Matix Fertilisers and Chemicals, one of India's leading urea producers, has announced plans to invest approximately Rs 7,500 crore to double its urea production capacity. 

The investment will fund a brownfield expansion at its existing urea plant in Panagarh Industrial Park, West Bengal.

Currently, the company operates at a production capacity of 1.27 million tonnes per annum (MTPA), but it has consistently exceeded this capacity in recent years. In the last financial year, Matix Fertilisers achieved 118% capacity utilization, producing 1.5 million tonnes. 

This year, the company continues to operate at 112-113% capacity utilization, demonstrating operational excellence, said Chairman Nishant Kanodia.

“We are aiming to double the capacity at the same site. We have already made significant progress, with some initial work completed. We are now awaiting approval from the Department of Fertilisers of the Government of India for the expansion. Once we receive the green light, we are confident that construction will begin soon, and the plant will be operational within the next 30 months,” Kanodia added.

Matix Fertilisers currently holds a market share of approximately 4.8% in India’s urea production, which stood at around 31.4 million tonnes in the last fiscal year. The company is a dominant player in eastern India, with a 20% market share in the region

With the expansion, the company expects to significantly increase its market share. The ₹7,500 crore investment will be financed through a mix of debt and equity.

For FY24, Matix Fertilisers reported a revenue of ₹6,900 crore, up from ₹5,700 crore in FY23.