i

I am extremely happy to release updated edition of “IFFCO at a Glance” - a popular annual compilation providing key information of the Society in a concise format. Its vital information is ready reckoner of statistical data to IFFCO officials and visitors.

Important information on International Units is also available at the end under the Chapter “Information for International Guests”.

With best wishes.

(Dr. U.S. AWASTHI) Managing Director

FOREWORD

iii

I N D E XS. No Chapters Page No.

1. A Brief 1-11

2. Manufacturing Plants and Performance 13-36

3. Marketing and Sales 37-51

4. Financial Performance 53-61

5. Human Resources, CSR, Bio/Water Soluble 63-77 Fertilisers

6. Information and Communication Technology 79-85

7. Awards and Accolades 87-91

8. Growth figures, JVs/Associates and Subsidiaries 93-121

9. Vision 2015 123-130

10. Important Information for International Guests 131-139

2

ORIGIN OF IFFCO

Till mid sixties cooperatives in India had no production ►facility despite marketing nearly 70% of fertilisers.

IFFCO was established as the farmers’ own initiative in ►Cooperative Sector on 3rd Nov. 1967 with the proposed plants at Kalol & Kandla.

With the enactment of Multi State Co-operative Societies ►Act 2002, IFFCO is deemed to be registered as a Multi State Co-operative Society. The Society is fully owned by Cooperatives.

3

PRODUCTION CAPACITY (As on March 2012)

Largest producer of fertilisers in the country ►

No. of Plant Locations : Five ►

Installed/Revamped Annual Capacity (’000 MT) ►UREA - 4242.2 ●NP/NPK/DAP - 4335.4 ●TOTAL ‘N’ - 2628.2 ●TOTAL ‘P ● 2O5’ - 1712.8WSFs - 15.0 ●ZINC SULPHATE MONOHYDRATE - 30.0 ●

Contributed about 22% to the total ‘N’ and 30.8% to the total ►“P2O5” produced in the country during the year 2011-12.

4

SHARE CAPITAL

(As on 31st March 2012)

(` in Crore)

Authorised Share Capital : 1000.00

Subscribed & Paid up Caital : 425.80

(Entire Share Capital held by Cooperatives)

5

GROWTH OF MEMBER SOCIETIES (As on 31st March)

6

CUMULATIVE PRODUCTION TILL DATE

(As on 31st March 2012) (In Lakh MT) UNIT PRODUCT PRODUCTION KALOL UREA 162.35 PHULPUR - I UREA 169.91 PHULPUR - II UREA 128.51 AONLA - I UREA 204.99 AONLA - II UREA 138.08 TOTAL UREA 803.84 KANDLA NPK 307.55 DAP 170.25 PARADEEP NP 41.63 DAP 37.92 TOTAL NPK/DAP 557.43 TOTAL FERTS. 1361.27 NUTRIENTS ‘N’ 447.64 ‘P2O5’ 194.60

7

CUMULATIVE ACHIEVEMENTS TILL DATE

(As on 31st March 2012)

FERTILISER PRODUCTION 1361.27 Lakh MT

FERTILISER SALE 1604.53 Lakh MT

TURNOVER ` 1,90,141 Crore

PROFIT BEFORE TAX ` 9,479 Crore

PROFIT AFTER TAX ` 7,303 Crore

CONTRIBUTION TO EXCHEQUER ` 11,506 Crore

8

HIGHLIGHTS OF 2011-12

Production of Fertilisers 84.42 lakh MT *(Best 85.83 lakh MT in 2010-11)

Highest Production of Urea 44.87 lakh MT(Previous best 44.02 lakh MT in 2010-11)

Production of NP/NPK/DAP/WSFs 39.55 lakh MT *(Best 41.81 lakh MT in 2010-11)

Sales of Fertilisers 121.84 lakh MT **(Best 125.88 lakh MT in 2010-11)

Sale of Urea 67.88 lakh MT(Best 68.23 lakh MT in 2010-11)

Sales of NP/NPK/DAP 53.96 lakh MT **(Best 57.65 lakh MT in 2010-11)

* Includes WSFs produced at Kandla Unit** Includes Water Soluble Fertilisers (WSFs) Contd...

9

HIGHLIGHTS OF 2011-12

Profit Before Tax ` 1017.78 Crore (Best ` 1025.78 crore in 2010-11)Profit After Tax ` 772.18 Crore (Best ` 791.49 crore in 2010-11) Sales Turnover ` 25599 Crore (Best ` 32933 crore in 2008-09) Highest Plant Productivity 1724 MT/Employee (Previous best 1710 MT/Emp. in 2010-11) Marketing Productivity 8532 MT/Employee (Best 8622 MT/Emp. in 2010-11)Composite Energy Consumption 5.824 Gcal/MT of Urea (Lowest 5.814 Gcal/MT of Urea in 2010-11)Fertiliser Despatches (Best 126.55 lakh MT in 2010-11) 125.45 lakh MT

10

GROWTH IN PRODUCTION CAPACITIES ('000 MT)

As on Date UREA NPK/DAP Total Ferts.Jan. ’75 - 415.6 415.6Apr. ’75 396.0 415.6 811.6Mar. ’81 891.0 415.6 1306.6Sep. ’81 891.0 881.3 1772.3Jul. ’88 1617.0 881.3 2498.3Dec. ’96 2343.0 881.3 3224.3Aug. ’97 2491.5 881.3 3372.8Dec. ’97 3217.5 881.3 4098.8Aug. ’99 3217.5 1600.1 4817.6Apr. ’01 3689.4 1973.6 5663.0Apr. ’02 3689.4 2191.1 5880.5Apr. ’04 3689.4 2415.4 6104.8Oct. ’05 3689.4 4335.4 8024.8Dec. ’08 4242.2 4335.4 8577.6Apr. ’11 4242.2 4350.4 8592.6Apr. ’12 4242.2 4380.4* 8622.6

* Include WSFs (15000 MT) and Zinc Sulphate (30000 MT) Contd...

11

GROWTH IN PRODUCTION CAPACITIES

(Lakh MT)

15

KALOL UNIT

YEAR OF COMMISSIONING : 1975

INVESTMENT : ` 71.23 Crore

YEAR OF EXPANSION : 1997

INVESTMENT : ` 149.70 Crore

PRODUCT CAPACITY TECHNOLOGY TPD TPAAMMONIA 1100 3,63,000 M.W. KELLOG & HTAS

UREA 1650 5,44,500 STAMICARBON and H & G

‘N’ 759 2,50,470

Kalol Unit is producing Neem coated Urea w.e.f. April 2011

16

KANDLA UNIT

YEAR OF COMMISSIONING : 1975INVESTMENT : ` 24.26 CroreYEAR OF FIRST EXPANSION : 1981INVESTMENT : ` 28.60 CroreYEAR OF SECOND EXPANSION : 1999INVESTMENT : ` 205.30 Crore

PRODUCT CAPACITY TECHNOLOGY TPA

‘ P2O5’ 9,10,000 FOUR STREAMS (A,B,C & D) BASED ON TVA SLURRY GRANULATION PROCESS. TWO STREAMS (E & F) BASED ON AZF PIPE REACTOR TECHNOLOGY.‘N’ 3,51,540Kandla unit has added production capacity of Water Soluble Fertilisers (15000 MTPA) and Zinc Sulphate Monohydrate (30000 MTPA)

17

PHULPUR UNIT

YEAR OF COMMISSIONING : 1981INVESTMENT : ` 205.2 Crore (Phulpur - I)

YEAR OF EXPANSION : 1997INVESTMENT : ` 1190 Crore (Phulpur - II)

