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The Indian Institute of Planning and Management PROJECT ON PRODUCTION & OPERATIONS MANAGEMENT AT IFFCO-KANDLA SUBMITTED TO Prof. A.B. Raju SUBMITTED BY: Production Management

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Page 1: Iffco Pom Final[1]

The Indian Institute of Planning and Management

PROJECT ON

PRODUCTION & OPERATIONS

MANAGEMENTAT

IFFCO-KANDLA

SUBMITTED TO

Prof. A.B. Raju

SUBMITTED BY:

Mahesh NakhwaniPGP/FW/07-09/Sec A

Production Management

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The Indian Institute of Planning and Management

EXECUTIVE SUMMARY

IFFCO (Indian Farmers Fertilizers Co-operatives Limited) is a major player in India’s fertilizer industry and is a key contributor to the efforts of the Indian government to increase food grain production in the country. IFFCO emerged as pioneering venture on the horizon of fertilizer production and marketing with the objective of attaining self efficiency in food grain production.

Production and Operations management consists of “the direction and control of the processes that transform inputs into products and services”.

The project consists of a study on the basic raw material requirements, the production process, quality management of the raw material as well as the finished products, storage and bagging processes and at last marketing and dispatch.

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The Indian Institute of Planning and Management

Table of Contents

Sr No.

Particular PageNo.

1 Executive Summary 22 Introduction to IFFCO 4

3 Introduction to IFFCO Kandla 6 4 IFFCO Kandla-Location Benefits 7

5 Layout 9

6 Production Planning & Control 10 6 Raw Materials 11 7 Offsite Facilities 13

8 Utilities 15 9 Process Description 18 10 Maintenance System 22 11 Quality Management 24

12 Production Output 27 13 Product Storage and Bagging 28

14 Marketing and Dispatch 30 15 Bibliography 33

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The Indian Institute of Planning and Management

INTRODUCTION TO IFFCO

IFFCO: A CO-OPERATIVE IN TRUE SPIRIT

Brief:

IFFCO – Indian Farmers Fertilizers Cooperative Limited was established on 3rd November 1967 with a modest membership of 57 cooperative societies. IFFCO’s core objective was to produce and make available the best quality Fertilisers to the Indian farmers in order to make the country self sufficient in agricultural production. IFFCO’s share capital, which stood at Rs. 6 lakhs during its inception, has risen to a whopping share capital of Rs. 421.08 crores.

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The Indian Institute of Planning and Management

Initially, IFFCO set up its plants at Kalol and Kandla in Gujarat which were commissioned in 1975. Subsequently, it commissioned plants at Phulpur and Aonla in U.P. in the year 1981 and 1988 respectively. Recently IFFCO has acquired an NPK/DAP and Phosphoric acid facility at Paradeep in Orrisa. In addition to this, IFFCO has entered the international market with its venture of ICS Senegal, Qeshm Project (Iran), Indo Egypt Fertiliser Co. and OMIFCO. OMIFCO is IFFCO’s latest venture into the international market and is the result of IFFCO’s agreement with Oman Oil Company (OOC) for Nitrogenous fertiliser project.

During the year IFFCO produced 61.54 lakh tones fertiliser material registering overall capacity utilization of 101 % for nitrogenous and 114 % for Phosphatic fertiliser. It contributed 18.3 % of country’s total nitrogenous fertiliser production and 23.5 % of total Phosphatic fertiliser production in the same period.

One thing inevitable to be mentioned is that IFFCO is an ISO 14001 certified company.

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The Indian Institute of Planning and Management

INTRODUCTION TO IFFCO - KANDLA

IFFCO’s plant at Kandla was built at a cost of about of Rs. 30 crores with two streams having a licensed capacity of 127,000 tons of P2O5. This plant was designed and installed by M/S. Dorr Oliyer Ind. The plant was commissioned on 26th November 1974 and commercial production was started on 1st January 1975. With an increased demand for complex fertiliser, the capacity was doubled by expanding at a cost of Rs. 28.8 crores. Two more streams have been

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The Indian Institute of Planning and Managementadded with the license capacity increasing from 127,000 MT P2O5 per annum to 260,000 MT P2O5 per annum.

