The Government of Chhattisgarh and GAIL (India) Limited have signed a memorandum of understanding to jointly explore the development of a greenfield gas-based fertiliser project in the state, marking a strategic step towards strengthening domestic urea capacity and regional fertiliser security. The non-binding MoU was signed in the presence of Chief Minister Vishnu Deo Sai, signaling high-level political backing for the initiative.

Under the agreement, GAIL will carry out detailed techno-economic feasibility studies for setting up a urea manufacturing plant with an annual capacity of 12.7 lakh metric tonnes. The proposed facility is planned along GAIL’s Mumbai–Nagpur–Jharsuguda Natural Gas Pipeline corridor, a location that offers logistical and cost advantages by ensuring reliable access to natural gas, the critical feedstock for gas-based fertiliser production. An investment decision will be taken by GAIL after the completion and evaluation of these studies.

The Chhattisgarh government has committed to providing end-to-end facilitation for the project, covering feasibility assessments, identification and allocation of suitable land parcels, coordination with state and central agencies, and support in securing statutory approvals. The state will also assist in developing enabling infrastructure required for timely implementation, reflecting its intent to position Chhattisgarh as a hub for fertiliser manufacturing and allied industries.

The proposed project aligns with India’s broader push to expand domestic urea capacity, reduce dependence on imports and stabilise fertiliser supplies for farmers. If taken forward, the gas-based plant is expected to contribute to employment generation, industrial development and improved fertiliser availability in central and eastern India, reinforcing the role of energy-linked infrastructure in advancing agricultural self-reliance.