YEAR OF DEBOTTLENECKING : 2008INVESTMENT : ` 185.3 Crore

PRODUCT CAPACITY TECHNOLOGY TPD TPAAMMONIA 2955 9,75,150 KELLOG & HTASUREA 5145 16,97,850 SNAMPROGETTI‘N’ 2367 7,81,011

Phulpur-I is producing Neem coated Urea w.e.f. August 2011

18

AONLA UNIT

YEAR OF COMMISSIONING : 1988

INVESTMENT : ` 651.6 Crore (AONLA - I)

YEAR OF EXPANSION : 1996

INVESTMENT : ` 954.7 Crore (AONLA - II)

YEAR OF DEBOTTLENECKING : 2008

INVESTMENT : ` 149.2 Crore

PRODUCT CAPACITY TECHNOLOGY TPD TPAAMMONIA 3480 11,48,400 HALDOR TOPSOE

UREA 6060 19,99,800 SNAMPROGETTI

‘N’ 2788 9,19,908

19

PARADEEP UNIT

INVESTMENT : ` 2237 Crore

PRODUCT CAPACITY TECHNOLOGY TPA

PHOS. ACID 8,75,000 JACOBS ENG.

SULPHURIC ACID 23,10,000 LURGI GmbH

P2O5 (Fert. Grades) 8,02,800 JACOBS ENG.

N 3,25,200

POWER 2 x 55 MW

20

KALOL EXPANSION PROJECT

IFFCO has envisaged setting up 13 Lakh MT of Urea plant at Kalol.

Project cost is likely to be about ` 4500 crore.

No objection certificate received from Gujarat Industrial Corporation.

Environment clearance has been received from Ministry of Environment and Forests (MoEF).

Pre Project activities have been completed.

Project activities to start after firm allocation of Gas from GOI.

21

PLANT HIGHLIGHTS OF 2011-12

KALOLProduced 6.00 lakh MT of Urea consecutively for third time with capacity utilisation of 110.2%. Achieved specific energy consumption of 5.935 Gcal/MT of Urea during 2011-12. Transferred 35524 MT of Ammonia to Kandla Unit.

PHULPURProduced highest ever 18.34 lakh MT of Urea with capacity utilisation of 108%. Achieved lowest Specific Energy Cosumption of 5.997 Gcal/MT of Urea (Phulpur-I + Phulpur-II).

Phulpur-II produced highest ever 11.33 lakh MT of Urea with capacity utilisation of 113.3%. Achieved lowest specific energy consumption of 5.574 Gcal/MT of Urea during 2011-12.

Contd...

22

PLANT HIGHLIGHTS OF 2011-12

AONLA

Produced highest ever 20.53 lakh MT of Urea with capacity utilisation of 102.6%.

Aonla–I produced highest ever 10.66 lakh MT of Urea with capacity utilisation of 106.7% and operated with specific energy consumption of 5.690 Gcal/MT of Urea.

Aonla-II produced 9.87 lakh MT of Urea and operated with specific energy consumption of 5.578 Gcal/MT of Urea.

Contd...

23

PLANT HIGHLIGHTS OF 2011-12

KANDLA

The unit produced 21.14 lakh MT of NPK/DAP during 2011-12 including 6024 MT of WSFs. Kandla also started production of Zinc Sulphate Monohydrate.

PARADEEP

Produced highest ever 18.41 lakh MT of NP/DAP during the year 2011-12 with capacity utilisation of 96%.

Paradeep Unit also produced highest ever 20.60 lakh MT of Sulphuric Acid and 7.45 lakh MT of Phos. Acid during 2011-12. Paradeep unit transferred over 93000 MT of Phosphoric Acid to Kandla.

Contd...

24

TOTAL FERTILISER PRODUCTION

(Lakh MT)

25

PRODUCT WISE PRODUCTION PERFORMANCE

(Lakh MT)

26

NUTRIENT WISE PRODUCTION PERFORMANCE

(Lakh MT)

27

UNIT WISE PRODUCTION PERFORMANCE

UNIT PLANT 2007-08 2008-09 2009-10 2010-11 2011-12

KALOL AMMONIA 3.18 3.28 3.84 3.95 3.88

UREA 5.45 5.60 6.00 6.00 6.00

PHULPUR-I AMMONIA 3.76 3.93 4.23 4.35 3.93

UREA 6.30 6.63 7.23 7.45 7.02

PHULPUR-II AMMONIA 5.20 4.76 5.84 5.89 6.69

UREA 9.24 8.41 10.00 10.26 11.33

AONLA-I AMMONIA 5.10 5.69 5.78 5.86 6.06

UREA 8.76 9.87 10.00 9.88 10.66

AONLA-II AMMONIA 5.67 5.90 5.84 5.90 5.78

UREA 9.89 10.18 10.00 10.43 9.87

TOTAL UREA 39.63 40.68 43.24 44.02 44.87

Contd...

(Lakh MT)

28

UNIT PLANT 2007-08 2008-09 2009-10 2010-11 2011-12KANDLA 10:26:26 8.41 10.41 11.91 16.10 4.75 12:32:16 6.91 5.38 4.61 8.46 10.30 20:20:00 1.07 DAP 4.86 2.15 7.23 0.60 4.97 NPK/DAP 20.18 17.94 23.74 25.19 21.14*PARADEEP NP 2.73 8.70 10.98 7.45 8.46 DAP 5.93 4.37 4.02 9.17 9.95 NP/DAP 8.66 13.06 15.00 16.62 18.41

TOTAL (KDL+PRD) 28.84 31.0 38.74 41.81 39.55TOTAL FERTS MATERIAL 68.47 71.68 81.98 85.83 84.42NUTRIENTS N 22.36 23.29 25.85 26.13 26.95 P2O5 9.94 9.18 11.94 12.88 13.32

* Includes WSFs

(Lakh MT)

UNIT WISE PRODUCTION PERFORMANCE

29

STREAM DAYS ACHIEVED

UNIT PLANT 2007-08 2008-09 2009-10 2010-11 2011-12KALOL AMMONIA 315 336 344 354 353 UREA 320 331 345 348 348PHULPUR-I AMMONIA 341 328 346 359 323 UREA 332 319 331 353 331PHULPUR-II AMMONIA 329 293 344 329 365 UREA-I 339 299 342 322 359 UREA-II 322 301 346 327 363AONLA-I AMMONIA 313 338 347 333 351 UREA-I 285 335 337 327 347 UREA-II 307 343 343 313 346AONLA-II AMMONIA 334 346 322 344 329 UREA-I 330 331 318 345 328 UREA-II 322 334 316 350 328

Contd...

30

STREAM DAYS ACHIEVED

UNIT PLANT 2007-08 2008-09 2009-10 2010-11 2011-12

KANDLA TRAIN A 242 206 259 312 277

TRAIN B 249 203 279 311 287

TRAIN C 248 218 306 302 283

TRAIN D 239 194 281 296 254

TRAIN E 225 206 288 300 265

TRAIN F 235 190 293 291 283

AVERAGE 240 @ 203 @ 286 302 275@

@ Low due to shortage of raw materials

Contd...