IFFCO’s plant at Kandla is located on the water front adjacent to Kandla Port Trust’s oil jetty. The Kandla plant produces NPK 1, NPK 2 and DAP types of phosphoric fertilisers having grades of 10 : 26 : 26, 12 : 32 : 16 and 18 : 46 : 00 respectively in terms of N : P2O5 : K2O.

Present annual production capacity of plant:

Grade 10:26:26 501900 MTGrade 12:32:16 589100 MTGrade 18:46:00 1100062 MT

Total Bulk 2191062 MTP2O5 output 825035 MT

Kandla-ISO 14001

Kandla unit initiated the process of obtaining ISO 14001 certification. National Productivity Council was the consultants for the same. M/S BVQI is the auditors. The final audit for assessment of issue of certificate was carried out and:

IFFCO Kandla has been certified as Environmental Standards ISO 14001:1996 company by M/S BVQI for the operational scope of "Manufacture of DAP and NPK Fertilisers" with effect from 27th Nov'2000.

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The Indian Institute of Planning and Management

IFFCO KANDLA – LOCATION BENEFITS

State : Gujarat, IndiaState Capital : GandhinagarDistrict : KachchhDistance from New Delhi : Approx. 1100 kilometers by railDistance from Mumbai : Approx. 800 kilometers by railNearest Sea Port : Kandla PortNearest Airport : Kandla AirportRailway Station : Gandhidham (12 KM from plant and 3 KM from IFFCO Township) Road adjacent to Kandla Port Trust is National Highway 8-A; 365 KM from Ahmedabad.Area under plant : 70.61 HectaresTemperature (oC) : 47 (max) in summer to 7 (min) in WinterAddress : IFFCO, Kandla Unit, Post Box no. 12,

Gandhidham–370201, Kandla, (Kachchh), Gujarat-India.

As far as location is concerned, the location of IFFCO KANDLA is most beneficial in reducing its costs. The following factors help them in reducing costs.

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The Indian Institute of Planning and Management

Transport Facilities :

Via Rail :

Easy accessibility to the services of Western Railway which has a vast network through out the country, enables IFFCO Kandla procure raw materials from different parts of the country as well as dispatch its final product to the same.

Via Road :

The well established road transport facility enables IFFCO Kandla to transport its good through out the state in an efficient manner.

Via Sea :

Proximity to one of the major ports of the country enables IFFCO to get its imported raw materials in an efficient and hassle free manner.

Favourable Labour Climate:

A favourable labour climate is the most important factor in location decisions. Labour climate is a function of wage rate, training requirements, attitude towards work, worker productivity and union strength, which is practiced at IFFCO – Kandla.

Other Factors:

Other important factors that may emerge includes utility cost (energy and water etc.), land cost, room for expansion, construction cost, cost of shuffling people and materials between plants.

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The Indian Institute of Planning and Management

LAYOUT

The plant layout at IFFCO – Kandla is the “Hybrid” type of layout. It is a combination of the process and product layout because some portion of the facility at IFFCO – Kandla are arranged in a process layout and others are arranged in a product layout. The plant is divided into 5 floors. The different floors are divided as under:

Ground Floor – Combustion Chamber Primary Product Elevator Secondary Product Elevator

First Floor – Fine Conveyors Quench Air Fan

Second Floor – Pulverizer Oversized Pulverizer

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The Indian Institute of Planning and Management Raw material bins (Urea, Potash, Filler, MAP)

Dryer Product Cooler

Third Floor – Granulator Cooler Feed Conveyor

Fourth Floor – Vibrating Screens Cooler Fans

Fifth Floor – SDF (Screen Drag Feeder) Dust Fans Cyclones

PRODUCTION PLANNING & CONTROL

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The Indian Institute of Planning and Management

Forecast demand

Bill Of Materials

Check Inventory

Capacity Plan

Material Plan

Purchase Requisition

Production order

Calculati on of Schedule

Issue of Tender

Production Process

Bagging StorageDispatch

The demand forecasting for IFFCO-KANDLA is done by its head office. The head office has a vendor list from which it sends raw material

requisition to the vendors. These in turn send tenders to the company and the company selects those vendors who quote the lowest prices, with quality material and with a quick delivery time. And one thing to

be mentioned here is that the whole process is so transparent that there are very less probability of manipulation in the company. IFFCO

has a lead time of 3 months.

