Indian Farmers Fertiliser Cooperative Limited
Encyclopedia
Indian Farmers Fertiliser Cooperative Limited, also known as IFFCO, is the world’s largest fertiliser cooperative federation
based in India
which is registered as a Multistate Cooperative Society. IFFCO has 40,000 member cooperative
s.
Indian Farmers Fertiliser Cooperative Limited (IFFCO) was registered on November 3, 1967 as a Multi-unit Co-operative Society. On the enactment of the Multistate Cooperative Societies act 1984 & 2002, the Society is deemed to be registered as a Multistate Cooperative Society. The Society is primarily engaged in the production and distribution of fertilisers. The bylaws of the Society provide a broad frame work for the activities of IFFCO as a cooperative society.
During the years 2004 and 2005, IFFCO has emerged as a cooperative in true spirit. IFFCO is now entirely owned by its cooperatives and has become a cooperative of the farmers, by the farmers and for the farmers.
Initially, IFFCO commissioned an ammonia - urea complex at Kalol
and the NPK/DAP plant at Kandla
both in the state of Gujarat in 1975. Another ammonia - urea complex was set up at Phulpur
in the state of Uttar Pradesh
in 1981. The ammonia - urea unit at Aonla
was commissioned in 1988. Recently, IFFCO has acquired an NPK/DAP and Phosphoric acid fertiliser unit at Paradeep in Orissa
in September 2005. The marketing of IFFCO’s products is channeled through cooperative societies and institutional agencies in over 28 states and union territories of India.
The Society has also achieved another important landmark in the field of energy conservation by clocking overall annual energy of 5.943 Gcal/tonne of urea.
The Society has cloaked an all time high sales of 112.58 lakh tonne of fertilizers during 2008-09
and Oman India Fertiliser Company (OMIFCO) in Oman
are important fertiliser joint ventures. Indo Egyptian Fertiliser Company (IEFCO) in Egypt
, Jordan India Fertiliser Company in Jordan
are under implementation. As part of strategic diversification, IFFCO has entered into several key sectors. IFFCO-Tokio General Insurance Ltd (ITGI) is a foray into general insurance sector. Through ITGI, IFFCO has formulated new services of benefit to farmers. ‘Sankat Haran Bima Yojana’ provides free insurance cover to farmers along with each bag of IFFCO fertiliser purchased. To take the benefits of emerging concepts like agricultural commodity trading, IFFCO has purchased equity in National Commodity and Derivatives Exchange (NCDEX) and National Collateral Management Services Limited (NCMSL). IFFCO Chattisgarh Power Limited (ICPL) which is under implementation is yet another foray to move into core area of power. IFFCO Kisan Sanchar Ltd (IKSL)Telecom initiative for Rural India. IFFCO is developing a multi-product KISAN Special Economic Zone (IKSEZ) at Nellore in Andhra Pradesh - first of its kind with farmer's cooperatives as stakeholders. IFFCO is also behind several other companies with the sole intention of benefiting farmers.
The distribution of IFFCO’s fertiliser is undertaken through over 39,800 co-operative societies. The entire activities of Distribution, Sales and Promotion are co-ordinated by Marketing Central Office (MKCO) at New Delhi assisted by the Marketing offices in the field. In addition, essential agro-inputs for crop production are made available to the farmers through a chain of 158 Farmers Service Centre (FSC). IFFCO has promoted several institutions and organisations to work for the welfare of farmers, strengthening cooperative movement, improve Indian agriculture. Indian Farm Forestry Development Cooperative Ltd (IFFDC), Cooperative Rural Development Trust (CORDET), IFFCO Foundation, Kisan Sewa Trust belong to this category. An ambitious project ‘ICT Initiatives for Farmers and Cooperatives’ is launched to promote e-culture in rural India. IFFCO obsessively nurtures its relations with farmers and undertakes a large number of agricultural extension activities for their benefit every year. In February 2010, it was announced that IFFCO had entered into a joint venture partnership with GrowMax Agri Corp
, a subsidiary of Americas Petrogas Inc.
