Full Form of IFFCO

Indian Farmers Fertiliser Cooperative Limited (IFFCO) is a multi-state cooperative society based out of New Delhi, India that manufactures and markets fertilizers. It began in 1967 with 57 member cooperatives and is currently the world’s largest co-op in terms of GDP turnover per capita, reaching over 50 million Indian farmers through its 35,000 member cooperatives.

In terms of Urea, IFFCO holds a 19% market share, while in terms of complex fertilizers (P2O5), the company holds a 29 percent market share. In the year 2017, the cooperative IFFCO was touted to be ranked on the 66th position on the Fortune India 500 list of India’s largest corporations. It made raves for making a net worth of $2.3 billion as of March 2018.

History of IFFCO

The early 1960s food crisis sparked long-term thinking among India’s farmers and the country’s founding fathers, who were inspired to find long-term solutions. Fertilizer feasibility studies were carried out in India by international organizations, including the American Co-operative Study Team, to increase production. At the time, cooperatives in India distributed 70% of the chemical fertilizers used in the country. This industry was well-equipped to distribute fertilizers, but it lacked manufacturing facilities.

In 1967, the Indian government introduced a multi-agency approach to fertilizer distribution, and the private sector joined in. The distribution network of private trade was given more opportunities by the private sector production units, while cooperatives were given second place in the supply chain. As a result of this development, the cooperatives began receiving fewer supplies of fertilizers.

IFFCO & Other Countries

A new cooperative was formed to address this issue as well as the country’s increasing demand for fertilizers. The idea of a cooperative appealed to me because of the core values it promotes self-help, accountability, democracy, equality, equity, and solidarity. The Cooperative League of the United States proposed to the Government of India in 1964 that American cooperatives were interested in collaborating with Indian cooperatives to establish a fertilizer production capacity. This proposal was rejected.

In the year 2000, IFFCO became a self-governing cooperative and expanded its operations both within India and abroad. When it came to rural-centric insurance products, IFFCO Tokio General Insurance Company Ltd. was founded in 2000. Oman India Fertilizer Company has acquired IFFCO’s stake. The Paradeep facility was bought, and in Dubai, Kisan International Trading FZE (KIT), a fully owned subsidiary for fertilizer imports, exports, and logistical assistance for raw materials and intermediates, was formed.

In order to expand domestic fertilizer production capacity, IFFCO undertook various expansion and diversification projects. More plants would be purchased, collaborative ventures would be formed with other countries, and other energy-saving techniques would be implemented to increase production efficiency and reduce carbon footprint.

An IFFCO-MC Crop Science Private Limited joint venture with Mitsubishi Corporation, Japan, was established to supply agrochemicals of high quality in India. The IFFCO iMandi was designed to bring the contemporary retail and information experience to rural India by integrating technology and expertise to offer value to customers in the Indian hinterland.

IFFCO Kisan SEZ

The IFFCO Kisan SEZ (IKSEZ) on 2776 acres of land in Nellore, Andhra Pradesh is being developed by IFFCO’s fully owned subsidiary, IFFCO Kisan SEZ.

IKSEZ is a Special Economic Zone for Agribusiness based on the Integrated Agropark Concept. The Indian government gives varying tariffs, income tax, and sales tax reductions in designated Special Commercial Zones (SEZs) to promote economic development.

A designated Special Economic Zone (SEZ) covering an area of around 1000 hectares in Andhra Pradesh’s Nellore district, near the Pennar River Basin.
Located in Andhra Pradesh around 20 kilometers north of Nellore, which has a population of over 600,000. ( a southern state of India)

Facilities for building a railway siding are spread over two property lots on each side of NH 5. The distance from the international airport is three hours, while the distance from the seaport is one hour. The use of cutting-edge infrastructure and amenities will help businesses thrive.

Mission Develop a “Farmer Owned – Farmer Managed” Special Economic Zone (SEZ) with state-of-the-art infrastructural facilities catering largely to the food processing sector and housing global industrial giants to empower Indian farmers.