If the raw materials received are not be able to meet company’s expectations, then the materials are returned back to the vendor and if this happens frequently the vendor is blacklisted.

IFFCO has a continuous process so as soon as it receives the raw material, they immediately start their production.

RAW MATERIALS

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The Indian Institute of Planning and Management

Raw Materials required for the production of phosphoric fertilizers:

NPK GRADE 1 (10: 26:26) & NPK GRADE 2 (12:32:16):

i. Phosphoric Acid (P2O5)ii. Ammonia (NH3)iii. Urea (NH2CHNH2)iv. Potassium Chloride ( Kcl )v. Filler

DAP:

i. Phosphoric Acid (P2O5)ii. Ammonia (NH3)iii. Ureaiv. Filler

Raw Material Imports: Name of Raw Material Supplier Country

Ammonia OMIFCO (Gulf)

Potash Russia, Israel, Jordan

Phosphoric Acid Senegal, Tunisia, Egypt

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The Indian Institute of Planning and Management

Raw material consumption:

Input Grade -1 Grade-2 Grade-3

P2O5 0.274 MT 0.377 MT 0.454 MT

NH3 0.121 MT 0.142 MT 0.225 MT

UREA 0.019 MT 0.027 MT 0.029 MT

Kcl 0.457 MT 0.281 MT -

FILLER 0.022 MT 0.061 MT 0.07 MT

Bill of Material:

Raw Material per ton product

NPK 1 NPK 2 DAPAcid 5.20 lpm 6.00 lpm 9.00 lpmAmmonia 3.14 lpm 3.77 lpm 5.27 lpmPotash 0.45 tph 0.28 tph -Water 0.42 klph 0.41 klph 0.65 klphFuel Oil 3.00 kl 3.00 kl 3.00 kl

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The Indian Institute of Planning and Management

OFFSITE FACILITIES

AMMONIA STORAGE:

Ammonia storage facility consists of two Horton spheres each having a storage capacity of 1500 MT of anhydrous liquid ammonia stored at a temperature of 0 degree centigrade and at 3.5 kg per square cm G pressure. Liquid ammonia received in rail tankers of 32 MT capacities each is unloaded in Horton spheres. Vapour generated during the tankers unloading is directly consumed in the process plant.

Atmospheric ammonia storage facility consists of three double wall double integrity design storage tanks having capacities of 5000 MT, 10000 MT and 15000 MT at a temperature of -32 degree centigrade and atmospheric pressure. Imported ammonia received in ships is unloaded into the atmospheric storage tanks through an unloading line from the jetty to the tanks.

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The Indian Institute of Planning and ManagementPOTASH, UREA AND FILLER STORAGE & HANDLING:

Imported potash in the form of crystalline potassium chloride

is received in trucks and stored in a covered storage area which has a capacity to store 80,000 MT.

Urea and filler is stored in covered storage area consisting of six bins, with trucks directly unloading into the bins, having a total capacity of 30000 MT.

At Kandla phase – II plant a separate covered storage facility is constructed to store urea, filler and potash. Half of the storage area is for potash while there are 4 bins for storage of urea and filler. The total storage capacity is 8500 MT.

PHOSPHORIC ACID HANDLING AND STORAGE :

Phosphoric acid is stored in 8 vertical cylindrical rubber lined steel tanks having dimensions of 28 meters X 10.30 meters ( dia X height) each having a capacity to store 10000 MT of wet process phosphoric acid having around 54 % P2O5 content. Imported phosphoric acid received in ships is pumped from the ship to all the storage tanks through an unloading line. Two of these storage tanks are located at the Kandla phase 2 plant. Each of the pairs of processed plants A & B, C & D and E & F are having day tanks of capacity 1350 MT for storage of phosphoric acid at the plant battery limit.

