Hindustan Zinc’s Fertilizer Plant Set to Boost India’s Agri-Input Independence by FY27

Hindustan Zinc Ltd (HZL), a Vedanta Group company, is advancing its diversification strategy with the development of a state-of-the-art fertilizer plant in Chanderiya, Chittorgarh district, Rajasthan. The facility, designed to produce 510,000 tonnes per annum (TPA) of diammonium phosphate (DAP) and nitrogen-phosphorus-potassium (NPK) fertilizers, is expected to be operational by the fourth quarter of fiscal year 2026 (FY26).

Chairperson Priya Agarwal Hebbar highlighted this initiative in a recent letter to shareholders, emphasizing the company’s commitment to diversification and value addition. “We are entering the fertilizer segment with a DAP/NPK plant expected to become operational by FY27,” she stated. This move aligns with HZL’s strategy to expand its value-added products portfolio, which now contributes 22% to the company’s total business.

The fertilizer plant aims to address India’s reliance on imported fertilizers by utilizing sulphuric acid, a by-product of HZL’s zinc smelting operations, thereby promoting resource efficiency and environmental sustainability. This initiative not only supports the agricultural sector by providing essential nutrients but also enhances HZL’s operational margins through effective by-product utilization.

The project is part of HZL’s broader vision to double its metal production capacity to 2 million TPA by 2030, in response to India’s growing infrastructure and steel demands. Additionally, the company is exploring critical minerals like copper and lithium, reinforcing its commitment to supporting India’s mineral security and energy transition goals.

With the fertilizer plant’s commissioning on the horizon, Hindustan Zinc is poised to play a pivotal role in bolstering India’s agricultural input self-sufficiency while advancing its own growth and sustainability objectives.