Gowda hands over Rs. 813.24 crores to HURL in respect of Interest-Free Loan

HURL operates environment-friendly & energy-efficient Natural Gas based new Fertilizer Complexes, spurring economic growth in eastern India.

Union Minister for Chemicals and Fertilizers Shri D. V. Sadananda Gowda has handed over the cheque of Rs. 813.24 crores out of a total amount of Rs. 1257.82 crore to MD, HURL in respect of Interest-Free Loan to Hindustan Urvarak & Rasayan Ltd (HURL) for the revival of Gorakhpur, Sindri & Barauni projects. HURL operates environment-friendly & energy-efficient Natural Gas based new Fertilizer Complexes, spurring economic growth in eastern India.

Speaking on the occasion the Minister emphasized that the release of Interest-Free Loan to HURL will further strengthen its financial condition during COVID-19. It will also assist HURL to complete its project in time i.e. 2021 and boost the "AATMA NIRBHAR BHARAT" campaign of the Government of India by increasing the indigenous production of urea. The operationalization of the above three plants will reduce the import dependency on urea by 38.1 LMT per annum and it will save huge forex to the Exchequer. The capacity of each plant would be 12.7 LMT per annum. The Minister also informed that HURL projects will create huge opportunities for direct and indirect employment.

The Gorakhpur, Barurani & Sindri projects have achieved 89%, 85.1% and 86.1% progress as of 28.02.2021. Once these projects are commissioned, it would increase our domestic capacity and further self-reliance in urea production.

Government had approved an Interest-Free Loan (IFL) of Rs.1257.82 crore to Hindustan Urvarak and Rasayan Limited (HURL) projects situated at Gorakhpur (Uttar Pradesh) Sindri (Jharkhand) and Barauni (Bihar) on 01.08.2018. Accordingly, a Loan Agreement was executed between the Department of Fertilizers and HURL on 08.09.2020.

(With Inputs from PIB)