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The Indian Institute of Planning and Management

UTILITIES

PLANT AND INSTRUMENT AIR:

There are a total of four air compressors catering to both plant air and instrument air requirements. There are two stages, non lubricated, water cooled reciprocating compressors each having a capacity of 727 CFM at 7 Kg/sq. cm. G pressure, three are of Khosla make while the fourth is of Chicago make. One Khosla air compressor of 735 CFM capacity at 1.5 Kg/sq.cm pressure is installed at the Kandla phase 2 plant to cater to atomizing air requirement of combustion chamber burner.

ELECTRICITY:

Electricity is purchased from Gujarat Electricity Board (GEB), through a double circuit 66 KV line from GEB, Anjar. The 132 KV line from Dhuvaran is tapped at Wankaner and two 220 KV lines from Mehsana feed power to Anjar substation. The same line has been tapped at Anjar substation where it is stepped down to 66 KV and a double circuit direct line feeds IFFCO Kandla plant. In addition to this facility, IFFCO Kandla has emergency power DG set of 800 KVA

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The Indian Institute of Planning and Managementcapacities (0.8 PF) 415 V AC. The contracted demand of the plant is 14 MVA. Major electrical facilities includes 66/3.3 KV outdoor substation, 3.3 KV/415 v substation, 415 V load centers and motor control centers. A separate captive power unit consisting of 3 DG set of 1 MVA each is available to cater to sustenance load of plant during prolonged power failures.

FUEL OIL:

There are total of three vertical cylindrical fuel oil storage tanks having capacities of 1200 KL, 391 KL and 250 KL with unloading and pumping facilities. The 250 KL storage tank is located at the Kandla phase 2 plant. Three day tanks are provided at the boilers for storage of fuel oil used for steam generation.

WATER :

Water is supplied by Gujarat Water Supply and Sewerage Board (GWSSB), through a 12 inch MS pipeline and is stored in three tanks out of which two are MS tanks of 5000 KL capacity each and one is an RCC tank of 1500 KL capacity. Total storage capacity is about 11500 KL out of which minimum 1600 KL is kept spare for fire fighting purposes.

STEAM GENERATION PLANT :

Steam is generated at a pressure of 10.5 Kg/sq.cm G and is in saturated condition. Three boilers are available of type three pass, smoke tube package boilers. They are of IAEC, NESTLER and THERMAX make having rated capacity as 10 MTPH, 6 MTPH and 16 MTPH respectively at feed water temperature of 100 degree centigrade. Feed water for the boilers is generated in a water treatment plant of 20 cu. Mtrs per hour capacity consisting of a single stream of softener unit, cation exchanger and degasser tower. De-aerated boiler feed water is stored in two horizontal cylindrical tanks.

PRODUCT STORAGE AND BAGGING:

Two covered storage silos for product storage are available, one for Kandla phase 1 plant and the other for Kandla phase 2 plant. Each of these silos has a storage capacity of 30000 MT. The Kandla phase 1 silo is divided into 4 equal compartments, while half of the Kandla phase 2 silo is 1 compartment and the other half is divided into two

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The Indian Institute of Planning and Managementequal compartments. The three fertilizers grades are stored in separate compartments.

The bagging plant has a total of 14 slat conveyors. Each of them are fitted with two micro processor based semi automatic weighing machine and one stitching machine. Thirteen of them are some are semi automatic weighing machines, each capable of weighing and stitching at the rate of 900 bags per hour, one is a fully automatic weighing and bagging machine with the bag placer having the capacity of 1200 bags per hour.

Covered space has been provided for storing more than 3 million empty bags in the bagging plant. The covered loading platform area can be used for stacking more than 5000 MT of bagged product. Bagged product is dispatched by road within the states of Gujarat and Rajasthan and by railway wagons to various destinations of our country.

LIQUID CARGO JETTY:

IFFCO has constructed its captive liquid cargo jetty at Kandla port for berthing of ships carrying the imported raw materials, phosphoric acid and ammonia. The overall length of the jetty is 110 meters and width is 12 meters. It has a capacity of unloading 2 million MT per annum of liquid cargo.

