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Rashtriya Chemicals and Fertilizers Limited (RCF)

Overview 

RCF is a leading fertilizer and chemical manufacturing company in India in the Public Sector. It was established on 6th March, 1978 on the reorganization of erstwhile Fertilizer Corporation of India Ltd. into five new companies’viz. Fertilizer Corporation of India (FCI), Hindustan Fertilizer Corporation Limited (HFC), Projects & Development India Limited (PDIL), National Fertilizers Limited (NFL) and Rashtriya Chemicals & Fertilizers Limited (RCF).

Presently the authorized share capital of RCF is Rs. 800 Crore & paid up capital of Rs. 551.69 Crore. Company has been accorded coveted “Miniratna” status in 1997.

Company operates two units viz. one at Trombay (Mumbai) and the other one at Thal, Raigad district, about 100 KM from Mumbai. Company has portfolio of products which includes Neem Urea, Complex Fertilizers, Bio-Fertilizers, Micro Nutrients, 100% Water soluble fertilizers. RCF has also pioneered the manufacture of basic Chemicals like Ammonia,Methanol,Methylamine, Ammonium Nitrate, Ammonium Bicarbonate, Dilute and Concentrated Nitric Acid, Sulphuric Acid, Sodium Nitrate, Sodium Nitrite, Dimethyl Formamide, Dimethyl Actamide, Formic Acid, Argon etc.

The “Ujjwala(Urea) and “Suphala”( Complex fertilizer) brands of fertilizers manufactured by RCF carry high brand equity and are recognized brands all over the country.  These products are taken to the farthest corner of the country by extensive RCF dealers network spread throughout the country. 

RCF always strives for upkeep of the plants through modernizing and upgrading technology.  Reduce, Recycle and Reuse (3R) of resources has been the basic philosophy of RCF.

As part of modernization, RCF has modernized its Ammonia – I, Nitric Acid, Methanol and ANP plants at its Trombay unit.  This has facilitated plants to sustain operations and meet technological challenges of improved efficiency, lower energy consumption and maintain environmental norms.  It has also resulted in company achieving the highest standards of safety and product quality.

RCF has set-up and commissioned Gas Turbine Generator (GTG) of 2 x 25 MW along with Heat Recovery Steam Generator (HRSG) of 2 x 100 MTPH capacity in April 2018 at Thal unit. RCF is also installing Gas Turbines Generator (GTG) of 2 x 25 MW along with Heat Recovery Steam Generator (HRSG) of 2 x 65 MTPH capacity at Trombay unit.

In order to reduce specific energy consumption, RCF is implementing various energy improvement schemes across all plants of both manufacturing units.

RCF has been successfully operating a Sewage Treatment Plant (STP) of 22.75 MLD (Million Liters per Day) sewage capacity at Trombay unit since January 2000. In addition to the existing STP, RCF has also set up another Sewage Treatment plant of 22.75 MLD sewage capacity at Trombay unit. The operation of these two Sewage plant could treat about 45 MLD of Sewage generated by Mumbai city and saves about 30 MLD of pure water for the citizen of Mumbai.

In its bid towards India’s vision of achieving ecologically sustainable growth, RCF has forayed into solar power generation. Company has set up a 2 MWp ground mounted Photovoltaic Solar power plant in Trombay Unit in January, 2016. In addition to this, RCF has commissioned solar rooftop facilities at Thal, Trombay and Soil Testing labs with an aggregate capacity of 2.01 MWp. The power generated is used for captive consumption, thereby reducing Company’s power import to the equivalent extent. During the year 2019-20, 5,295 MWh of solar power was generated. The green power generated by solar plants replaces the conventional power generated through burning of fossil fuels leading to reduction in overall Greenhouse gas emissions.

