The Indian fertiliser industry will face serious shortage of natural gas in the next five years in spite of the recent gas finds in the country, as a result of which the gap between demand and supply of fertiliser in the country will widen significantly.
As per government data, in 2003-04, there will be a shortage of 32 lakh metric tonne of urea and 11 lakh metric tonne of di-ammonium phosphate (DAP) in case of a 90 per cent capacity utilisation.
The shortage will touch 10 lakh metric tonnes of urea and 3 lakh metric tonnes of DAP in 2003-04 with 100 per cent capacity utilisation.
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Similarly in 2004-05, there will be a deficiency of 38 lakh metric tonne of urea and 16 lakh tonne of di-ammonium phosphate with a 90 per cent capacity utilisation owing to non availability of natural gas.
In case of 100 per cent capacity utilisation, the figure is expected to touch 17 lakh metric tonnes for urea and 8 lakh metric tonne for DAP during the same period.