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The Indian Institute of Planning and Management

Raw Materials and Utilities Consumption

Year

P2O5

MT

Urea

MT

Potash

MT

Ammonia

MT

Filler

MT

MAP/EBP

MT

FurnaceOil

KL

Power

MWH

Water

KL2000-01

659273.18

66312.626

254101.644

284003.553

119641.050

31253.980

12793.000

69835.320

276982.230

2001-02

775707.525

37890.990

328552.389

351070.698

91621.035

41929.861

14682.981

77023.440

392062.140

2002-03

931084.715

63088.297

288353.680

412780.482

79722.900

43788.505

14809.068

80899.920

360731.450

2003-04

839936.861

49556.931

275209.163

374535.221

77425.800

512.559 14371.740

76744.440

320539.961

2004-05

952216.039

67315.129

382800.465

414608.883

85890.600

- 14659.924

86523.300

365899.747

PROCESS DESCRIPTION

NPK GRADE 1:

Kandla phase 1 consists of four identical streams with common raw material, product handling, product storage and bagging facilities. The manufacturing process takes place with conventional slurry granulation process which consists of ammonization of slurry with 1:4 mole ratios with the help of vertical agitated vessel known as PN tank. About 70% of total requirement end into tank and 30% of it feed as a scrubbing medium to bring nutrient back to the system.

The exothermic reaction taking place between ammonia and phosphoric acid, which becomes slurry containing about 18-20% of water is fed in granulator. If any further ammonization is needed it can be satisfied with the help of extra supply of ammonia or urea. Here mole ratio maintained is about of 1:80 along with addition of raw material mainly available according to grade to be produced. The addition of potash, filler and recycle material is carried out at this stage only.

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The Indian Institute of Planning and ManagementThe granulator discharge has about 2.5% of moisture which is

sent further for drying operation. The discharge is of dryer, getting dried with the help of co-current flow of hot air resulting from combustion of furnace oil. The dried material discharge is elevated with the bucket type elevator and fed into double deck vibrating screen. The screen separates the oversize and undersize products. The oversize product is further crushed in pulverizers and then sent to the granulator. This product is taken to the cooler where temperature is brought down with the help of counter current flow of air.

The discharge from cooler over common product conveyor carries the product from all steams to storage silos. Steam is generated at boiler plant. Steam is used for flushing pipelines, vessels and slurry nozzle of granulator.

The scrubbing system is distributed in four areas. Fumes scrubber. Dryer scrubber. Cooler scrubber. Dust scrubber.

The first three are venturi cyclonic type. Scrubber liquor supplemented by fresh phosphoric acid feed is circulated by pumps in all the scrubbers except the cooler scrubber where only water is circulated. Dust laden air from the dryer, cooler and other equipments pass through cyclones where a major portion of the dust is separated before being scrubbed in the respective scrubbers.

Fumes from the preneutraliser and granulator are scrubbed in the fumes scrubber. Each scrubber is provided with a fan for creating the required draft. The scrubbed gases are let out into the atmosphere through a common stack. Unreacted ammonia is collected from granulator which is scrubbed with liquor, and liquor is further sent to the vessel.

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NPK GRADE 2:

First of all, slurry is prepared directly into pipe reactor instead P.N. tank as NPK 1. In this pipe reactor there is mixing of H3PO4

(Ortho Phosphoric acid) and NH3 (Ammonia) taking place. The NH3 is spread at 7 Kg / Cu.Cm from main pipeline. Here in this case MAP (Mono Ammonium Phosphate) is produced in granulator.

The mixture from pipe reactor is spread into granulator and also the raw material like Urea, Filler, and Potash added with the feed quantity in such a way that the percentage moisture in the granulator must be 3 %. Here the moisture should be maintained at 3 % because if the moisture content is higher than 3 % then there is a chance of the material getting choked in the granulator. In the granulator, small granules of MAP is produced which further comes into the pipe reactor, which contains NH3 spread at 7 Kg / Sq.Cm. pressure. Since the DAP produced in pipe reactor is wet in nature, it is sent to the dryer.

