Gujarat Narmada Valley Fertilizers & Chemicals Ltd (GNFC) has awarded a contract to thyssenkrupp Udhe India Pvt. Ltd (TKUIPL) for the construction of a 600-million-tonne-per-day (MTPD) or 2,00,000-metric-tonne-per-annum (MTPA) weak nitric acid-III plant on an LEPC (Licensing, Engineering, Procurement, and Construction) basis.
Expanding Production Capacity
The agreement, approved by GNFC’s board on August 13, 2024, will significantly boost the company’s nitric acid production capacity by 57%. This expansion will enhance GNFC’s downstream operations, ensuring a stable supply of nitric acid for fertilizers, specialty chemicals, and industrial applications.
Thyssenkrupp’s Role in Technology & Licensing
TKUIPL, in collaboration with its parent company Thyssenkrupp Uhde, will provide process know-how and licensing for the new plant. GNFC already operates two nitric acid plants licensed by Thyssenkrupp Uhde, and the third plant will further strengthen its market presence and production capabilities.
Supporting ‘Make in India’ and Sustainability
The new plant will not only meet growing domestic demand but also support India’s Make in India initiative by reducing import dependency and promoting indigenous manufacturing. GNFC has reiterated its commitment to environmental conservation, ensuring that the plant is built with sustainable and eco-friendly technologies.
Financial Growth and Market Performance
Despite a 9.1% decline in total income in Q3 FY25 (Rs 1,899 crore vs. Rs 2,088 crore in Q3 FY24), GNFC recorded a 68% rise in consolidated net profit, reaching Rs 163 crore in Q3 FY25 compared to Rs 97 crore in the same quarter last year. The company’s stock price also gained 0.46%, trading at Rs 501.25 on the BSE.
GNFC’s Diversified Portfolio
GNFC, a joint sector enterprise promoted by the Government of Gujarat and Gujarat State Fertilizers & Chemicals (GSFC), has diversified beyond fertilizers into chemicals/petrochemicals, energy, electronics, telecommunications, and information technology. The new nitric acid plant is a strategic step in its growth, innovation, and sustainability-driven expansion.