31

STREAM DAYS ACHIEVED

UNIT PLANT 2007-08 2008-09 2009-10 2010-11 2011-12

PARADEEP

SAP TRAIN - I 268 248 316 334 318

TRAIN - II 221 271 316 291 327

PAP TRAIN - A 275 306 319 322 350

NP/DAP TRAIN A 165 232 261 268 263

TRAIN B 107 218 263 263 257

TRAIN C 151 220 262 278 277

AVERAGE 141 223 262 270 266

32

CAPACITY UTILISATION(As Percentage)

UNIT PRODUCT 2007-08 2008-09@ 2009-10@ 2010-11@ 2011-12@

KALOL UREA 100 103 110 110 110

PHULPUR-I UREA 114 109 104 107 101

PHULPUR-II UREA 107 93 100 103 113

AONLA-I UREA 101 106 100 99 107

AONLA-II UREA 114 109 100 104 99

KANDLA P2O5 73 60 87 79 78

PARADEEP P2O5 41 47 50 71 78

TOTAL N 94 94 98 99 102

P2O5 58 53 70 75 78

@ As per revamped capacity with effective dates.

33

SPECIFIC ENERGY CONSUMPTION OF UREA PLANTS

ENERGY (Gcal/MT Urea)

PLANT 2007-08 2008-09 2009-10 2010-11 2011-12*

KALOL 5.956 5.949 5.796 5.731 5.935

PHULPUR - I 6.862 6.895 6.687 6.670 6.680

PHULPUR - II 5.833 5.988 5.666 5.669 5.574

AONLA - I 5.706 5.697 5.690 5.676 5.690

AONLA - II 5.517 5.522 5.544 5.522 5.578

Composite Energy Consumption

5.907 5.943 5.832 5.814 5.824

Contd...* Provisional

34

SPECIFIC ENERGY CONSUMPTION OF PHOSPHATIC PLANTS

PLANT 2007-08 2008-09 2009-10 2010-11 2011-12*

KANDLA 0.275 0.304 0.244 0.288 0.279

PARADEEP 2.558 2.111 1.784 1.104 1.526

* Provisional

ENERGY (Gcal/MT P2O5)

35

COMMITMENT TO BETTER ENVIRONMENT

All IFFCO Units and townships have attractive landscape surrounded by thousands of trees.

IFFCO is committed to improve safety, health and environment in and around our plants in line with international norms.

More and more energy saving devices are being deployed in IFFCO premises all over India.

36

QUALITY MANAGEMENT / CERTIFICATION

Kalol Unit has IMS for ISO 9001-2008, ISO 14001 – 2004 and OHSAS 18001-2007 certified by Bureau Veritas Certification (India).

Phulpur Unit is the first in Fertiliser Sector to be accredited with BSEN 15001 Certification by BSI, for its Energy Management System.

Aonla Unit has been certified for International Standard EN 16001-2009, ISO 9001-2008, ISO 14001-2004 and OHSAS 18001-2007 by M/S QS Zurich AG, Zurich.

Kandla Unit has got re-certification for ISO 14001-2004 till November 2012.

Paradeep Unit is having ISO 14001-2004 and OSHAS 18001-2007 Certificates from Bureau Veritas.

39

SALES PERFORMANCE

Marketing Division of IFFCO achieved sale of 121.84 lakh MT fertilisers during 2011-12. Previous best was 125.88 lakh MT in 2010-11.

Society achieved sale of 67.88 lakh MT Urea and 53.96 lakh MT NP/NPK/DAP/WSFs during 2011-12. Previous best sale was 68.23 lakh MT Urea and 57.65 lakh MT NP/NPK/DAP during 2010-11.

40

MARKETING TERRITORIES OF IFFCO

41

MARKETING CHANNELS

Distribution of fertilisers mainly through the Cooperative System:

State level Apex Cooperative Marketing Federation acts as wholesaler

Direct supplies to Societies in some States

IFFCO-NCDC Cooperative Societies

Small quantities to institutional agencies like Agro Industries Corporation etc

157 IFFCO Farmers Service Centres

42

DISTRIBUTION & WAREHOUSING

TRANSPORTATION

Both by Rail (91%) and Road (09%)

WAREHOUSING

Federations & Cooperative Godowns

Central Warehousing Corporation (CWC) and

State Warehousing Corporation (SWC)

43

2007-08 2008-09 2009-10 2010-11 2011-12

KALOL 5.45 5.60 6.00 6.00 6.00

KANDLA 20.24 17.89 23.85 25.25 21.37

PHULPUR 15.54 15.03 17.23 17.71 18.32

AONLA 18.66 20.05 20.00 20.30 20.52

PARADEEP 8.74 13.05 15.00 16.62 18.45

SUB TOTAL 68.63 71.62 82.08 85.88 84.66

IMPORTED 11.30 34.98 35.58 40.67 40.79

TOTAL 79.93 106.60 117.66 126.55 125.45

(QTY. IN LAKH MT)

DESPATCHES OF FERTILISERS

44

TOTAL SALE OF FERTILISERS(Lakh MT)

45

SALES PERFORMANCE(Lakh MT)

46

(In Lakh MT)

SALES PERFORMANCE

PRODUCT 2007-08 2008-09 2009-10 2010-11 2011-12UREA OWN 39.66 40.71 43.22 43.74 44.77 IMPORTS 14.63 17.98 20.13 24.49 23.11 TOTAL 54.29 58.69 63.35 68.23 67.8820:20:0 4.05 8.20 11.38 7.51 10.7110:26:26 9.31 10.76 11.95 17.16 7.9112:32:16 8.84 5.51 4.62 8.38 10.09NP/NPK TOTAL 22.20 24.47 27.94 33.05 28.71DAP OWN 14.23 6.63 11.13 9.85 14.19 IMPORTS 2.36 21.91 15.84 14.71 10.99 TOTAL DAP 16.59 28.54 26.98 24.56 25.18MOP 0.16 0.88 0.00 0.00 0.00NP/NPK/DAP/MOP TOTAL* 38.95 53.89 54.92 57.65 53.96TOTAL FERTS. 93.24 112.58 118.27 125.88 121.84

* include water soluble fertilisers and imported NP/NPK/DAP

47

SALES DURING KHARIF SEASON(Lakh MT)

48

SALES DURING KHARIF SEASON

PRODUCT 2007 2008 2009 2010 2011

UREA 23.34 24.81 27.70 30.02 31.46

NP 2.81 3.75 4.57 3.34 5.62

NPK 10:26:26 3.78 6.49 3.12 7.95 2.32

NPK 12:32:16 5.69 2.96 1.48 5.97 4.93

NP/NPK 12.28 13.20 9.17 17.26 12.87

DAP/MAP 7.82 15.15 18.18 11.49 10.98

MOP 0.00 0.88 0.00 0.00 0.00

TOTAL NPK/DAP 20.10 29.22 27.35 28.79 23.85

TOTAL FERTS. 43.44 54.03 55.05 58.81 55.31

(In Lakh MT)

49

SALES DURING RABI SEASON(In Lakh MT)

50

SALES DURING RABI SEASON

PRODUCT 2007-08 2008-09 2009-10 2010-11 2011-12UREA 30.95 33.89 35.65 38.21 36.42

NP 1.24 4.45 6.81 4.17 5.08

NPK 10:26:26 5.52 4.27 8.83 9.21 5.59

NPK 12:32:16 3.15 2.55 3.14 2.41 5.17

NP/NPK TOTAL 9.91 11.27 18.78 15.79 15.84

DAP/MAP 8.92 13.39 8.79 13.07 14.20

MOP 0.02 0.00 0.00 0.00 0.00

TOTAL

NPK/DAP # 18.85 24.66 27.57 28.86 30.11

TOTAL FERTS. # 49.80 58.55 63.22 67.07 66.53

# Include water soluble fertilisers

(In Lakh MT)

51

HANDLING OF IMPORTED FERTILISERS

Particulars 2007-08 2008-09 2009-10 2010-11 2011-12*OMIFCO UREA 9.76 9.55 10.19 10.02 10.51

