Matix Fertilisers plans to invest Rs 7,500 Cr to increase its Urea production capacity
The investment will fund a brownfield expansion at its existing urea plant in Panagarh Industrial Park, West Bengal.
India’s one of the leading urea producers Matix Fertilisers and Chemicals has announced plans to invest approximately Rs 7,500 crore to double its urea production capacity. The investment will fund a brownfield expansion at its existing urea plant in Panagarh Industrial Park, West Bengal.
With the expansion, the company expects to significantly increase its market share. The Rs 7,500 crore investment will be financed through a mix of debt and equity. For FY24, Matix Fertilisers reported a revenue of Rs 6,900 crore, up from Rs 5,700 crore in FY23.
Nishant Kanodia Chairman, Matix Fertilisers said, “Currently, the company operates at a production capacity of 1.27 million tonnes per annum (MTPA), but it has consistently exceeded this capacity in recent years. In the last financial year, Matix Fertilisers achieved 118 per cent capacity utilisation, producing 1.5 million tonnes. This year, the company continues to operate at 112-113 per cent capacity utilisation, demonstrating operational excellence”.
“We are aiming to double the capacity at the same site. We have already made significant progress, with some initial work completed. We are now awaiting approval from the Department of Fertilisers of the Government of India for the expansion. Once we receive the green light, we are confident that construction will begin soon, and the plant will be operational within the next 30 months,” Kanodia added.
Matix Fertilisers currently holds a market share of approximately 4.8 per cent in India’s urea production, which stood at around 31.4 million tonnes in the last fiscal year. The company is a dominant player in eastern India, with a 20 per cent market share in the region.
The investment will fund a brownfield expansion
