh, Andhra Pradesh, Telengana, parts of West Bengal, Bihar etc. to facilitate sale the imported urea and other traded products to gradually have a pan India presence in the field of marketing fertilizers. New trading items like Seed, Pesticides, Mukta Power, Mukta Gold-NPK19:19:19 (WSP), Ammonium Sulphate, Factumphos, HIL net etc., has been introduced.

• Industrial/ Business Operations

        a. Financial Performance (Rs. Cr.)

        b. Physical performance In MT 

     c. Achievements in Trading:

• Performance Highlights:
• Due to two successive major failures in Namrup-II plants, the plant continued to remain under shutdown w.e.f. 06.01.2020 till date.
• Namrup-III plants are being operated at about 80% load, as the technologies have become obsolete, availability of spares for maintenance and replacement of the machineries/equipment's is becoming increasingly difficult.
• The machines being old, the frequency and degree of maintenance is also high.

• New Initiatives:

Some of the initiatives for product diversification and expansion of business network are-

• A 3000 MT per annum Water Soluble NPK production facility will commence production shortly, which is being established by utilizing in-house expertise and funding only.
• Urgent steps have been initiated to receive all permissions and making arrangements for uploading surplus captive power to state/national grid to have financial benefit for the Company. Power Purchase Agreement is expected to be signed shortly for this purpose.
• To install Solar Power System to generate solar power of 2.80 MW,
• To establish a 400 MT per day capacity Single Super Phosphate and Granular SSP Plant within the plant premises,
• Allotment of Paradip Port for import and marketing of Imported bulk Urea and distribution thereof in various states,
• Expanding/strengthening Dealers Network in the states of Odisha, Chattishgarh, Jharkhand, Uttar Pradesh, Madhya Pradesh, Andhra Pradesh, Telengana, parts of West Bengal, Bihar etc.
• Stepped into seed and pesticides business.
• Expansion in the production capacity of Liquid Bio Fertilizer Plant from existing 510 Ltr per day to 1200 Ltr. per day w.e.f. January 2023.
• To maintain full transparency in decision making and to streamline the Management Information System, some of the new initiatives are as follows.
• Company website has been revamped to include maximum possible relevant information.
• e-Office solution
• GePNIC (Government e Procurement platform).
• E-mail solution by NIC for all Officers.
• Online leave system & Online APAR system.
• Bill tracking system for vendors.
• Online Application System for recruitment.
• Visitors Management System.
• More than 50 Nos. of CCTV cameras are being installed to remote monitor and avoid any chance of malpractice.

• Human Resource Management (Manpower as on 31.03.2022):

The total manpower status in your corporation as on 31^st March 2022 was 416. Reservation of SC/ST/OBC/Ex-Serviceman and Physically handicapped categories in the service are being maintained as per the government directives. The manpower position as on 31.03.2022 was as under:

• Sale and Trading data:

The company is continuing the trading activities of Sale of Urea, SSP, MOP, DAP, City Compost etc. for agricultural products to help farmers so that all Agro products are available under one roof (Single Window Concept). During the last three years, the following trading activities were done:

• Public Grievances redressal and Welfare Measures:
• Welfare of Minorities:

The Company is taking due care of minorities at the time of recruitment, promotions etc. A representative of the minority community is also included in the Selection Committee for recruitment and promotion. Corporation is following the presidential directive and guidelines/ orders issued by the Government of India from time to time in the matter of reservation in services for SCs, STs and OBCs. Candidates belonging to SC and ST are fully exempted from payment of fee while applying for any post in the Company. However, they are required to pay processing fees.

Corporation is having one SC/ST/OBC Cell under the Liaison Officer, who initiates necessary action to settle the grievances of the employees belonging to SC/ST community

on priority basis and in consultation with SC/ST Associations.

All the welfare facilities are also extended to the employees of SC/ST community along with other employees. Company has not received any allocation of fund under tribal sub-plan from the Govt. of India.

• Welfare, Development and Empowerment of Women:

The Company lays emphasis in development of employees without any gender discrimination. Emphasis is given on employing women and many women employees have been recruited in recent past. A Complaints Committee under the Chairmanship of a lady officer has been constituted to look into any complaint of sexual harassment of women employees at the workplace. There has been no discrimination against any woman at any point of time. The women employees are also given external training on Women Empowerment for Organizational Excellence for their development.

• Welfare of SCs & STs:

The matter of employment of persons belonging to SC & ST category is taken care at the time of recruitment and promotions. The Company has been following the guidelines/ directives issued by the Government of India from time to time in the matter of reservation in services for SCs and STs. Candidates belonging to SC and ST are fully exempted from payment of fee while applying for any post in the Corporation. However, they are required to pay a fee as processing fees. The Corporation is having one SC/ST/OBC Cell under the Liaison Officer, who initiates necessary action to settle the grievances, if any, of the employees belonging to SC/ST community on priority basis and in consultation with SC/ST Associations. 

• Training: 

For employees continuous effort for improved performance of employees is made both through external training programmes and in-house training both in the plant and through classroom lectures. In spite of limitations on fronts like fund and training resources, BVFCL works out training need assessment based on the yearly feedback on performance from the departments. Further extensive training need survey is carried out periodically based on the analysis of the educational qualification, training imparted during the induction period, subsequent on the job exposure, summarized feedback on performance and interviews. Keeping in view of the ongoing COVID-19 pandemic, employees have been taking part in the online training programmes through webinars, video-conferences etc.