Cooperative federation
A co-operative federation or secondary co-operative is a co-operative in which all members are, in turn, co-operatives.Historically, co-operative federations have predominantly come in the form of co-operative wholesale societies and co-operative unions...
based in India
India
India , officially the Republic of India , is a country in South Asia. It is the seventh-largest country by geographical area, the second-most populous country with over 1.2 billion people, and the most populous democracy in the world...
which is registered as a Multistate Cooperative Society. IFFCO has 40,000 member cooperative
Cooperative
A cooperative is a business organization owned and operated by a group of individuals for their mutual benefit...
s.
History
During the 1960s the cooperative sector in India was responsible for the distribution of 70 per cent of the fertilisers consumed in the country. This sector had adequate infrastructure to distribute fertilisers but had no production facilities of its own and hence was dependent on public/private sectors for supplies. To overcome this difficulty and to bridge the demand supply gap in the country, a new cooperative society was conceived to specifically cater to the needs of farmers. It was a unique venture in which the farmers of the country through their own cooperative societies created this new institution to safeguard their interests. The number of cooperative societies associated with IFFCO have risen from 57 in 1967 to more than 39,800 at present.Indian Farmers Fertiliser Cooperative Limited (IFFCO) was registered on November 3, 1967 as a Multi-unit Co-operative Society. On the enactment of the Multistate Cooperative Societies act 1984 & 2002, the Society is deemed to be registered as a Multistate Cooperative Society. The Society is primarily engaged in the production and distribution of fertilisers. The bylaws of the Society provide a broad frame work for the activities of IFFCO as a cooperative society.
Plants owned by IFFCO
Initially, IFFCO commissioned an ammonia - urea complex at Kalol
Kalol
Kalol is a city and a municipality in Panchmahal district in the Indian state of Gujarat.- Geography :Kalol is located at . It has an average elevation of 100 metres .It is famous for its oil field.- Industry :...
and the NPK/DAP plant at Kandla
Kandla
Kandla is a seaport in Kutch District of Gujarat state in western India. Located on the Gulf of Kutch, it is one of major ports on west coast. Kandla was constructed in the 1950s as the chief seaport serving western India, after the partition of India from Pakistan left the port of Karachi in...
both in the state of Gujarat in 1975. Another ammonia - urea complex was set up at Phulpur
Phulpur
Phulpur is a town and a nagar panchayat in Allahabad district in the Indian state of Uttar Pradesh. It is known for being the Lok Sabha seat from which Jawaharlal Nehru got elected to the Indian Parliament.-Geography:...
in the state of Uttar Pradesh
Uttar Pradesh
Uttar Pradesh abbreviation U.P. , is a state located in the northern part of India. With a population of over 200 million people, it is India's most populous state, as well as the world's most populous sub-national entity...
in 1981. The ammonia - urea unit at Aonla
Aonla, Uttar Pradesh
Aonla is a city and a municipal board in Bareilly district in the state of Uttar Pradesh, India.-Geography:Aonla is located at . It has an average elevation of 237 metres .-Industry:IFFCO factory of Urea is located in Aonla...
was commissioned in 1988. Recently, IFFCO has acquired an NPK/DAP and Phosphoric acid fertiliser unit at Paradeep in Orissa
Orissa
Orissa , officially Odisha since Nov 2011, is a state of India, located on the east coast of India, by the Bay of Bengal. It is the modern name of the ancient nation of Kalinga, which was invaded by the Maurya Emperor Ashoka in 261 BC. The modern state of Orissa was established on 1 April...
in September 2005. The marketing of IFFCO’s products is channeled through cooperative societies and institutional agencies in over 28 states and union territories of India.
Production and Sales
During the year 2008-09 IFFCO produced 71.68 lakh(7.168 million) tonnes of fertiliser material; registering overall capacity utilisation of 98 percent for nitrogenous and 53 per cent for phosphatic fertiliser. It contributes 21.4% of country’s total nitrogenous fertiliser production and 27% of total phosphatic fertiliser production in the same period. Plant productivity during the year stood at 1373 tonnes/person.The Society has also achieved another important landmark in the field of energy conservation by clocking overall annual energy of 5.943 Gcal/tonne of urea.