No. of VESSELS 32 30 32 31 27

UREA (GOI A/C) 5.36 7.82 10.33 14.49 13.83

No. of VESSELS 19 26 30 30 33

DAP 2.19 21.98 15.88 14.75 11.44

No. of VESSELS 6 66 39 33 24

MAP/NPK 0.0 0.50 0.0 1.32 6.77

No. of VESSELS 0 7 0 4 19

TOTAL Fertilisers 17.31 39.85 36.40 40.58 42.55

No. of VESSELS 57 129 101 98 103

Qty. (Lakh MT)

* 2 vessels of NP transferred to Kandla Unit

55

FINANCIAL PERFORMANCE

Particulars 2007-08 2008-09 2009-10 2010-11 2011-12

SALES TURNOVER 12162.82 32933.30 16808.57 21195.16 25598.97

PROFIT BEFORE TAX 380.52 441.95 567.28 1025.78 1017.78

PROFIT AFTER TAX 257.59 360.01 401.10 791.49 772.18

SHARE CAPITAL 423.93 426.28 426.24 425.95 425.80

RESERVES AND 3264.73 3532.59 3844.26 4542.09 5219.57 SURPLUS

NETWORTH 3688.66 3958.87 4270.50 4968.04 5645.37

INVESTMENTS 770.57 914.00 892.33 1169.91 1300.16

(In ` Crore)

56

(In ` Crore)

PROFIT BEFORE TAX (PBT)

57

PROFIT AFTER TAX (PAT)(In ` Crore)

58

(In ` Crore)

TURNOVER

59

(In ` Crore)

NETWORTH

60

CREDIT RATINGS ASSIGNED TO IFFCO

CRISIL Ratings :-

AA-(outlook stable) rating on IFFCO’s Long Term Borrowing Programme. This rating indicates high degree of safety with regard to timely payment of interest and principal on the instrument.

“A1+” rating to IFFCO’s Rs. 100 Crore Commercial Paper Programme. This rating indicates that the degree of safety with regard to timely payment of interest and principal on the instrument is Very Strong.

Governance and Value Creation (GVC) rating at “GVC Level 2”. This rating indicates that the capability of the Society with respect to wealth creation for all its stakeholders, while adopting sound corporate governance practices, is high.

Contd...

61

CREDIT RATINGS ASSIGNED TO IFFCO

FITCH Ratings :- Short Term Rating of “AA(Ind)/A1+(Ind)” to IFFCO’s working

capital/short term borrowings. This rating indicates that the degree of safety with regards to timely payment of interest and principal on the instrument is very strong.

Long Term Rating of “AA (Ind) (outlook Stable)” to the Long Term Debt Programme of IFFCO. This rating indicates high degree of safety with regard to timely payment of interest and principal on the instrument.

CARE Ratings :- A1+ (A one plus) rating to IFFCO’s working capital facilities /

Short Term Loans, which indicates very strong degree of safety regarding timely payment of financial obligations.

AA (Double A) rating to long term borrowings, which indicates high degree of safety regarding timely servicing of financial obligations.

65

PLANT PRODUCTIVITY PER EMPLOYEE (MT)

(Production Units)

66

(Marketing Division)

SALE PRODUCTIVITY PER EMPLOYEE (MT)

67

CORPORATE SOCIAL RESPONSIBILITIES

Corporate Social Responsibility is our commitment towards sustainable economic development, working with employees and their families, the local community and society at large to improve their quality of life.

Society has undertaken activities in the areas of community development, environment protection and horticulture, health care, medical facilities and literacy enhancement/empowerment programme.

IFFCO spent ` 42.60 crore during 2011-12 on various social and community development praogrammes.

68

SERVICE TO FARMERS

Agricultural Extension and fertiliser use promotion programmes are an integral part of the marketing activity. Programmes are conducted through Area/State/Zonal offices under able guidance of agricultural scientists.

Programmes undertaken are :

Balanced Fertilisation programmes

Adoption of villages for all round socio-economic development

Farmers visit to various agricultural institutes and research farms

Farmers’ Meetings, Field Days and Crop Seminars

Static/Mobile Soil Testing Laboratories with Audio-visual aids

Contd...

69

SERVICE TO FARMERS

PROGRAMME 2007-08 2008-09 2009-10 2010-11 2011-12

TWO PLOT 1006 806 881 843 788 DEMONSTRATION

FARMERS’ MEETINGS 3433 3450 3586 3341 3269

FIELD DAYS 779 807 825 800 783

CROP SEMINARS 169 124 153 155 165

CRITICAL INPUT 6519 6842 8125 10929 27304 PACKAGES

SOIL TESTING 530 542 497 484 435 CAMPAIGNS

Contd...

(Number)

70

PROGRAMME 2007-08 2008-09 2009-10 2010-11 2011-12

VETERINARY 165 121 119 140 146 CAMPAIGNS

MEDICAL CHECKUP 108 10 114 130 138

SALES POINT 1111 1070 894 824 832 PERSONNEL TRAINING

FARMERS 5167 5912 3711 5131 4474 TRAINING AND VISITS (PP)

VILLAGES ADOPTED 431 438 434 411 398

PP – Persons participated

Contd...

(Number)

SERVICE TO FARMERS

71

SERVICE TO FARMERS

ITEM 2007-08 2008-09 2009-10 2010-11 2011-12

GRANTS TO CORDET 186.47 225.16 236.54 251.75 243.75

DEMONSTRATION 252.22 249.01 347.67 340.88 463.35 EXPENSES

BENEFIT TO FARMERS 1010.67 2036.60 1793.34 1283.62 1846.44

TRAINING EXPENSES 183.26 192.13 164.97 217.34 234.10

OTHER PROM. 586.22 810.52 567.97 890.08 836.97 PROG/CROP FILMS/IRDP ETC.

SANKAT HARAN 822.00 880.00 948.00 1248.00 1135.00 BIMA YOJANA

TOTAL EXPENDITURE 3040.84 4393.42 4058.49 4231.67 4760.01

Contd...

(` In Lakh)

72

SERVICE TO FARMERS

Other Social Activities/Development Programmes include:

♦ Supply of fodder in drought prone areas

♦ Veterinary Checkup and Distribution of Medicines

♦ Human Health Checkup and Distribution of Medicines

♦ Providing drinking water facilities

♦ Assistance to School / School children

♦ Watershed development projects

73

COOPERATIVE RURAL DEVELOPMENT TRUST (CORDET)

PROMOTED BY IFFCOLOCATION and Annual Capacity (Bio-Fertilisers)

KALOL (165 MT from Nov. 2003, 200 MT from April 2009 & 300 MT from April 2011)PHULPUR (U.P.) (75 MT from March 1996, 325 MT from April 2009 & 1000 MT from April 2011) KANDLA (GUJARAT)

ACTIVITIES OF CORDETFarmers’ TrainingSoil TestingProduction of Bio FertilisersDemonstration FarmingSeed Multiplication

74

PRODUCTION OF BIO - FERTILISERS(Qty. in MT)

CORDET - PHULPUR & KALOL

STRAIN 2007-08 2008-09 2009-10 2010-11 2011-12

Rhizobium 17.25 11.70 14.54 17.14 20.49

Azotobacter 168.82 224.76 316.48 361.61 513.29

PSB 211.01 284.08 368.38 431.65 592.19

Azospirillium 12.49 7.03 9.36 13.59 14.80

Acetobacter 5.59 2.35 10.52 14.24 8.31

Total Production 415.16 529.91 719.28 838.23 1149.08

Capacity Utilisation (%) 172.98 220.80 137.01 159.66 124.00

75

SALE OF BIO - FERTILISERS

STRAIN 2007-08 2008-09 2009-10 2010-11 2011-12

Rhizobium 17.66 11.60 14.52 17.22 20.49

Azotobacter 173.90 235.61 302.71 364.91 503.07

PSB 219.49 283.05 353.35 441.34 588.55

Azospirillium 11.30 8.80 9.94 13.45 14.66

Acetobacter 9.87 2.64 10.52 14.16 8.39

Total Sale 432.22 541.10 691.04 851.08 1135.16

(Qty. in MT)

