Indian agri co-op giant IFFCO records record profit

Managing director Dr U.S. Awasthi hailed the success in a year of disruption from the Covid-19 pandemic

The Indian Farmers Fertiliser Cooperative (IFFCO) has posted its highest ever post-tax profit of Rs 100.5bn £1.06bn) for 2019-20.

The co-op – which comprises 35,000 member co-operatives reaching over 50 million Indian farmers – said it has recorded its best ever figures for the production, sale and despatch of fertilisers.

The co-op posted its highest ever sales of fertilisers for 13.3m tonnes despite the difficult and random market and weather conditions. IFFCO’s group turnover in FY 19-20 stood at  Rs. 577.8bn (£61bn) – up from Rs. 50,908 in 2018-19. 

On operational front, IFFCO’s total production of fertilisers increased to 9.1m tonnes last fiscal year, from 8.1m tonnes in the previous year. Out of total fertilisers production in 2019-20, urea output was 4.9m tonnes compared to 4.5m tonnes the previous year. The production of DAP/NPK/WSF was 4.2m tonnes in 2019-20 – up from 3.6m tonnes the previous year. 

IFFCO also achieved its lowest composite energy consumption of 5.285 Gcal per MT, compared to 5.331Gcal per MT in 2018-19. IFFCO, the world’s largest fertiliser co-operative, has five plants at Kalol, Kandla, Phulpur, Aonla and Paradeep in India and two overseas. 

 Apart from its core fertiliser business, IFFCO havs diversified into general insurance, rural retail, farm forestry, rural telecom, agrochemicals, rural finance, logistics, food processing, organics and nutrients for urban gardening also. 

Managing director Dr. U S Awasthi said: “I am glad that IFFCO could achieve outstanding overall performance for the FY 19-20, which is indeed incredible to accomplish in a year severely affected by global and economic challenges.

“I am sure that our decision to implement multi-faceted initiatives to augment farmers’ welfare and take them to the last mile across the country will contribute effectively to the nation-building process and will certainly help to fulfil the vision of prime minister Narendra Modi of doubling the farmers income by 2022.

“ I am sure that this will help us in expanding our sphere to new horizons at an accelerated pace in the coming years.”

IFFCO’s report comes as it announced new environmental campaigns, distributing neem saplings for planting in western Bengal, an continued its efforts to tackle the Covid-19 crisis.

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