The Society has cloaked an all time high sales of 112.58 lakh tonne of fertilizers during 2008-09
Diversification and Joint Ventures
IFFCO has made strategic investments in several joint ventures. Indian Potash Limited in India, Industries Chimiques du Senegal (ICS) in SenegalSenegal
Senegal , officially the Republic of Senegal , is a country in western Africa. It owes its name to the Sénégal River that borders it to the east and north...
and Oman India Fertiliser Company (OMIFCO) in Oman
Oman
Oman , officially called the Sultanate of Oman , is an Arab state in southwest Asia on the southeast coast of the Arabian Peninsula. It is bordered by the United Arab Emirates to the northwest, Saudi Arabia to the west, and Yemen to the southwest. The coast is formed by the Arabian Sea on the...
are important fertiliser joint ventures. Indo Egyptian Fertiliser Company (IEFCO) in Egypt
Egypt
Egypt , officially the Arab Republic of Egypt, Arabic: , is a country mainly in North Africa, with the Sinai Peninsula forming a land bridge in Southwest Asia. Egypt is thus a transcontinental country, and a major power in Africa, the Mediterranean Basin, the Middle East and the Muslim world...
, Jordan India Fertiliser Company in Jordan
Jordan
Jordan , officially the Hashemite Kingdom of Jordan , Al-Mamlaka al-Urduniyya al-Hashemiyya) is a kingdom on the East Bank of the River Jordan. The country borders Saudi Arabia to the east and south-east, Iraq to the north-east, Syria to the north and the West Bank and Israel to the west, sharing...
are under implementation. As part of strategic diversification, IFFCO has entered into several key sectors. IFFCO-Tokio General Insurance Ltd (ITGI) is a foray into general insurance sector. Through ITGI, IFFCO has formulated new services of benefit to farmers. ‘Sankat Haran Bima Yojana’ provides free insurance cover to farmers along with each bag of IFFCO fertiliser purchased. To take the benefits of emerging concepts like agricultural commodity trading, IFFCO has purchased equity in National Commodity and Derivatives Exchange (NCDEX) and National Collateral Management Services Limited (NCMSL). IFFCO Chattisgarh Power Limited (ICPL) which is under implementation is yet another foray to move into core area of power. IFFCO Kisan Sanchar Ltd (IKSL)Telecom initiative for Rural India. IFFCO is developing a multi-product KISAN Special Economic Zone (IKSEZ) at Nellore in Andhra Pradesh - first of its kind with farmer's cooperatives as stakeholders. IFFCO is also behind several other companies with the sole intention of benefiting farmers.
The distribution of IFFCO’s fertiliser is undertaken through over 39,800 co-operative societies. The entire activities of Distribution, Sales and Promotion are co-ordinated by Marketing Central Office (MKCO) at New Delhi assisted by the Marketing offices in the field. In addition, essential agro-inputs for crop production are made available to the farmers through a chain of 158 Farmers Service Centre (FSC). IFFCO has promoted several institutions and organisations to work for the welfare of farmers, strengthening cooperative movement, improve Indian agriculture. Indian Farm Forestry Development Cooperative Ltd (IFFDC), Cooperative Rural Development Trust (CORDET), IFFCO Foundation, Kisan Sewa Trust belong to this category. An ambitious project ‘ICT Initiatives for Farmers and Cooperatives’ is launched to promote e-culture in rural India. IFFCO obsessively nurtures its relations with farmers and undertakes a large number of agricultural extension activities for their benefit every year. In February 2010, it was announced that IFFCO had entered into a joint venture partnership with GrowMax Agri Corp
GrowMax Agri Corp
GrowMax Agri Corp is a subsidiary of Americas Petrogas Inc , a Canadian based natural resource company. America’s Petrogas owns 80 percent of GrowMax, the remaining 20 percent is owned by the Indian Farmers Fertiliser Cooperative Limited...
, a subsidiary of Americas Petrogas Inc.