Kochi: “Fertilizers and Chemicals Travancore Ltd has appointed Deloitte Touche Tohmatsu India Pvt. Ltd to prepare a five-year growth and diversification roadmap for the Rs2,000 crore investment plans of the public sector unit,” a senior official said on Thursday.
The company had been making losses since 1998 and came out of it in the financial year ended Marh 2008 when it posted a net profit of Rs6 crore. It posted profit of Rs42.95 crore in fiscal 2009.
George Sleeba, chairman and managing director who is scheduled to retire this month after 34 years with the company, said: “Though things had started looking up, several issues such as a lack of working capital, fertilizer pricing and a host of pending project proposals had led to the union government suggesting a thorough study. In 2003, Deloitte had been appointed as global advisor for the union government’s disinvestment programme for the PSU and which never happened.”
Sleeba said that Deloitte, which had made an in-depth study of the company earlier, was expected to submit the report soon. The report will be sent to the union government for action.
The new projects include setting up a urea plant with an annual capacity of 5 lakh tonnes at an investment of Rs695 crore to be in tune with the availability of liquefied natural gas (LNG) by 2012, revamping and modifying the existing complex fertilizer unit to 10 lakh tonnes annual capacity from the current 6.33 lakh tonne at an investment of Rs200 crore and a Rs750 crore caprolactum production capacity expansion from 0.5 lakh tonne to 1.5 lakh tonnes.