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Rashtriya Chemicals and Fertilizers Limited (RCF)

Overview 

RCF is a leading fertilizer and chemical manufacturing company in India in the Public Sector. It was established on 6th March, 1978 on the reorganization of erstwhile Fertilizer Corporation of India Ltd. into five new companies’viz. Fertilizer Corporation of India (FCI), Hindustan Fertilizer Corporation Limited (HFC), Projects & Development India Limited (PDIL), National Fertilizers Limited (NFL) and Rashtriya Chemicals & Fertilizers Limited (RCF).

Presently the authorized share capital of RCF is Rs.800 Crore & paid up capital of Rs. 551.69 Crore. Company has been accorded coveted “Miniratna” status in 1997.

Company operates two units viz. one at Trombay (Mumbai) and the other one at Thal, Raigad district, about 100 KM from Mumbai. Company has portfolio of products which includes Neem Urea, Complex Fertilizers, Bio-Fertilizers, Micro Nutrients, 100% Water soluble fertilizers. RCF has also pioneered the manufacture of basic Chemicals like Ammonia,Methanol,Methylamine, Ammonium Nitrate, Ammonium Bicarbonate, Dilute and Concentrated Nitric Acid, Sulphuric Acid, Sodium Nitrate, Sodium Nitrite, Dimethyl Formamide, Dimethyl Actamide, Formic Acid, Argon etc.

The “Ujjwala(Urea) and “Suphala”( Complex fertilizer) brands of fertilizers manufactured by RCF carry high brand equity and are recognized brands all over the country.  These products are taken to the farthest corner of the country by extensive RCF dealers network spread throughout the country. 

RCF always strives for upkeep of the plants through modernizing and upgrading technology.  Reduce, Recycle and Reuse (3R) of resources has been the basic philosophy of RCF.

As part of modernization, RCF has modernized its Ammonia – I, Nitric Acid and Methanol plants at its Trombay unit.  This has facilitated plants to sustain operations and meet technological challenges of improved efficiency, lower energy consumption and maintain environmental norms.  It has also resulted in company achieving the highest standards of safety and product quality.

Initiatives taken by RCF for AtmanirbharBharat Abhiyan:

Various initiatives taken by Rashtriya Chemicals and Fertilizers Limited under Hon’ble Prime Minister’s call for ‘Atmanirbhar Bharat Abhiyan’. These initiatives are:

  1. Restarted Phosphoric Acid plant at RCF Trombay unit after the gap of about 6 years.
  2. Increased Complex Fertilizer (NPK 15:15:15) Production:

RCF has enhanced the production of Suphala NPK (15:15:15) by installation of additional spherodizer and associated system. Yearly highest ever Suphala (15:15:15) production of 5.72 LMT is achieved.

  1. Restarting of Ammonia-I plant at RCF Trombay Unit:

At Trombay, Ammonia-I plant was shut down due to economically unviability   A part of Ammonia from RCF Thal Unit is transported to Trombay Unit for making up the additional Trombay requirement. Ammonia-I plant is brought in operation to meet the additional requirement of Trombay Unit.

  1. Optimizing production of Industrial Chemicals:

RCF is manufacturing various Industrial Chemical products having high brand values. In line with ‘Atmanirbhar Bharat Abhiyan’, demand for domestic industrial products is expected to increase in the near future. Plants manufacturing industrial chemical products like Ammonium Nitrate, Ammonium Bicarbonate, Nitric Acid, Concentrated Nitric acid and Sulphuric acid are operated at optimum level to meet the market demand. 

RCF has set-up and commissioned Gas Turbine Generator (GTG) along with Heat Recovery Steam Generator (HRSG) at Trombay and Thal units.

RCF has been successfully operating a two nos. of Sewage Treatment Plants (STP) each having 22.75 MLD (Million Liters per Day) sewage treatment capacity at Trombay unit. The operation of these two Sewage plant treatsabout 45 MLD of Sewage generated by Mumbai city and saves about 30 MLD of pure water for the citizen of Mumbai.

In its bid towards India’s vision of achieving ecologically sustainable growth, RCF has forayed into solar power generation. Company has set up a 2 MWp ground mounted Photovoltaic Solar power plant in Trombay Unit in January, 2016. In addition to this, RCF has commissioned solar rooftop facilities at Thal and Trombay with an aggregate capacity of 2.01 MWp. The power generated is used for captive consumption, thereby reducing Company’s power import to the equivalent extent. During the year 2021-22, 4,531 MWh of solar power was generated. The green power generated by solar plants replaces the conventional power generated through burning of fossil fuels leading to reduction in overall Greenhouse gas emissions.