In order to augment the domestic Urea capacity and achieve self-sufficiency in line with the ‘Make in India’ mission, RCF along with GAIL, CIL and FCIL has taken up revival of FCIL’s unit at Talcher Odisha based on Clean Coal technology. The project entails setting up Urea plant of 1.27 Million MT per annum capacity. In order to utilize country’s huge coal reserves, Talcher Fertilizers project will be a game changer for India in terms of opening a new avenue in coal gasification and shall reduce dependency on Natural Gas for Urea manufacturing. The project work has already started at site. The project is scheduled to be completed by September 2023.

Both the manufacturing units of RCF are accredited with ISO 9001 for quality, ISO 14001 for Environmental Management System, ISO 45001 for Occupational Health and Safety, ISO 50001: 2011 for Energy Management System and ISO 27001 for Information Security Management.

RCF has been undertaking “Swachha Bharat Abhiyan” on regular basis across all plants in both manufacturing units, Township Hospital, School, RCF Co-operative Credit Society etc.

As a response to Hon’ble Prime Minister ‘Atmanirbar BharatAbhiyan’, production of Methanol has been re-started at RCF Trombay unit.

RCF is fully complying Govt. of India’s Public Procurement Policy and Make in India campaign. In this regard, all Necessary provision has been made in all the tenders, floated by RCF.

Every year RCF signs Memorandum of Understanding (MoU) with Government of India.  The performance is evaluated independently by the Department of Public Enterprise.

Vision and Mission

Vision:

To be a world class corporate in the field of fertilizers and chemicals with dominant position in Indian market, ensuring optimal utilization of resources, taking due care of environment and maximizing value of stakeholders.

Mission:

Exponential growth through business excellence with focus on maximizing stakeholder value by manufacturing and selling fertilizers and chemicals in a reliable, ethical and socially responsible manner.

Main objectives of RCF:

  • To produce and market fertilizers and industrial chemicals efficiently, economically and in an environmental friendly manner.
  • To maintain optimum levels of efficiency in the use of resources for maximizing return on investment.
  • To take up and implement modernization and energy saving schemes.
  • To continuously upgrade the quality of human resources and promote organizational and management development.
  • To care for and protect the environment by minimizing the emissions including greenhouse gases and also improving on the standards laid down by Pollution Control Authorities and taking action to meet the requirements of ISO 14000 Standards.
  • To increase customer satisfaction by providing quality products and services. 
  • To ensure corporate growth by expansion as well as diversification.
  • To impart training and education to farmer

Value Statement

RCF shall deal in all aspects of Business with integrity, honesty, transparency and with utmost respect to the stakeholders, by honouring our commitments, providing results and striving for highest quality.

Financial Performance:    

Industrial / Business Operations

(In Rs. Crore)

Parameter

2018-19

2019-20

(provisional)

2020-21

(upto June 2020) 

Total Income  

8965.14

9826.60

1649.64

Profit before Tax

235.25

202.93

27.54

Net Profit

139.17

208.15

19.18

Dividend

51.21*

156.68

--

Net-Worth

3034.70

3186.27

3197.88

*Including dividend tax

Physical Performance:

Plant

Installed Capacity (LMT)

 Production achieved (in LMT)

2019-20

2020-21 (Upto 31st Aug 2020)

Urea (@Thal)

20.00

20.22

7.65

Urea (@ Trombay)

3. 30

3.26

1.56

Suphala (15:15:15)

4.20

5.71

2.07

Performance Highlights:

  • In spite of the challenges imposed by the COVID 19 pandemic, all fertilizer plants at RCF Thal and Trombay Unit are operated at normalcy by following all the directives issued by Government from time to time.The continuous operation of fertilizer plants ensured the timely availability of fertilizers to the farmers in this pandemic situation.
  • For the safety of farmers during the COVID pandemic, RCF Fertilizers are being delivered at the farm boundary.
  • Industrial Chemical plants are operated at optimum level depending upon market demand.
  • Daily highest Suphala (15:15:15) production of 2440 MT was achieved on 21st Aug 2020. Previous best being 2340 MT on 06th Feb 2020.
  • Hand sanitizer for in house use in RCF factory and offices: In view of outbreak of COVID 19 pandemic, Iso Propyl Alcohol based hand sanitizer is prepared through efforts of our Research and Development (R&D) team for our employees. It is being given for In-house use in RCF factory and offices including CISF, located at Trombay.
  • IPA based hand cleansing gel:RCF also introduced IPA based hand cleansing gel in the market named “SAFEROLA”. The product is introduced in the current situation to help in controlling the spread of the current pandemic.
    The major achievements in the year 2019-20:
  • Commissioning of New Sewage Treatment Plant: RCF and BPCL have entered into MOU for the new STP Project at RCF- Trombay with sewage treatment capacity of 22.75 MLD. This RCF-BPCL Sewage Treatment Plant was dedicated to the Nation on 27th Dec 2019. This new Plant will treat 22.75 Million Lit per Day (MLD) of municipal sewage of Mumbai city & will produce 15 MLD of treated water.RCF shall supply around 40% of the treated water, from this New STP plant to BPCL.
  • Production of DMF plant restarted on 31st July 2019 after a gap of about 4 years. 
  • Expanding the product basket: As the result of sustained efforts in Research & Development, RCF has launched 2 new products during the year - Organic Growth Stimulant and Soluble Silicon Fertilizer. Organic Growth Stimulant, is an organic product which promotes integrated nutrient management system, enhances yield and enhances the effectiveness of conventional mineral fertilizers. Soluble Silicon Fertilizer, a mixture of Silicon and Potassium which enhances plant resistance and tolerance to various biotic and abiotic stresses.
  • Yearly highest ever Suphala (15:15:15) production of 5.71 LMT is achieved. (Previous best being 5.61 LMT in the year 2018-19)
  • Yearly highest ever Suphala (15:15:15) dispatch of 5.71 LMT is achieved. (Previous best being 5.69 LMT in the year 2018-19).
  • Highest ever yearly production of Sewage Treated water of 5,81,4367 m3 is achieved. (Previous best being 5,575,120 m3 in the year 2018-19)
  • Yearly highest ever sale of 40,329 MT City compost is achieved. (Previous best being 35,620 MT in the year 2018-19)Strategic Issues:

Some of the strategic issues affecting the company are as follows:  

  • Raw material such as Rock Phosphate, MAP, DAP and Potash (MOP) etc. required in the manufacturing of the complex fertilizers has to be imported. Their procurement cost is subject to severe volatility in global raw material prices and variation in the foreign currency exchange rates affecting the profitability of the Company.
  • Owing to inflow of cheaper imports, some of the products like ANP 20:20:0, Dimethyl Formamide, Formic Acid, etc. have become economically unviable.
  • The large subsidy backlog have a negative impact on the working capital cycle of the fertilizer industry.
  • Reduction in supply of Domestic gas leads to increase in consumption of imported RLNG at higher cost.

Human Resource Management

a)  Manpower as on 01st Sept 2020:

Group

Total Employees

Number of Employees Belonging to

SC

ST

Ex-Service

PH

OBC

Minority

A

1391

236

71

0

13

192

81

B

783

92

80

0

3

77

40

C

660

96

59

3

21

180

42

D

17

3

2

0

1

9

3

Total

2851

427

212

3

38

458

166

b) Redressal of Public Grievances and Welfare Measures.                               

Resdressal of Public Grievance:  Company has put in place highly effective Grievance Redressal System.  Any citizen having complaints in respect of the production or services rendered may approach the Company.  Similarly any aggrieved customer / dealer or any other citizen can approach the Company for any failure of the quality / price charged / conduct of any officer / employee.

For the public grievances, the company has initiated “Online Grievance Registration system” on the company’s Website.  Any aggrieved citizen can approach the Company through a number dedicated for the grievance registration in HR Department which is 25522020.

RCF also has an online/offline Grievance Redressal System for addressing staff Grievances. Also RCF has a SC/ST Grievance Cell, Sexual Harassment Cell, Internal Complaint Committee (ICC)for addressing the grievances if any and Gender Cell to promote gender equality. 