76

(Qty. in Litre)

PRODUCTION & SALE OF LIQUID BIO - FERTILISERS

STRAIN

PRODUCTION 2009-10 2010-11 2011-12

Azotobacter 3637.75 8081.25 19784.50

PSB 3941.25 7984.00 17963.25

TOTAL 7579.00 16065.25 37747.75

Capacity Utilisation 124.5% 263.4% 301%

SALES

Azotobacter 1910.00 7603.50 18152.25

PSB 2167.75 7759.25 16336.50

TOTAL 4077.75 15362.75 34488.75

Annual capacity : Phulpur : 5000 litre ( from April 2009/15000 litre from April 2011) Kalol : 1100 litre from April 2009/4000 litre from April 2011)

77

WATER SOLUBLE FERTILISERS (WSFs)

Increase in area under drip irrigation Demand for 100% Water Soluble Fertilisers are increasing in

the country IFFCO successfully produced 165 MT, 470 MT, 2385 and 6024

MT of WSFs during the year 2008-09, 2009-10, 2010-11 and 2011-12 respectively at its Kandla Unit

Commercial production of WSFs at Kandla Unit has started from April 2011

SALE OF WSFs (in MT)

Product 2010-11 2011-1217:44:00 1888.0 3527.119:19:19 1911.8 1816.5SOP 72.3 531.518:18:18 0.0 0.2TOTAL 3873.0 5875.3

81

MAJOR ICT ACTIVITIES

Wide Area Network (WAN) upto Area Office level with Corporate Server at Delhi.

Virtual Private Network (VPN) connecting all Offices of IFFCO.

IP Telephones available upto Area Office with video facility.

Video conferencing extensively used nationally and internationally

Among first Corporate to successfully implement e-procurement based on Public Key Infrastructure, Digital Certificate under legal framework of IT ACT 2000.

Integrated ERP Applications in all Areas like HR, Finance, Marketing, Transportation, Materials, Maintenance, Production etc.

Biometrics Attendance Recording System introduced in all Units.

IFFCO IT team is providing regular support to all IFFCO JVs

Contd...

82

MAJOR ICT ACTIVITIES

Most of the Software developed by in-house expertise, often consulted by other organizations.

HRMS, an in-house developed ERP, having 25 applications for better Corporate Governance and internal workflow.

Intranet applications on Rules & Procedures, News, Weather, Crop growing periods, Notice Board, Technical Papers, Telephone, Blood Group, Software Project Monitoring, Hardware Complaints and Annual Confidential Reports etc.

Multilingual Agri Information Portal to extend benefit of ICT to Cooperatives and farmers. More than 100 touch screen based Kiosks installed in 16 states.

Work flow applications implemented to reduce paper work.

Hosted Contact Centres and Kissan Call Centres have been setup to support the Farmers Community.

Contd...

83

ICT ACTIVITIES DURING 2011-12

Bandwidth of all links at Corporate office, New Delhi, from Airtel, Tulip and BSNL were upgraded from 52 Mbps to 72 Mbps.

High Definition LED based Tele-presence Video Conferencing system have been installed at Head Office, State Marketing Offices for conducting Video Conferencing between these Offices & all State Marketing Offices.The setup established can facilitate Video with 20 locations at one time.

Oracle ERP system implemented in HO, MKCO, Phulpur, Kalol, Paradeep Units, all State and Area Marketing Offices.

Server Consolidation has been done at HO resulting into optimum resource utilization.

Implementation of ERP at Kandla and Aonla has been planned during 2012-13.

Contd...

84

IP BASED VIDEO CONFERENCING SETUP

Being heavily used for National and International internal meets, Departmental Interviews and Reviews, Board Meetings etc., Can connect upto 20 sites at a time. Received Green IT Award

Multi-site (20 sites) High Definition (HD) VC unit with Bridge at Corporate office, New Delhi.

85

IFFCO WIDE AREA NETWORK (WAN)

89

MAJOR AWARDS RECEIVED DURING 2011-12

IFFCO rebagged the 1st position in the Fertiliser and Agro Chemicals category and 37th position in the overall rankings for the year 2011 by India Edition of Fortune Magazine. IFFCO is the only Cooperative Society amongst the top 50 Indian companies in this ranking.

IFFCO bagged several recognitions and Awards for its IT, Human Resource and Technical Divisions like CIO100 Awards 2011, Hall of Fame Award, Top 100 CISO Award 2011 and Best HR Practicing Organisation etc.

Contd...

90

MAJOR AWARDS RECEIVED DURING 2011-12

KALOL AND PHULPUR-I jointly won the FAI Award for “Best Overall Performance of An Operating Fertilisers Unit for Nitrogen (Ammonia and Urea) for the year 2010”.

KALOL Unit was awarded “Certification of Appreciation in recognition of appreciable achievement in Occupational Safety & Health in the category of manufacturing sector for the assessment period 2007 to 2009” by National Safety Council of India-Safety Awards -2010.

KALOL Unit also received “Certificate of Honour” by Gujarat Safety Council and Directorate of Industrial Safety and Human in recognition of working for more than 3 million man hours without any accident during 2010. The unit also received 8 trophies for Horticulture from Gujarat Horticulture Association, Ahmedabad.

PHULPUR Unit received “Winner Trophy “for National Safety Award – 2009, from Ministry of Labour & Employment.

PHULPUR Unit was declared runner-up for FAI “Environment Protection Award” in the nitrogenous fertiliser plants category for the year 2010-11.

Contd...

91

MAJOR AWARDS RECEIVED DURING 2011-12

AONLA Unit won IFA Green Leaf Award 2011 for excellence and innovation in the field of Safety, Health and Environment (SHE) Management. Aonla also received Safety awards from FAI, IOE (India), DG FASLI, NSCI, Golden Peacock Award etc.

AONLA unit was also conferred the Greentech Foundation Award for outstanding achievements in the implementing innovative learning and development practices at its unit and Enterprises Driving Growth and Excellence (EDGE) Award 2011 from United Business Media (I) Private Ltd.

PARADEEP Unit received the FAI Award for the “Best Technical Innovation actually implementing in the field of Fertilisers Production Technology for the year 2010-11.”

IKSL received “Coffey International Award”, “Best Jury Award for ICT enabled Agriculture Initiative’ and ‘SKOCH Digital Inclusion Award 2011’ for its valuable contribution rendered to the farming community.

IFFDC also won ‘The Times of India Social Impact Award’ for its excellent performance in the field of improving rural livelihoods.