In order to augment the domestic Urea capacity and achieve self-sufficiency in line with the ‘Make in India’ mission, RCF along with GAIL, CIL and FCIL has taken up revival of FCIL’s unit at Talcher, Odisha based on Clean Coal technology. The project entails setting up Urea plant of 1.27 Million MT per annum capacity. In order to utilize country’s huge coal reserves, Talcher Fertilizers project will be a game changer for India in terms of opening a new avenue in coal gasification and shall reduce dependency on Natural Gas for Urea manufacturing.The project is scheduled to be completed by September 2023.However the same is likely to get delayed by 12 months due to COVID 19 pandemic.

Both the manufacturing units of RCF are accredited with ISO 9001 for quality, ISO 14001 for Environmental Management System, ISO 45001 for Occupational Health and Safety, ISO 50001:2011 for Energy Management System and ISO 27001 for Information Security Management. RCF has also received certification for IFA Protect & Sustain Product Stewardship System of international standard for Safety, environment and product security at its both the manufacturing units.

RCF has been undertaking “Swachha Bharat Abhiyan” on regular basis across all plants in both manufacturing units, Township Hospital, School, RCF Co-operative Credit Society etc.

RCF is fully complying Govt. of India’s Public Procurement Policy and Make in India campaign. In this regard, all necessary provision has been made in all the tenders, floated by RCF. RCF is also maximizing its procurement from Government e-Marketplace (GeM).

Every year RCF signs Memorandum of Understanding (MoU) with Government of India.  The performance is evaluated independently by the Department of Public Enterprise.

Vision:

To be a world class corporate in the field of fertilizers and chemicals with dominant position in Indian market, ensuring optimal utilization of resources, taking due care of environment and maximizing value of stakeholders.

Mission:

Exponential growth through business excellence with focus on maximizing stakeholder value by manufacturing and selling fertilizers and chemicals in a reliable, ethical and socially responsible manner.

Main objectives of RCF:

  • To produce and market fertilizers and industrial chemicals efficiently, economically and in an environmental friendly manner.
  • To maintain optimum levels of efficiency in the use of resources for maximizing return on investment.
  • To take up and implement modernization and energy saving schemes.
  • To continuously upgrade the quality of human resources and promote organizational and management development.
  • To care for and protect the environment by minimizing the emissions including greenhouse gases and also improving on the standards laid down by Pollution Control Authorities and taking action to meet the requirements of ISO 14000 Standards.
  • To increase customer satisfaction by providing quality products and services. 
  • To ensure corporate growth by expansion as well as diversification.
  • To impart training and education to farmer

Value Statement

RCF shall deal in all aspects of Business with integrity, honesty, transparency and with utmost respect to the stakeholders, by honouring our commitments, providing results and striving for highest quality.

Financial Performance:    

(In Rs. Crore)

Parameter

2019-20

2020-21

2021-22 

Total Income  

            9,697.95

            8,281.18

          12,812.17

Profit before Tax

                202.93

                527.98

                943.91

Net Profit

                208.15

                381.94

                704.36

Dividend

*  156.68

*          164.40

74.48 #

Net-Worth

            3,195.67

            3,356.70

            3,889.23

*Including dividend tax

# Interim dividend

Physical Performance:

Plant

Production achieved (in LMT)

2019-20

2020-21

2021-22

Urea (@Thal)

20.22

 19.22

18.59

Urea (@ Trombay)

3.26

 3.38

3.26

Suphala (15:15:15)

5.71

 5.37

5.71

Performance Highlights (2021-2022):

  • Produced 27.57 LMT of fertilizers (21.85 LMT of Urea + 5.72LMT of Suphala 15:15:15).
  • Yearly highest ever Suphala (15:15:15) production of 5.72 LMT.
  • Yearly  highest ever sale of AN melt of 1.619 LMT
  • Yearly highest ever production of Biola of 154.35 KL.
  • Successfully commissioned Gas Turbine Generator (GTG) of 2 x 25 MW along with Heat Recovery Steam Generator (HRSG) of 2 x 65 MTPH capacity at Trombay unit in Oct. 2021.
  • Highest ever sale of 6.39 lakh MT of Suphala-15 (Indigenous + Imported.
  • Yearly highest ever production and sale of Microla of 359.71 KL and 410.35 KL respectively.
  • Yearly highest ever production of Biola of 154.35 KL is achieved.
  • Highest ever revenue from operation of Rs.12812.17 Crore
  • Highest ever PBT of Rs. 941.94 Crore and PAT of Rs.702.39 Crore

Strategic Issues:

Some of the strategic issues affecting the company are as follows:  

  • Raw material such as Rock Phosphate, MAP, DAP and Potash (MOP) etc. required in the manufacturing of the complex fertilizers has to be imported. Their procurement cost is subject to severe volatility in global raw material prices and variation in the foreign currency exchange rates affecting the profitability of the Company.
  • Owing to inflow of cheaper imports, some of the products like ANP 20:20:0, Dimethyl Formamide, Formic Acid, Methanol etc. have become economically unviable.
  • Reduction in supply of Domestic gas leads to increase in consumption of imported RLNG at higher cost.