Now the product from the dryer is sent to the primary elevator from which the product goes to V – shapes screen. In this screen there are three particles:

Oversize Product size and Undersize

Product size particles are those having size of about 3 to 4 mm. While the oversized is sent to the crusher, the undersized is directly sent to the fine conveyor from where it is further recycled in the granulator and the product from the screen is sent to the hopper from where it comes to the cooler. From the cooler the product goes into the product elevator and then 102 conveyors take them to bagging.

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MAINTENANCE SYSTEM:

This system keeps check on preventive maintenance as well as mechanical maintenance. Checks are done frequently to know whether any machine requires maintenance before it breaks down. It takes vibration reading of various machines. It also prepares performance reports of various machines. This system automatically highlights vibration reading exceeding 100 microns & on that management can know which machine or parts need to be repaired. So this system helps the management to save the machine from major break down & also helps to reduce the machine undue cost. Thus this system helps in enabling a smooth production process.

For this purpose, IFFCO has recently developed new software named DCS (Distributed Control System).

There are a host of other allied benefits, such as: a) More efficient Plant operation through better control of operating variables.

b) Safer Plant operation by minimizing human error.

c) Better accessibility to Plant data on MIS for quicker decision making.

d) Elimination of faulty tripping of Plants.

Due to this system, IFFCO can easily keep check on speed, accuracy, variations and any faulty process during the production process.

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QUALITY MANAGEMENT

Laboratory is another important section where the raw material as well as the final product is brought to check whether it is up to the mark or not. Laboratory is divided into six different sections which are as follows:

Raw Material Section Sampling SectionAuto Analysis SectionWater Testing SectionBags Testing Section EPC Section

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HOT SECTION

In this section all the work related to heat or creating heat is being done. Usually the work done here is testing of raw material and quality of raw material.

SAMPLING SECTION

After the product is produced, it is brought to this section from the production unit. Here the product which is brought after each and every hour is the granulated product. The sample brought is approximately of 1 kg weight. Then the sample is divided in two equal parts and is ground into a mixture. The powder is then diluted with acid to a make a solution. This solution is taken to the auto sampling room

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AUTO ANALYZER SECTION

This section is fully automatic and computerized. In this section the solution made in the sampling section is brought every hour and analyzed on auto passed analyzer where the sample analysis of the product NPK is automatically divided into 4 parts i.e. N (Nitrogen), P (Phosphoric Acid), K (Potash) and urea. As the auto analyzer is connected to computer, the result can be seen on the computer monitor and accordingly the percentage of the sample is matched to the standard percentage that is :

Grade 1 : 10 : 26 : 26Grade 2 : 12 : 32 : 16DAP : 18 : 46 : 00

The result is also monitored on the computer installed in the production unit and if any difference is seen in the percentage of the materials used, then accordingly the changes are made in those materials.

WATER TESTING SECTION

In this section, the water is brought for testing after its demineralization (the water is dematerialized in the offsite section). If the water contains any chloride in it, it is sent for mineralization as chlorine water may not be useful in the boilers.

BAG TESTING SECTION

Bags testing section: Here the NPK, DAP and Urea are brought for checking its quality before going to the bagging department.

The checking is done in terms of:

1. No. of stitches in 1 Sq. inch 2. Length and width according to the weight 3. End stitches4. Thickness

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The Indian Institute of Planning and Management5. Breaking strength etc.

EPC SECTION (Environment Pollution Control Section):

IFFCO Kandla’s philosophy is to prevent pollutant discharge into environment rather than to control after discharge. This is based on the fact that it is not the pollutant that causes the pollution but it is their effects which causes the pollution. Hence Kandla plant adjusts its plant operation with proper instrumentation to process parameters to achieve pollution prevention. Hence IFFCO believes in spending to prevent pollution rather than to install treatment units.

