PM Modi Lays Foundation for Rs10,601-Crore Fertiliser Plant in Assam

New Ammonia–Urea Project to Boost Fertiliser Security in Northeast India

Prime Minister Narendra Modi has laid the foundation stone for a ₹10,601-crore ammonia–urea fertiliser plant in Dibrugarh district, Assam , signalling a major industrial and agricultural boost for the northeastern region. The project seeks to revive and modernise fertiliser manufacturing in Assam while strengthening India’s long-term fertiliser security.

Reviving a Legacy Through a Brownfield Project

The new plant will be developed at Namrup , within the existing premises of Brahmaputra Valley Fertiliser Corporation Ltd (BVFCL) , making it a brownfield expansion. It will be implemented by the newly incorporated Assam Valley Fertiliser and Chemical Company Ltd (AVFCCL) . Equipped with modern, energy-efficient technology , the facility will have an annual urea production capacity of 12.7 lakh metric tonnes . The project is targeted for commissioning by 2030 .

Economic and Employment Impact

According to the Centre, the fertiliser unit will generate thousands of direct and indirect jobs , benefiting skilled and semi-skilled workers. Ancillary industries such as transportation, maintenance, packaging, and logistics are expected to grow alongside the plant. The project is also projected to reduce fertiliser transportation costs and improve timely availability for farmers across the northeast.

Strengthening Agricultural Support

The Namrup fertiliser unit is expected to cater to agricultural demand in Assam, other northeastern states, West Bengal, Bihar, Jharkhand, and eastern Uttar Pradesh . The government underlined that consistent urea availability is crucial for stabilising farm productivity. India’s domestic urea production has risen from 225 lakh metric tonnes in 2014 to about 306 lakh metric tonnes , reflecting a push towards self-reliance.

Policy and Regional Development Context

The project aligns with national objectives of Atmanirbhar Bharat , fertiliser self-sufficiency, and balanced regional development. It also complements broader initiatives in the northeast focused on agriculture, industry, and rural income enhancement.

What to Note for Exams?

• AVFCCL is a joint venture involving the Assam government, Oil India, NFL, HURL and BVFCL.

• Project cost: ₹10,601 crore ; commissioning target: 2030 .

• Annual urea capacity: 12.7 lakh metric tonnes .

• Location: Namrup, Dibrugarh district, Assam .