95

IFFCO’s GROWTH

As on Production (’000 MT)

Sales(’000 MT)

Turnover (` crore)

Net Worth(` crore)

01.04.1995(Before)

2935.6 3216.3 1931.93 1219.00

31.03.2000(During Vision 2000) 5275.6 5172.1 4688.93 2386.73

31.03.2005(During Mission 2005) 6153.7 6464.5 7396.98 3301.15

31.03.2010(During Vision 2010) 8197.8 11826.5 16808.57 4270.50

31.03.2015*(During Vision 2015) 15000 15000 30000 7500

Achievements During 2011-12 8442.2 12184.2 25598.97 5645.37

* Targets

96

INVESTMENTS(As on 31.03.2012)

JVs / SUBSIDIARIES / ASSOCIATES IFFCO’s Equity (` in Crore)

% of Equity

Industries Chimiques du Senegal (ICS) 80.37 18.54

Indian Potash Limited (IPL) 2.68 34.00

IFFCO TOKIO General Insurance Company Ltd. (ITGI) 394.58 72.64

Oman India Fertiliser Company Ltd. (OMIFCO) 329.08 25.00

National Commodity and Derivatives Exchange Ltd. (NCDEX) 13.50 8.88

National Collateral Management Services Ltd. (NCMSL) 27.75 20.64

IFFCO Chhattisgarh Power Ltd. (ICPL) 66.60 74.00

Kisan International Trading FZE (KIT) 1.20 100.00

Jordan India Fertilizer Company (JIFCO) 270.54 27.00

IFFCO Kisan Sanchar Ltd. (IKSL) 3.65 72.99

Contd….

97

INVESTMENTS(As on 31.03.2012)

JVs / SUBSIDIARIES / ASSOCIATES IFFCO’s Equity (` in

Crore)

% of Equity

IFFCO Kisan SEZ Ltd. 48.75 100.00

IFFCO Kisan Bazar and Logistics Ltd. 15.00 100.00

Universal Commodity Exchange Ltd. 15.00 15.00

Indian Farm Forestry Development Cooperative Ltd. (IFFDC)

12.54 95.38

GrowMax Agri Corp 2.34 1.00

Maharashtra State Cooperative Bank Ltd. 0.10 –

Contd.....

98

INFRASTRUCTURAL INVESTMENTS

Project/Location Objective Project Cost

Jetty at To handle liquid Raw Materials ` 24 CroreKandla Unit

Barge Jetty at To handle Solid RMs and ` 35 CroreKandla Unit * Imported Ferts.

Naphtha tank wagons 100 tank wagons for movement ` 15 Crore of Naphtha to Phulpur

Railway line/siding * Speedy Movement of Fertilisers ` 82 Crore at Kandla and Paradeep

Marine Cargo Transportation of Fertilisers ` 40 CroreTerminal at Paradeep ** Work in progress

Contd...

99

INVESTMENT FOR CAPACITY INCREASE

In the year 1993, IFFCO initiated major Expansion Projects for all the four operating units by setting up new plants or by way of expansion of existing plants

By the year 1999, all the four projects of IFFCO were completed at a cost of ` 2500 crore without any cost and time overrun

Investment to the equity capital was made from internal resources of the Society

Production capacity of the Society was doubled

Contd...

100

INVESTMENT FOR CAPACITY INCREASE

Aonla project completed ahead of schedule in Dec 1996 at a cost of ` 955 crore. Commercial production started from 25.12.1996

Kalol Ammonia and Urea Plants Revamped in August 1997 at an investment of ` 149.7 crore

Phulpur Expansion Project completed in December 1997 within 32 months from the zero date at an investment of ` 1190 crore. Commercial Production started from 22.12.1997

Kandla Expansion completed at a Project cost of ` 205.3 crore and commercial production started on 5.8.1999, 77 days ahead of schedule

Contd...

101

INVESTMENT FOR CAPACITY INCREASE

► Energy Saving Project (ESP) implemented in all Ammonia and Urea Plants at Kalol, Phulpur and Aonla units with total investment of ` 412 Crore (USD 90 Million).

► Capacity Enhancement Project (CEP) increased Urea capacity to 42.42 lakh tonne from 36.89 lakh tonne.

► Acquired NPK/DAP Plant of 2 Million MTPA at Paradeep alongwith Phosphoric Acid and Sulphuric Acid plant at a cost of USD 505 Million in October 2005.

102

INDUSTRIES CHIMIQUES DU SENEGAL (ICS)

IFFCO held 18.54 % equity in ICS as on March 31, 2012.

Industries Chimiques du Senegal (ICS) was established following an agreement between the Government of India and Government of Senegal in March 1980.

The commercial production of the Phosphoric Acid plant at Darou, Senegal commenced in April, 1984. The Darou plant had an initial installed capacity of 240,000 Tonne Per Annum (TPA) of Phosphoric Acid in terms of P2O5 and the Mbao Plant of 200,000 TPA NPK fertilizer.

The Darou plant was debottlenecked in 1991 to increase its capacity to 330,000 TPA P2O5. ICS implemented Expansion Project to increase the capacity of Phosphoric Acid to 660,000 TPA P2O5 in February 2002.

ICS was recapitalized in April 2008 and a Consortium led by IFFCO took over the management control of ICS. Since acquiring the management control, major investments has been taken up for rehabilitation of ICS plants.

ICS exported 3.66 lakh MT of Phosphoric Acid in terms of P2O5 to IFFCO during the year 2011 as against 3.10 Lakh MT during the year 2010.

103

INDIAN POTASH LIMITED (IPL)

IFFCO held 34% equity in IPL as on March 31, 2012.

IPL is primarily engaged in import and trading of Potash and Fertilisers.

IFFCO’s demand of Potash for its complex fertilizer plant at Kandla is also sourced from IPL.

During the year 2010-11, the company achieved a healthy increase in volume sales of MOP, DAP and Urea resulting in sales turnover of ` 20,454 Crore.

104

IFFCO-TOKIO GENERAL INSURANCE CO. LTD. (ITGI)

■ ITGI was established in the year 2000 in collaboration with Tokio Marine Asia with opening of the Insurance Sector for private investment.

IFFCO held 72.64% equity in ITGI as on March 31, 2012. Indian Potash Ltd. and Tokio Marine Asia hold 1.36% and 26% equity in ITGI respectively.

■ The scope of operations of ITGI includes a mix of following: ● Rural Insurance Business ● Fire Insurance Business ● Marine Insurance Business ● Miscellaneous Insurance Business■ During the financial year 2011-12, ITGI recorded a Gross Written Premium

(GWP) of ` 2026 Crore. ITGI was ranked at third position amongst the private players in India.

IFFCO-TOKIO has a 100% subsidiary called IFFCO-TOKIO Insurance Services Ltd which commenced its operations in Sept 2003.

Contd...

105

OPERATIONS OF ITGI

■ Cooperative Institutions like State, District and Urban Cooperative Banks, Cotton Cooperatives, Dairy Cooperatives and Sugar Cooperatives are used for selling ITGI products.

■ To strengthen Cooperative Channels, ITGI is recruiting Agents from Cooperative Societies so that the benefits of Insurance reaches the village populace.

■ Cooperative Agents are trained and all the expenses are borne by ITGI. Society gets an additional income by way of Commission.

■ ITGI has been identified for Micro Insurance innovation Grant by International Labour Organization (ILO) to carry out the Cattle Insurance project called “Pashudhan Bima”.

■ The Company participated actively in Rashtriya Swasthya Bima Yojna (RSBY) of Govt. Of India and extended health Insurance to more than 5 lakh Below Poverty Line (BPL) Families.

Contd...

106

Apart from meeting general insurance requirements of rural area like policies for Home, Shops, Tractors, two Wheelers etc., ITGI has also launched various products to cater to insurance needs of the farming community in rural areas:

Barish Bima Yojna Mausam Bima Yojna Kisan Suvidha Bima Yojna Mahila Suraksha Bima Yojna Janta Bima Yojna Jansuraksha Bima Yojna Janswasthaya Bima Yojna Sankat Haran Bima Yojna Fasal Bima Yojna

INSURANCE PRODUCTS OF ITGI

107

■ This Unique Policy which is linked with the purchase of fertiliser bag from Cooperative Society and Sponsored by IFFCO has entered in 12th year.

■ Maximum liability limited to ` 1 lakh irrespective of the number of bags purchased.