- Gases and dust from dryer and various equipments are sucked by dryer fans through a cyclone to a Venturi scrubber.- Dust laden gases from product cooler are being scrubbed in cooler scrubber which is a cylindrical scrubber with spray nozzles.-The gases are discharged from the fan to the main stack after scrubbing liquor is drained and further it is retuned to the scrubber effluent tank. -There is no liquid effluent discharge from the plant as it is decide on zero effluent discharge due to negative water balance.

BULK PRODUCTION OUTPUT (MT)

Year NPK 110:26:26

NPK 212:32:16

DAP18:46:00

Total

2000-01 300350 422650 980100 17031002001-02 401250 528850 1129900 20600002002-03 279750 579950 1501900 23616002003-04 232050 622450 1246000 21005002004-05 386600 762600 2190900 24401002005-06 501900 589100 1100062 2191062

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The Indian Institute of Planning and ManagementTotal 1299650 2916500 6148800 10665300

During the year IFFCO produced 64.34 lakh tons fertiliser material registering overall capacity utilization of 101 percent for nitrogenous and 114 percent for phosphatic fertilizer. It contributed 18.4 percent of country’s total nitrogenous fertilizer production and 23.4 percent of total phosphatic fertilizer production in the same period. Plant productivity during the year stood at 1669 tons / person.

PRODUCT STORAGE & BAGGING PLANT

NPK bulk storage has 4 compartments with a total capacity of 30000 MT. This ensures continuous plant operation even when product cannot be dispatched due to non availability of wagons. The stored NPK is reclaimed with semiportable scrapper loader, screened / sieved and sent to the bagging plant.

Bagging plant is the terminus plant of Kandla complex. The bagging plant is having 16 automatic bagging machines each with a capacity of filling 950 bags per hour. Space has been provided for

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The Indian Institute of Planning and Managementstoring more than 3 million empty bags in the bagging plant and the covered platform can be used for stacking more than 5000 MT of bagged product. The filled bag is conveyed to the slat conveyors. At the end of the slat conveyors, stitching machine has been installed. The speed of the slat conveyors has been synchronized with the bag stitching speed of machines. Each machine can stitch bags containing 50 Kg of fertilizers at the speed of 950 bags per hour. The bagged product is dispatched by road within the state and by rail outside states all over the country.

Necessary dust collection equipment, consisting of dust fans, collectors etc is designed for reducing the emission of dust in the bagging plant.

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MARKETING AND DISPATCH

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The Indian Institute of Planning and ManagementIFFCO’s Central Marketing sets the production target for all

individual plants and further these plants dispatch their finished goods to the state owned bodies all over the country which is segregated into five zones:

Production Management

WEST ZONE

(BHOPAL)

SOUTH ZONE

(BANGLORE)

NORTH CENTRAL

ZONE(LUKHNOW

)

EAST ZONE

(KOLKATTA)

NORTH ZONE

(CHANDIGARH)

CENTRALMARKETING

OFFICE

34

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DISPATCH DATA (MT)

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NORTH CENTRAL ZONE : BIHAR, U.P., JHARKHAND,

UTTARANCHAL

NORTH ZONE : PUNJAB, HARYANA, J & K RAJASTHAN, H.P.

SOUTH ZONE : AP, TN, KARNATAKA, KERALA

WEST ZONE : GUJARAT, M.P., MAHARASHTRA,

CHHATISHGARH

EAST ZONE : ASSAM, ORISSA, WEST BENGAL

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The Indian Institute of Planning and ManagementYear NPK 1

10:26:26NPK 212:32:16

DAP18:46:00

Total

2000-01 307376.152 419836.926 976013.264 1703226.342

2001-02 399052.805 525777.296 1135294.681 2060124.782

2002-03 280040.983 580958.310 1500565.153 2361564.446

2003-04 233646.934 623712.487 1246217.811 2103577.232

2004-05 381978.934 762600 2190900 2440100

2005-06 501900 589100 1100062 2191062

Total 2103995.808 3501985.019 8149052.909 12859654.802

Production Management 36

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The Indian Institute of Planning and Management

BIBLIOGRAPHY

www.iffco.nic.in

IFFCO SAHYOG

IFFCO MANUALS

Lee J Krajewski & Larry P Ritzman; “ Production and Operations Management” .

Production Management 37