Govt set to spend Rs 1,000 cr to revive four fertilizer units

FE reports

The government has decided to revive four of the eight closed fertilizer units of Fertilizer Corporation of India (FCI) and Hindustan Fertilizer Corporation (HFC) with an investment of about Rs 1,000 crore.

Initially, efforts will be made to revive Barauni, Durgapur plants of HFC and, Sindri and Gorakhpur plants of FCI through public sector participation. If the formula does not work, Expression of Interest (EoI) will be invited from private players.

If there is an economic case for spending Rs 1000 crore on these plants, the question to be asked is, what is really stopping private sector from making the investment. But that becomes a political question. And that's something that this report doesn't make any reference to.