Fouji Fertilizer

EXECUTIVE SUMMARY

FFC known as Fauji Fertilizer Company was incorporated in 1978 as a private limited company which had a vision of self sufficiency in fertilizer industry in the country. This was a joint venture between HALDOR TOPSOE A/S of Denmark and fauji foundation of Pakistan which is a charitable trust.

The initial authorized capital of the firm was Rupees 813.9 Million where as the present share capital of FFC is 3.0 Billion Rupees. This company also has Rupees 1.0 Billion stakes in its subsidiary Fauji Fertilizer Bin Qasim Limited, Karachi.

FFC started the commercial production of urea in 1982 with the annual capacity of 570,000 metric tons. The production capacity of the existing plant was increased and raised to 695,000 metric tons per year through De- Bottle Neck Program, (DBN).

The company had enhanced its production capacity by establishing a second plant with annual capacity of 635,000 metric tons per year in 1993.

With participation of major international and national institutions, FFC participated as major shareholders in a new DAP/urea manufacturing plant. The new company of FFC, FFBL commenced their commercial production from January 01, 2000 which was designed to produce 551,000 metric tons of Urea and 445,000 metric tons of DAP. This excellent performance was due to hard work and dedication of all employees and the progressive approach and support from the top management.

In the year 2002, FFC acquired Ex-Pak Saudi Fertilizer Limited known as PSFL urea plant from National Fertilizer Corporation (NFC) by the privatization process of the Government of Pakistan  which is situated at Mirpur Mathelo, District Ghotki.

This acquisition at Rupees 8,151 Million shows one of the largest industrial transactions in Pakistan.

FFC has divided the whole Pakistan into different sales regions which are further subdivided in sales districts having a direct link with the dealers of the fertilizers which makes the distribution of the fertilizer easy in every regions of the Pakistan. FFC kept all records of the dealers and also of its own contractors in order to make the distribution of the fertilizer according to their allocated orders.

The products of FFC are:

• Sona Urea (P & G)
• Sona DAP
• FFC SOP
• FFC DAP

This project has developed a good understanding of the marketing practices of FFC in Pakistan. My experience was not only confined to process flow of the fertilizer but it was broadly focuses on process control and operating logistics.

FAUJI FERTILIZERS

INTRODUCTION

HISTORY

FFC known as Fauji Fertilizer Company was incorporated in 1978 as a private limited company which had a vision of self sufficiency in fertilizer industry in the country. This was a joint venture between HALDOR TOPSOE A/S of Denmark and fauji foundation of Pakistan which is a charitable trust.

The initial authorized capital of the firm was Rupees 813.9 Million where as the present share capital of FFC is 3.0 Billion Rupees. This company also has Rupees 1.0 Billion stakes in its subsidiary Fauji Fertilizer Bin Qasim Limited, Karachi.