■ Cash receipt is evidence of insurance cover.

■ During the period, the Policy provided insurance cover to approximately 76.51 lakh farmers.

■ Disbursed claims to the tune of ` 71.81 crore since September 2001.

Contd...

SANKAT HARAN BIMA YOJANA BY ITGI

108

IFFCO KISAN SANCHAR LTD. (IKSL)

► IFFCO held 72.99 % equity in IKSL as on March 31, 2012.

► IKSL was incorporated in April 2007 with the objective to use Information Communication Technology to empower farmers in rural India and to strengthen the cooperative network in the country.

► During the year 2011–12, IKSL achieved a turnover of ` 183.7 crore.

Contd...

109

IKSL OPERATIONS

► The Company provides Value Added Services through mobile phones, which includes disseminating five free voice messages daily to the farmers

► IKSL received the prestigious ‘Business in the Community’s (BITC)’ Award for Excellence 2011- ‘Coffey International Award’ in UK.

► IKSL received Best Jury Award at eWorld Forum 2011, SKOCH Digital Inclusion Award 2011 and Grand Jury Award of the “Manthan Award South Asia”.

► IKSL has been awarded the work of establishing and operating Kisan Call Centre (KCC) services by Department of Agriculture and Cooperation (DAC), Ministry of Agriculture, Government of India.

110

KISAN INTERNATIONAL TRADING FZE (KIT)

Kisan International Trading FZE (KIT), a wholly owned subsidiary of IFFCO was set up as a trading and investment venture in Dubai in April 2005 primarily to handle imports, exports and logistics support for various fertilizers, fertilizers, raw materials and intermediates.

KIT actively trades in Rock Phosphates, Ammonia, Phosphoric Acid, Urea, Di-Ammonium Phosphate (DAP), Mono-Ammonium Phosphate (MAP), NP Fertilisers NP 20:20:0, NP 16:20:0, 13S, Sulphur, specialty Water Soluble Fertilisers like Sulphate or Potash, Iron Ore, Furnace Oil and Zinc Ash.

The Company also undertakes logistics for transportation of Ammonia to IFFCO under the Ammonia offtake Agreement of IFFCO with Oman India Fertiliser Company (OMIFCO) at Sur in Oman.

KIT has made strategic investments in leading organizations like Legend International Holdings Inc, Australia, Americas Petrogas Inc, Canada, Grow Max Agricorp, Canada, and Jordan India Fertilizer Company LLC (JIFCO).

KIT has established a 100% subsidiary namely FERT COOP Trading LLC, Dubai to deal in local trading activities in UAE.

111

OMAN INDIA FERTILISER COMPANY (OMIFCO)

IFFCO held 25% equity in OMIFCO as on March 31,2012. OMIFCO two-train Ammonia-Urea Fertiliser manufacturing plant

with Ammonia and Urea capacities of 2x1750 TPD and 2x2530 TPD respectively at the Sur Industrial Estate in the Sultanate of Oman.

The Complex is designed to produce 1.652 million tonne per year of granulated urea and 0.25 million tonne per year of surplus Ammonia using Natural Gas as feedstock.

The Commercial production started from July 14, 2005. Natural Gas is supplied by the Ministry of Oil and Gas, Sultanate of

Oman under long term Gas Supply Agreement. Entire production of Urea is being purchased by Government of India

under a long term Urea Offtake Agreement. The Surplus Ammonia is being purchased by IFFCO under a long term Ammonia Offtake Agreement.

The Company sold 2.04 million MT of Urea and 0.16 million MT of surplus Ammonia during the year 2011.

112

NATIONAL COMMODITY AND DERIVATIVES EXCHANGE (NCDEX)

IFFCO held 8.88% equity stake in NCDEX as on March 31, 2012.

NCDEX is the leading Commodity Exchange setup by NABARD, ICICI, NSE, LIC and IFFCO. Other Major Shareholders include Jaypee Capital Services Ltd., Shree Renuka Sugars Ltd., CRISIL, PNB, Canara Bank and Goldman Sachs.

NCDEX is a leading nationwide commodity exchange which provides online trading platform for commodity futures.

NCDEX has over 720 Trading and Clearing Members, 124 trading members and more than 43,198 trading terminals spread over 700 centers across the country.

Commodities traded on the Exchange stood at 32 comprising of 21 agricultural products, 2 energy, 2 metals, 1 polymer and 6 bullion as on March 31, 2012.

Contd...

113

NCDEX

NCDEX has accredited over 308 warehouses with storage capacity of 792,791 MT.

The Company has 76 depository participants and 15 clearing Banks.

The Average Daily Traded Value (ADTV) increased from ` 4,686 crore in 2010-11 to ` 6,034 crore in 2011-12.

114

NATIONAL COLLATERAL MANAGEMENT SERVICES LTD. (NCMSL)

IFFCO held the largest 20.64% equity stake in NCMSL as on March 31, 2012.

NCMSL was incorporated on 28th September, 2004 and is the first National level Collateral Management Company.

NCMSL provides services in both the Agricultural sector and the Industrial sector. On the Agricultural side, NCMSL provides services to the Farmers’ community in the form of quality testing and warehousing facilities. In the Industrial segment NCMSL offers Risk Management Solutions, Field Warehousing Facility and Receivables Management Services.

NCMSL handles 850 Warehouses in 14 States, across 160 locations in India and deal with as many as 42 agricultural commodities.

Currently, NCMSL works on a Leased/Franchised model. NCMSL is implementing project for setting up its own warehouses across various sites in India at a cost of ` 304 Crore.

For the year 2010-11, NCMSL achieved total income of ` 188.83 Crore with Profit After Tax of ` 4.60 Crore.

115

IFFCO KISAN BAZAR & LOGISTICS LTD.

The Company was incorporated on February 26, 2004 as 100% owned subsidiary of IFFCO with the objective to provide one stop shop for farmers to cater to their requirements of fertilizers, seeds, agro chemicals, pesticides and agricultural tools etc.

The Company has included setting up and development of logistics, infrastructure, industrial and commercial structures in its field of business activities.

IKBLL has been identified as Special Purpose Vehicle (SPV) by IFFCO for setting up Barge Jetty for Solid Cargo Handling at Kandla along with Kandla Port Trust.

116

IFFCO CHHATTISGARH POWER LTD. (ICPL)

IFFCO has diversified into the power sector by incorporating a joint venture company, named “IFFCO Chhattisgarh Power Limited” (ICPL) to set up a 1320 MW coal based Mega Power Plant in District Surguja of Chhattisgarh.

IFFCO, as the majority partner, holds 74% equity and Chhattisgarh State Power Holding Company Limited (CSPHCL) holds 26% equity in ICPL.

Coal required for the project will be supplied through Tara Coal Block close to the Project Site. The mines have coal reserves of 252 million MT. The coal block is being developed by CMDC ICPL Coal Ltd (CICL), a Joint Venture of ICPL and Chhattisgarh Mineral Development Corporation Ltd in which CMDC holds 51% share and ICPL holds 49% share in equity.

Private land acquisition is complete. Other statutory clearances, water allocation, Power Purchase Agreement are already in place.

Environment clearance for Power Project has been accorded by the Ministry of Environment and Forests, Government of India.

Contd...

117

JORDAN INDIA FERTILIZER COMPANY (JIFCO)

IFFCO and Jordan Phosphates Mines Company Ltd. (JPMC), Jordanhave promoted ‘Jordan India Fertilizer Company (JIFCO)’ on March 6, 2008.

JIFCO is constructing a Phosphoric Acid Plant with Annual Capacity of 475,000 MT of P2O5 at Eshidiya in Jordan.

