Paradeep Phosphates' ₹1,500 Crore Investment Fuels Expansion

Paradeep Phosphates Ltd. (PPL) is set to invest over ₹1,500 crore in capacity expansion over the next three years, aiming to double its market share in India’s 20-million-tonne phosphatic fertiliser market.

The Bhubaneswar-based company, which reported a turnover of nearly ₹14,000 crore in FY25, plans to scale up its production capacity from 2.6 million tonnes to 3.7 million tonnes by FY26, targeting sales of 3 million tonnes.

A key component of this growth strategy is the planned amalgamation of Mangalore Chemicals & Fertilizers (MCFL), expected to be completed within this financial year. The merger will add 700,000 tonnes of capacity and facilitate the development of a new 600,000-tonne fertiliser plant in Mangalore.

In addition, PPL will expand phosphoric acid capacity by 40% and increase sulfuric acid production from 1.3 million to 2 million tonnes. To ensure raw material security, PPL has secured strategic agreements — including a 1.6 million tonne rock phosphate supply deal with Morocco’s OCP and long-term ammonia sourcing from the Gulf region.

News by Rahul Yelligetti.