Human Resource Management

a)  Manpower as on 31st March2022:

Group

Total Employees

Number of Employees Belonging to

 

SC

ST

Ex-Service

PH

OBC

Minority

EWS

A

1264

223

72

0

15

223

64

2

B

767

98

75

1

10

116

40

1

C

589

85

53

2

12

184

32

1

D

8

3

1

0

1

3

2

0

Total

2628

409

201

3

38

526

138

4

b) Redressal of Public Grievances and Welfare Measures.                               

Redressal of Public Grievance: Company has put in place highly effective Grievance Redressal System.  Any citizen having complaints in respect of the production or services rendered may approach the Company.  Similarly, any aggrieved customer / dealer or any other citizen can approach the Company for any failure of the quality / price charged / conduct of any officer / employee.

RCF also has an online/offline Grievance Redressal System for addressing staff Grievances. Also RCF has a SC/ST Grievance Cell, Sexual Harassment Cell, Internal Complaint Committee (ICC)for addressing the grievances if any and Gender Cell to promote gender equality. 

Welfare Measures:

  • The guidelines regarding the reservation and in Recruitment and Promotion for SCs and STs are followed.
  • RCF takes due care to implement the policies regarding people with disabilities. A Reservation Roster is maintained for PWD as per the rules in this regard. A separate Liaison Officer has been appointed for implementation of the policy for PWD. Special provision required as per Govt. Guidelines has been provided.
  • Welfare of Minorities and Reservation in Dealership: RCF as a policy includes representative of the Minorities in the Recruitment Selection Boards to ensure that the Minorities get adequate share in the services.
  • Efforts and initiatives are taken for the Welfare, Development and Empowerment of Women and for mainstreaming gender issues.
  • Opportunities for growth, training, challenging jobs, learning are equally available to both men and women employees of RCF.  Women represent in fair numbers in the batch of Apprentice/Operator Trainees in technical areas. 
  • Women are working in technical / non-technical / managerial positions and some of them have risen to the level of top management positions in the organization. Welfare and employee benefit schemes are equally applicable to male and female employees of RCF.
  • RCF is the pioneer in issuing ‘Policy on Zero Tolerance to Sexual Harassment at Workplace and ‘Policy on Gender Equality’. Internal Complaint Committee (ICC) has been formed in compliance with the Sexual Harassment of Women at Workplace (Prevention, Prohibition & Redressal) Act, 2013.  Gist of the Committee’s Report is published in Company’s Annual Report.
  • All the benefits in accordance with the legal requirements such as Maternity Benefits, Nursing Breaks, etc. are given to women employees. Special Medical check-ups/camps for ladies are conducted. In addition to this, Maternity Leave has been extended to the employee.
  • RCF is one of the pioneer members in the Forum of Women in Public Sector (WIPS) since its inception (1990).  It is a corporate member of this forum and has been representing in all activities of the forum with total support and participation in all activities.
  •  To strengthen this initiative, the company has its Gender Equality Policy and Gender Budget has been provided for the activity of Gender Mainstreaming. 

Recruitment and Training :

At RCF, recruitment is carried out only after thorough study of the manpower requirement across various domains.

Corporate Social Responsibility and Sustainable Development (CSR/SD)

As part of its initiatives under “Corporate Social Responsibility’, Rashtriya Chemicals & Fertilizers Ltd (RCF) has undertaken several projects in the areas of rural development, promoting health care, Nutrition and education aimed for the benefit of needy and for general good of the society. These projects are in accordance with Schedule VII of the Companies Act, 2013 and the Company’s CSR policy. RCF has a Board level CSR committee comprising of functional Director, Govt. Director and Independent Director for monitoring the CSR activities. Executive Director level committee scrutinise and proposes the CSR proposals.

In the year 2021-22, RCF has spent Rs.7.48 Crore including Rs.0.50 Crore set off for succeeding financial year on CSR activities.

