Rama Phosphates Ltd

by 
Rama Phosphates Limited (RPL) is a reputed company, engaged in manufacturing of Phosphatic Fertilizers. Single Super Phosphate (SSP) is available in powder and granule form. Additionally, it is suitable for compound fertilizers like NPK.
Also produces various grades and fortified fertilizers like Boronated Single Super Phosphate (powder and granules).

The company also manufactures magnesium sulphate as a micronutrient. Products like Sulfuric Acid, Oleum and Labsa are produced in the Chemical Department.

Additionally, its oil division is engaged in soya oil extraction and manufacturing of lecithin as a value added product.

Key Highlights of Rama Phosphates Ltd (RPL)

Product Portfolio:

  1. Fertilizers:
    • Fortified Fertilizers: Zinacated & Boronated Single Super Phosphate (SSP) in both Powder and Granule form.
    • Mixed Fertilizers: Various grades of NPK.
    • Water-Soluble Complex Fertilizers.
    • Micronutrients: Magnesium Sulphate.
    • Other Products: Insecticides and Soil Conditioners.
  2. Chemicals:
    • Sulphuric Acid (98%).
    • Oleum (23%).
    • Linear Alkyl Benzene Sulphonic Acid (LABSA).
  3. Oil Division:
    • Soya Bean Crude Oil Extraction.
    • Soya De-Oiled Cake (DOC).
    • Soya Refined Edible Oil.
    • Lecithin Production.

Brands:

  • Sampurn Girnar, Sampurn Suryaphool, Girnar, Suryaphool.

Manufacturing Capacity: of Ram Phosphates Ltd

  • Facilities: Located in Pune & Dhule (Maharashtra), Indore (Madhya Pradesh), Udaipur & Nimbahera (Rajasthan).
  • Annual Production Capacities:
    • SSP: 6.98 lakh TPA
    • Sulphuric Acid: 211.10 lakh TPA
    • Soya Oil: 211.10 lakh TPA
  • The Indore and Pune plants manufacture Sulphuric Acid, a portion of which is utilized in-house, while excess steam from the Indore unit supports the oil division.

Capital Expenditure (Capex) Projects:

  • Upcoming Greenfield Project:
    • Location: Dhule, Maharashtra.
    • SSP Fertilizer Capacity: 2.16 lakh MT.
    • Chemical Derivatives Production: ~90,000 MT.
    • Estimated Investment: ₹50 crore, out of which ₹30 crore was spent by FY23.
    • Expected Completion: FY24-FY25.
    • Funding Plan: ₹25 crore term loan.

Revenue Distribution (FY23):

  • Product-wise Contribution:
    • SSP: 72%
    • Sulphuric Acid & Oleum: 13%
    • De-Oiled Cake (DOC): 9%
    • Solvent Oil: 5%
    • LABSA & Other/Trading Sales: 1%
  • Overall Revenue Breakdown:
    • Product Sales: 65%
    • Government Subsidies: 35%
  • Segment-wise Revenue:
    • Fertilizers, Micronutrients & Chemicals: 86%
    • Oil Division: 14%

Corporate Developments:

  • Exit from CDR & De-Pledging of Shares:
    • In FY23, working capital consortium lenders exited the Corporate Debt Restructuring (CDR) framework.
    • 41% of promoter shares (out of 51% pledged) were de-pledged.
  • Environmental Clearance & Expansion:
    • FY23: Received environmental clearance for the Dhule plant.
    • Commissioning activities are progressing as planned.
    • The project is expected to be operational by the end of FY24.

Future Growth Plans:

  1. Launch of Powder Phospho Gypsum in the market.
  2. Development of SSP Fortified with Zinc, Boron, and Magnesium.
  3. Installation of a New Drying Tower for improved efficiency.
  4. Construction of a 200 MT 98% Sulphuric Acid Storage Tank at the SSP plant.
  5. Implementation of automation technologies in the SSP plant, including weigh belt feeders, VFDs, control valves, and related systems for achieving 100% automation.

Leave a Comment