Welfare Measures:

  • The guidelines regarding the reservation and in Recruitment and Promotion for SCs and STs are followed.
  • RCF takes due care to implement the policies regarding people with   disabilities. A Reservation Roster is maintained for PWD as per the rules in this regard. A separate Liaison Officer has been appointed for implementation of the policy for PWD. Special provision required as per Govt. Guidelines has been provided.
  • Welfare of Minorities and Reservation in Dealership: RCF as a policy includes representative of the Minorities in the Recruitment Selection Boards to ensure that the Minorities get adequate share in the services.
  • Efforts and initiatives are taken for the Welfare, Development and Empowerment of Women and for mainstreaming gender issues.
  • Opportunities for growth, training, challenging jobs, learning are equally available to both men and women employees of RCF.  Women represent in fair numbers in the batch of Apprentice/Operator Trainees in technical areas. 
  • Women are working in technical / non-technical / managerial positions and some of them have risen to the level of top management positions in the organization. Welfare and employee benefit schemes are equally applicable to male and female employees of RCF.
  • RCF is the pioneer in issuing ‘Policy on Zero Tolerance to Sexual Harassment at Workplace and ‘Policy on Gender Equality’. Internal Complaint Committee (ICC) has been formed in compliance with the Sexual Harassment of Women at Workplace (Prevention, Prohibition & Redressal) Act, 2013.  Gist of the Committee’s Report is published in Company’s Annual Report.
  • All the benefits in accordance with the legal requirements such as Maternity Benefits, Nursing Breaks, etc. are given to women employees. Special Medical check-ups/camps for ladies are conducted. In addition to this, Maternity Leave has been extended upto 180 days, leave for miscarriage or medical termination of pregnancy is allowed upto  45 days. Child Adoption leave to female employee is allowed upto 90 days.
  • RCF is one of the pioneer members in the Forum of Women in Public Sector (WIPS) since its inception (1990).  It is a corporate member of this forum and has been representing in all activities of the forum with total support and participation in all activities. 
  •  To strengthen this initiative, the company has its Gender Equality Policy and Gender Budget has been provided for the activity of Gender Mainstreaming. 

Recruitment and Training :

At RCF, recruitment is carried out only after thorough study of the manpower requirement across various domains. There is comprehensive system in place to identify the training needs of the employees and based on the analysis and feedback, various training sessions are organized for their professional advancement. Company also organizes various training sessions which help personal growth of employees such as financial literacy, environmental awareness etc. Company has full-fledged training centre where not only company employees but large number of students are also given industrial training as a part of industrial academic interface.

Training programs are organized regularly for imparting knowledge about plant operation, plant processes and maintenance, safety aspects for Diploma/BSc student. To support the initiative of Skill India, RCF has adopted a local ITI , short term skill development programs are organised for providing industry training to students of Academic Institutes. To enhance the practical knowledge of students, Industrial training of 1 -2 months is provided to students undergoing graduation/ under graduation. On the job training is provided to the graduatedengineers.

Also to support Start up India and Make In India drive of Government of India, training program are organized for Entrepreneurship development. Vendor Development & MSE meet is organized for Micro and Small Enterprises.

Corporate Social Responsibility and Sustainable Development (CSR/SD)

As part of its initiatives under “Corporate Social Responsibility’, Rashtriya Chemicals & Fertilizers Ltd (RCF) has undertaken several projects in the areas of rural development, promoting health care and education aimed for the benefit of needy and for general good of the society. These projects are in accordance with Schedule VII of the Companies Act, 2013 and the Company’s CSR policy. RCF has a Board level CSR committee comprising of functional Director, Govt. Director and Independent Director for monitoring the CSR activities. Executive Director level committee scrutinise and proposes the CSR proposals.

In the year 2019-20 , RCF has spent Rs. 3.41 Crore on CSR activities. As a part of CSR activities, projects in the areas of Rural development, promoting health care and education aimed for the benefit of needy and for general good of the society are undertaken and supported by the company.