The initiatives undertaken by the company are as follows:

a.    Medical Grade Oxygen Plants:RCF has provided financial assistance for installation of Medical Grade Oxygen Plants at Thal, Mumbai and Siddharth Nagar, UP. Considering the requirement of Medical Grade Oxygen during the COVID -19 pandemic.

b.    Supply of drinking water to the villages: RCF has been providing drinking water for last 25 years to seven villages around Thal unit through pipelines laid down from the water reservoir in the unit. More than 26,000 residents of the villages got benefited of the scheme.

c.    Covid Vaccination at Trombay & Thal : RCF has provided free Covidvaccination centre at RCF Trombay as well as Thal unit. Under this activity financial assistance for expenditure towards setting up of infrastructure and hiring of manpower was provided by RCF. This facility was available for all residence nearby Chembur and Thal.

d.    Livelihood enhancement projects: RCF has supplied paddy, fruit saplings and free fertilizers to needy villagers near Thal Unit.

e.    Rural Development- Road Repairing: RCF has undertaken the repair of local Roads from Thal Navagaon Road , Boris Gunjis and local Road from Chondhinaka to Kihim bus stand road under the rural development.

f.     Garbage Vans to Villages: RCF has provided 4 Garbage Vans to Gram Panchayats one each in Raigad District.

g.    Financial Assistance to National Association for the Blind, India (NAB) :RCF has provided financial assistance to NAB for in-house manufacture of   white cane  under skill development programme. We provided financial assistance for purchase of raw material of the white cane.

h.   Women Empowerment: RCF has distributed multipurpose machines to MahilaBachat Gats at Thal villages for empowering them financially independent. This will help these women to earn for their livelihood and support their families.

i.     Furniture to School: RCF has provided furniture to Schools located in Alibag, Raigaddistrict to promote education. All the students studying in these schools are from rural area and children of farmers.

j.     Medical Camp:RCF has conducted 12 medical check and eyecheck up campsnearby Chembur, Mumbai for the needy patients. Through these camps the basic medicines and glasses has been provided free to the patients.

k.    Phacoemulsification System for cataract surgery: RCF has assisted the Lion Health Foundation for purchase of Phacoemulsification System for cataract surgery. It has benefitted  for patients nearby Thal Unit, Raigad.

l.     Free OPD for needy Patients during Covid period:RCF has provided financial support to Sushrut Hospital for operating the Free OPD and dispensing free medicines for needy patients during Covid period.

l.     Aspirational Districts:

RCF has spent of Rs.51.49 lakhs for Aspirational district in:

  1. installation of oxygen plant at Siddharthnagar, UP
  2. to Conduct skill development programme in Osmanabad district , Maharashtra for college students.

Awards won:

  • Shri S. C. Mudgerikar, CMD awarded PSU CMD leadership award in month of July 2021.
  • Greentech Effective Safety Culture Award 2021 in month of July’21.
  • Greentech Energy Conservation Awards 2021 in month of July’21.
  • Golden Peacock Award 2021 for Energy Efficiency from Institute of Directors, New Delhi for best performance in Fertilizer sector in the month of October’21.
  • “20th Annual Greentech Environment Award 2021” by Greentech Foundation for outstanding achievements in Environment Protection" category in the month of October’21.
  • FAI award 2020-21 for Promotion and Marketing of Micronutrients in the month of October’21.
  • FAI award 2020-21 for Production, Promotion and Marketing of Bio fertilizers in the month of October’21.
  • MEDA ‘’Certificate of Excellence’’ award 2020-21 for Energy Conservation & Management.
  • “20th Annual Greentech Foundation Safety Award 2021” for outstanding achievements in "Safety Excellence” in the month of January’22.
  • FAI award (Certificate of Excellence) for Best Production Performance in Complex Fertilizers consecutively for three years.
  • Fertilizer Association of India Special Award for coming first for fourth consecutive year in "FAI Award for Excellence in Safety" in 2020-21.
  • Greentech Award for "Effective Safety Culture" Award 2021.
  • Merit Certificate in Indian Chemical Council (ICC) - Health and Safety Awards 2020
  • Gold Award for Excellence in Occupational Health and Safety from Growcare India Award. Award
  • 20th Annual Greentech Safety Award
  • Certificate of Appreciation in Safety Award 2021 from National Safety Council – India
  • Greentech Corporate Governance Award 2021 for Excellence in Corporate Governance 2021.
  • वर्ष 2021-22 मेरसायन और उर्वरक मंत्रालय दवारा राज्यभाषा हिन्दी मे सर्वोत्कृष्टकार्य-निष्पादनके लिए द्वितीय पुरुस्कार |