Namrup fertiliser unit's employees raise apprehension over future ahead of foundation for new plant

Dibrugarh (Assam), Nov 22 (PTI) Employees of the Brahmaputra Valley Fertilizer Corporation Ltd (BVFCL) have raised apprehension over the fate of the entity, as a new 12 lakh MT factory is set to come up on its premises at Namrup in Assam’s Dibrugarh district.

They also claimed that the government is in the "process of closing down the BVFCL", citing high-level meetings held this month to take forward an earlier decision to shut down or disinvest several identified central public sector enterprises (CPSEs).

Asked for the reaction to the employees' concerns, BVFCL CMD Mohan Raj Shetty told PTI that "positive results" are expected for the corporation due to its improved performance.

“It is an old order of 2022. A meeting was called at the secretary level. Even though we were not invited,” he said.

Shetty also said, “Our performance has turned around this year. Quarterly and half-yearly results are positive. It has helped immensely.” The concern among the employees stems from a letter sent by the Department of Fertilisers on November 13 to the BVFCL, which states that the Department of Public Enterprises (DPE) is in the process of preparing a note for "in-principle" approval of the Cabinet Committee on Economic Affairs (CCEA) regarding CPSEs identified for closure or disinvestment, the official said.

The BVFCL, with a recommendation of August 12, 2022, is among the CPSEs marked for closure or disinvestment.

The latest letter seeks detailed information regarding the fertiliser units of BVFCL – Namrup I, II and III, including date of commissioning, production details and any other information on closure or disinvestment.

Information related to the Namrup IV plant has also been sought in the same letter.

Notably, Prime Minister Narendra Modi is expected to lay the foundation stone for the fourth unit in December.

The fourth one is now being developed as a separate company, Assam Valley Fertilizer and Chemical Company Ltd (AVFCCL), a joint venture, incorporated in July 2025, among the Assam government, Oil India Limited (OIL), NFL, Hindustan Urvarak and Rasayan Limited (HURL), and BVFCL.

"The government is speaking in two voices. On one hand, there are occasional assurances about Namrup-IV, and on the other, they are secretly compiling a dossier for closure," Tileswar Bora, president of Namrup Fertiliser Protection United Forum, claimed.

BVFCL, under the administrative control of the Ministry of Chemicals and Fertilisers, was incorporated on April 5, 2002, after the segregation of Namrup units in Assam from Hindustan Fertilizer Corporation Limited (HFCL).

The first group of plants, named Namrup-I, were commissioned in January 1969, when it was under the HFCL, and all these plants are now scrapped, the official said.

The second unit, Namrup II, went into commercial production on October 1, 1976, but due to two successive failures, it has remained under shutdown since January 2020, he said.

The Namrup III went into commercial production in 1987, and is being operated at about 80 per cent load, as the technologies have become "obsolete", while the availability of spares for maintenance and replacement of the machinery or equipment is becoming increasingly difficult, and the frequency and degree of maintenance is also high, the official said.

It currently produces 2 lakh MT of fertilisers annually.

“The BVFCL third plant is the only unit which has been producing urea in the North East, but its condition is not good. We seek the attention of Prime Minister Narendra Modi for the revival of the industry. If it remains like this, the third plant will also be shut down soon,” Bora said.

A decision to freeze two major recruitment drives also raised apprehension among the employees.

Two recruitment drives — one for management trainees and another for over a dozen technical posts, including boiler attendants and technicians — have been "withheld and kept in abeyance until further orders", he said.

"This is the clearest signal yet. Why has hiring for critical positions been frozen if the plant has a future? They are starving the company of essential manpower, which will eventually be used as an excuse to declare it unviable,” Bora, who is also the advisor of the Namrup Fertiliser Labour Union, claimed.

The CMD said, "We should keep up the tempo to keep our hopes alive. We are performing and will end with positive results." PTI CORR SSG BDC