The initiatives undertaken by the company are as follows:

  • SC ST Scholarship Scheme: To improve the quality of education among SC/ST students and to encourage and sustain the retention of SC/ST girl students, RCF has started the scheme to provide scholarship to the students from Osmanabad District.

This scheme has benefited 100 students in the year 2019-20 and is carried out through CSRD-Institute of Social Work and Research.

  • जीवन अनमोल है :The timely medical help can save the life of the patient. To provide the timely medical help and save the life of the patients, RCF has engaged Wockhardt Foundation and provide free primary health care through Mobile Medical Vans. 

A total of 2 Mobile Medical Vans are running in villages around Thal Unit. Free medical services and medicines are given to the needy.  Through this facility, ailments like Blood pressure, low Haemoglobin Levels, Oxygen saturation, Malaria, Hepatitis, Dengue, Typhoid, Diabetes, etc., are treated on regular basis, through qualified Doctors. Approximately 50,000 patients get benefited by this scheme every year.

Also financial assistance is given to Sushrut Hospital of Chembur for treatment of poor outdoor patients. Also support is extended to the create awareness about women health and hygiene initiatives.

  • Initiatives for financial uplifting: To benefit the marginal farmers and for upliftment of  their financial condition paddy and fruit saplings along with fertilizers have been made available to nearby villagers in Thal area of Dist. Alibaug.
  • Contribution towards National Theme of CSR activity: RCF has wholeheartedly contributed towards the schemes of national priority. In the year 2019-20, School Education, Health Care & Nutrition was identified as a National Theme for utilization of CSR fund. In view of this, RCF provided financial assistance for providingMedical and education facility in the Aspirational District of Maharashtra (Name of District: Osmanabad).
  • जल है तो जीवन है: Clean water is essential not only to remain safe from disease but also to maintain good health. To provide clean portable drinking water and sustain healthy environment, RCF has been providing drinking water to seven villages around Thal unit. More than 15,700 residents of the villages got benefit of the scheme. The initiatives helped in decreasing the spread of waterborne disease in the areas. This initiative is supported by RCF for last 24 years.
  • The Extremely Severe Cyclonic Storm 'FANI' made landfall on the Odisha Coast south of Puri on 3 May, 2019. RCF distributed Agro input kits to farmers in Odisha affected by Cyclone FANI
  • Support in COVID 19 pandemic: In the year 2020-21, RCF has deposited RS. 50 lakhs to PM Care fund and has supported the cause for Covid relief measures.

RCF distributed face masks to all the contract labourers of the company. The masks were procured from women NGO. This move not only helped our contract labours but also supported needy women in this lock down.

Awards won:

  • RCF receives the “31st CFBP-Jamanalal Bajaj UchitVyavaharPuraskar for Fair Business Practices for the year 2018 in the category of Manufacturing Enterprises –Large.
  • RCF has won the coveted “Governance Now 7th PSU Award” in the category of Reskilling of Employees.
  • RCF Thal unit jointly with National Fertilizers Limited, Vijaipur received prestigious FAI Award for "Excellence in Safety” for the year 2018-19.
  • Thal Unit was conferred with “ICC Energy Excellence Award 2018” for excellence in Energy Conservation & Management by Indian Chemical Council.
  • RCF Thal - Heavy Water Plant, received “NSC Maharashtra Award 2018” for Zero Accident frequency rate.
  • Maharashtra Energy Development Agency (MEDA) conferred “Certificate of Excellence” to RCF Thal unit and “Certificate of merit” to RCF Trombay Unit for the efforts taken for Conservation of energy in Chemical Sector for the year 2018-19.
  • RCF Trombay Unit received “19th Annual Greentech Environment Award 2019”.
  • Trombay Unit was conferred with FAI Award for “Best Production Performance for Complex Fertilizers” for theyear 2018-19.
  • RCF Trombay unit was awarded 1st Prize for Energy conservation in HT Industrial consumer   category (above 10MVA) during TATA Power consumer meet.
  • RCF received best PSU award for SwachhataPakhwada for the year 2019.