Further, the Company is engaging apprentices under Apprenticeship Act. Apart from engaging apprentices, CMA trainees as well as Vocational Trainees for exposure to actual industrial environment are also engaged.

The Company has also executed an agreement with a ITI for imparting Industrial Training to the students and actual imparting of training has already started as part of skill development of the youths.

During the year ending on 31^st March’2022, 6 (Six) Nos. in-house training programmes and 7 (Seven) Nos. External Training programmes (including 5 nos. Webinars) was conducted in the Training Department of the Company

• Corporate Social Responsibility and Sustainable Development:

In view of having accumulated loss to the Company, the Company is exempted from spending for CSR purpose. However, BVFCL voluntarily undertakes various welfare schemes for its employees and a host of measures, limited to the surrounding areas within 8 kms radius and contributing in every possible way to add value and improving their quality of life. 

Besides extending housing and medical facilities to its employees and dependents, Corporation also provides educational facilities to the children of employees and the wards of the Township and the nearby villages. Your corporation is running one Higher Secondary School, one Kendriya Vidyalaya and one Model Higher Secondary School (English Medium) besides one Primary School and extended its patronage earlier for establishment of Namrup College, one B.Ed College for higher education and establishment of a State Dispensary at Namrup. Corporation also extends its helping hand to a Junior College and one Assamese medium school, by providing accommodations within the colony area at concessional rate.

One hospital with modern equipments is available to extend medical facilities to employees & their dependents. Nearby people of the localities and contract workers are also provided treatment at nominal fee.

Corporation extends facilities to the public of Namrup and adjoining areas like Drinking Water Facilities, Market, Land for Religious / Cultural and other institutions and accommodation for Telephone Exchange, Post Office, Employment Exchange and Civil Defence Office.

In order to maintain the total socio-cultural harmony of the locality, time to time financial

assistance are extended to the nearby educational institutions and other social organizations.

In addition to social security schemes like Provident fund, Gratuity, Pension in the Corporation, the Group Insurance Scheme of LIC in lieu of EDLI, Group Personal Accident Insurance Scheme, Group Savings Linked Insurance Scheme, Mediclaim policy and reimbursement Scheme are implemented for the welfare of the employees.

Employees are encouraged to acquire higher qualifications, an area of empowerment which would enable them to go up the ladder in the company as well improve their knowledge and confidence levels.

Moreover, without indulging any gender discrimination, special attention are being paid in taking the appropriate steps for all round development of the female employees in the corporation.

In the Corporation, Corporate Social Responsibility means caring for the society, for the people around us and contributing in every way possible to add value and improving their quality of life.

In this connection, under “Swachh Bharat Abhiyan”, many awareness programme have been undertaken from time to time for the employees of BVFCL as well as the residents of its locality and cleanliness drive has been initiated at all offices, public buildings like school, factory canteen, hospital & guest house of BVFCL, daily markets, play grounds and public road sides in BVFCL township.

Further, under “Azadi Ka Amrit Mahotsava” various programmes have been undertaken from time to time for the employees of BVFCL like opening Ceremony by singing the National Anthem, Event dedicated to local freedom fighter, theme based skit, Awareness Program, Half Marathon, Webinar, Quiz Competition among the school children of Namrup locality & Tree plantation.

A 60 bed hospital with modern equipments is available to extend medical facilities to employees & their dependents. Nearby people of the localities and contract workers are also provided treatment at nominal fee. 

The Corporation also extends facilities to the public of Namrup and adjoining areas like Drinking Water Facilities, Market, accommodation for Telephone Exchange, Post Office, Employment Exchange and Civil Defense Office etc.

• Initiative towards Atma nirbhar Bharat:

The Company is immensely contributing to Atma nirbhar Bharat by producing indigenous urea by running two very old designed plants of 1960’s and 1970’s at a very low production cost. The plant is using only APM Natural Gas from the near-by wells and thereby ensuring no dependence on imported costly LNG/RLNG etc. Moreover, as the plants are very old, so most of the spares are now procured from indigenous sources by developing local vendors for the same.

The Company uses only cheap Natural Gas available from the near-by fields and not used any costly LNG/RLNG or other imported feedstocks. Inspite of the plants surpassing their effective life and troubled with frequent failures, considerable amount of foreign exchange is saved by producing indigenous cheap urea using local Natural Gas, which would have to be otherwise imported to meet the shortfall in Urea.

BVFCL is effectively providing all the agricultural inputs to the farmers as single source and serving the nation through development of agricultural sector to make the country Atma nirbhar in agriculture for ensuring food security for the nation.

• Establishment of a new Project of standard capacity:

In view of the low performing existing units because of small capacity, obsolescence of equipment's and technology and already surpassing their effective life, a proposal is under consideration to establish a new ammonia urea project at the existing location of BVFCL by a Joint venture Company after closing down the existing units. Govt. of India had accorded Cabinet approval for financial restructuring and setting-up of Namrup-IV in its meeting dated 21.05.2015. As per the approval, the project was to be established in PPP mode by forming a Joint Venture Company, in which 48% equity was allocated to Govt. of Assam and other CPSEs and remaining 52% equity to be allocated to a private/govt. party through bidding.

Due to no response received from investors, the above approval could not be implemented so far.