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The approval of the Cabinet Committee on Economic Affairs (CCEA) to continue production in the three naphtha-based urea plants in the South has been welcomed by the workers’ union.
KN Suryanarayana, President of Mangala Workers’ Union of MCF Ltd, told BusinessLine that the Union Government has maintained the assurance given to the unions. The Union Fertilizer Minister Ananth Kumar should be thanked for this, he said.
The CCEA had approved continuation of urea production from Madras Fertilizers Ltd (MFL) in Manali, Mangalore Chemical and Fertilizers (MCF) Ltd in Mangaluru and Southern Petrochemicals Industries Corporation (SPIC) in Tuticorin, with naphtha as feedstock till the availability of gas.
Suryanarayana said Kumar had assured a delegation of workers’ unions from these three plants on February 21 that he had made a Cabinet note for continuing urea production by the these units with naphtha as feedstock till gas connectivity is provided to them. The Minister had also assured them that there would not be closure of these plants. MCF, SPIC and MFL have been using naphtha as the feedstock for the production of urea. Of the 14.88 lakh tonnes of urea production capacity of these three plants, MCF contributes 3.25 lakh tonnes.
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