IFFCO signs MoU with Sikkim govt for organic food JV; to invest Rs 200 crore

New Delhi: Fertiliser major Indian Farmers Fertiliser Cooperative (IFFCO), has announced signing of MoU with Government of Sikkim to explore business opportunities in organic value chain.

Basis the MoU, a joint venture - “Sikkim IFFCO Organics Limited” (Sikkim-IFFCO) will be established. IFFCO will hold majority stake of 51 percent equity and the Govt. of Sikkim will hold 49 percent equity in SIKKIM-IFFCO.

The initial investment for the project will be around INR 200 Crore, which will be increased to INR 500 Crore in phases.

IFFCO also announced acquisition of 50 percent shareholding in Aquagri Processing Private Ltd., who are the pioneers in seaweed cultivation and processing in India, for Rs 11 Crores through its wholly owned subsidiary IFFCO eBazar Ltd.

Aquagri has the potential of creating employment opportunities in agriculture, animal husbandry and fishing.

“We always focus on better quality products & value addition for the farmers produce and off course better competitive prices for the consumers. We want to focus on Bio-Fertilizers & Bio-Pesticides along with organic product range,” US Awasthi, Managing Director, IFFCO said.

“SAGARIKA”, a key brand developed jointly by IFFCO & Aquagri, was formally launched recently. Sagarika is an organic bio-stimulant derived from red and brown seaweeds, which enhances crop productivity and provides resistance against stress. It is available in both liquid and granular variants. The initial response of the farmers for these products is very positive and encouraging.

IFFCO would soon be introducing a range of organic and non-chemical based products for crop nutrition as well as protection while targeting both the farmers as well as the enthusiastic home garden segment. These products will leverage seaweeds, fresh waterweeds, bio actives using bio-refinery approach to create multiple products by use of the same biomass.

Industrial level mass production & packaging of this product range will be undertaken by Sikkim-IFFCO in Sikkim and this facility will cater to the organic input requirements of the entire northeastern region, which as per the stated intention of the government, is going to be the mega organic agricultural zone. IFFCO will also explore sourcing of organic produce including flowers & herbs from the region and will make them available to various companies Pan-India.

To make these products available to the north eastern farmers, IFFCO will also be opening at least two IFFCO e-Bazar centers in each of the seven-sister states.

IFFCO plans to sell around 20 Lakh Liters of Sagarika Liquid and 20,000 MT of Sagarika granules in 2018-19.”