IFFCO (27%) and Kisan International Trading FZE, Dubai (25%) together hold 52% equity, while JPMC holds 48% equity.

JPMC will make available the required quantity of Rock Phosphate for the project, while KIT will purchase minimum 70% of Phosphoric acid Produced.

SNC Lavalin, France, is Project Manager under Engineering, Procurement and Construction Management Contract. Project implementation activities commenced from October 14, 2010.

The Project is expected to start commercial production by July 2013.

118

LEGEND INTERNATIONAL HOLDINGS INC. AUSTRALIA

Legend has exploration interests in Queensland Territory, Australia, having phosphate deposits of 1.0 billion tonne at 16% P2O5.

Legend has been granted Mining Lease in one portion of D-Tree North (DSO belt) and also for Paradise North.

Legend’s project is significant for securing supplies for Rock Phosphate for Paradeep Unit in view of depleting reserves worldwide

119

AMERICAS PETROGAS INC. (API), CANADA

IFFCO and Associates have acquired about 15% stake in Americas Petro Gas Inc., Canada (API) along with 20% stake in its subsidiary GrowmaxAgri Corp, Canada.

API is a public listed Canadian Company having interests in Oil and Gas fields in Argentina and Potash reserves in Peru.

API’s 100% subsidiary ‘Petrogas Argentina, C.A.’ holds working interest in 16 blocks having 2 million acres in Neuquen basin of Argentina for exploration of oil and gas. Production of Crude Oil has commenced from April 2010.

API has promoted a Canadian subsidiary GrowMax Agri Corp (GrowMax). GrowMax’s 100% owned subsidiary, Americas Potash Peru (APP) is setting up Potash Mining Project at Bayovar, Peru of capacity 0.25 million MT per annum. The Company holds about 820 sq. km of surface and sub-surface rights in the deposits of Potash in Sechura Province of Peru.

GrowMax has signed a Potash Offtake-Agreement with Kisan International Trading FZE(KIT). As per the Offtake agreement, IFFCO and its associates would off-take up to 50% of the MOP produced from the project.

120

IFFCO KISAN SEZ LTD. (IKSEZ)

IFFCO is developing an Agro-based Kisan SEZ in Nellore, Andhra Pradesh through its wholly owned subsidiary namely IFFCO Kisan SEZ Limited (IKSEZ), with primary focus on Food Processing and Agri Based Industries.

The SEZ being set up on 1023 Hectares (2527 Acre) of land owned by IFFCO, was notified on 19th April, 2010 by Ministry of Commerce.

All Central Government clearances, including the Environment Clearance for SEZ and State Government approvals have been obtained.

Contd...

121

IFFCO KISAN SEZ LTD. (IKSEZ)

Project Proposals have been received relating to Aqua Food processing, Poultry Processing, Logistics Infrastructure, Cold Storages and Vegetable & Fruits Processing, which are under consideration.

Among other ventures, an integrated Dairy Farm is proposed to be set up in collaboration with internationally renowned Dairy Cooperative viz. Fonterra, New Zealand and GDH, New Delhi.

125

BROAD VISION OF THE SOCIETY

● To augment the incremental income of farmers by helping them to increase their crop productivity through balanced use of energy efficient fertilisers

● To maintain the environmental health

● To make cooperative societies economically and democratically strong for professionalised services to the farming community to ensure an empowered rural India.

● To diversify into other profitable business areas, apart from fertiliser sector, for sustained growth and adequate return to member shareholders

126

VISION 2015

IFFCO successfully implemented its earlier Corporate Plans namely “VISION 2000”, “MISSION 2005” and ‘VISION 2010’ which resulted into becoming one of the largest producer and marketer of Chemical Fertilisers by expansion of IFFCO’s existing units, setting up joint venture companies overseas and diversification into new sectors.

IFFCO has now visualised a Comprehensive Plan entitled ‘VISION-2015’ having objectives of :-

Production of fertilisers through expansion of existing units

Setting up of additional fertiliser production facilities in India and abroad through joint ventures

Diversification into other profitable sectors

Strengthening raw material sourcing through strategic joint ventures

Formulation of strategic alliances through IFFCO consortium

127

MAJOR SALIENT FEATURES OF ‘VISION-2015’

Become Global Leader in Fertilisers Production to cater to Food Security needs of the Nation.

Maximise synergies of core business through downstream value additions and forward/backward integration.

Enhance presence in international markets through strategic joint ventures and synergistic acquisitions.

Promote Integrated Nutrient Management to improve efficiency of fertiliser use and to promote location specific research an efficient fertiliser practices.

Contd...

128

MAJOR SALIENT FEATURES OF ‘VISION-2015’

Bring sustainability and strategies to prevent climate changes by reducing energy consumption, improving resources management and promoting Renewable Energy sources.

Help Cooperative Societies to become economically strong, professionally managed and to equip farming community with advanced agricultural practices for improved productivity to ensure empowered Rural India.

Achieve fertilisers production/marketing target of 15 million tonne per annum with an annual turnover of ` 30,000 crore.

129

MAJOR PROJECTS IN HAND

IFFCO CHHATTISGARH POWER LIMITED

JORDAN INDIA FERTILIZER COMPANY

LEGEND INTERNATIONAL HOLDINGS INC.

AMERICAS PETROGAS INC.

IFFCO KISAN SEZ LIMITED

130

TARGETS UNDER VISION - 2015

Area of Operation Projected Target

Production of Fertilisers 15 Million Tonne

Sale of Fertilisers 15 Million Tonne

Turnover USD 6500 Million

Networth USD 1700 Million

132

PRODUCTION PERFORMANCE('000 MT)

133

('000 MT)

SALES PERFORMANCE

134

FINANCIAL PERFORMANCE(USD Million)

2007-08 2008-09 2009-10 2010-11 2011-12

SALES TURNOVER 2377.57 6437.75 3285.72 4143.19 5004.04

PROFIT BEFORE TAX 74.38 86.39 110.89 200.52 198.95

PROFIT AFTER TAX 50.35 70.37 78.41 154.73 150.94

SHARE CAPITAL 82.87 83.33 83.32 83.27 83.24

RESERVES & SURPLUS

638.18 690.55 751.47 887.89 1020.32

NETWORTH 721.05 773.87 834.79 971.16 1103.56

INVESTMENTS 150.63 178.67 174.43 228.71 254.15

The items have been stated at the current financial year-end rate of ` 51.1565 per US$, to make the same comparable.

135

(USD Million)

PROFIT BEFORE TAX & PROFIT AFTER TAX

136

TURNOVER AND NETWORTH(USD Million)

137

HIGHLIGHTS OF 2011-12

Production of Fertilisers 8.44 Million MT (Best 8.58 million MT in 2010-11)

Sales of Urea & NPK/DAP 12.18 Million MT (Best 12.59 million MT in 2010-11)

Profit Before Tax USD 198.95 Million (Best USD 200.52 million in 2010-11)

Profit After Tax USD 150.94 Million (Best USD 154.73 million in 2010-11)

Sale Turnover USD 5004.04 Million (Best USD 6437.75 million in 2008-09)

138

CUMULATIVE ACHIEVEMENTS

FERTILISER PRODUCTION 136.12 Million MT

FERTILISER SALE 160.45 Million MT

TURNOVER USD 37168.42 Million

PROFIT BEFORE TAX USD 1853.01 Million

PROFIT AFTER TAX USD 1425.56 Million

CONTRIBUTION TO USD 2249.12 Million EXCHEQUER

(Till 31st March, 2012)

139

(In Million MT)

GROWTH IN PRODUCTION CAPACITIES