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GAIL and KRIBHCO join forces on major Andhra Pradesh urea venture

State-owned gas major GAIL India and fertiliser cooperative KRIBHCO have signed a pact to jointly develop a urea manufacturing project in Andhra Pradesh valued at approximately $1.6 billion, marking a significant collaboration in India's fertiliser sector.

LSN India · 12 November 2026

GAIL and KRIBHCO join forces on major Andhra Pradesh urea venture

GAIL India Limited and KRIBHCO, one of the country's largest fertiliser cooperatives, have entered into an agreement to explore the establishment of a major urea production facility in Andhra Pradesh. The proposed project carries an estimated investment of $1.6 billion and aims to strengthen India's domestic urea manufacturing capacity.

KRIBHCO, a leading player in India's agricultural input industry, manufactures and markets urea alongside other essential crop nutrients. The cooperative has established itself as a key supplier of fertilisers to farmers across the nation. GAIL India, a central public sector undertaking, brings its expertise in gas-based feedstock and infrastructure capabilities to the partnership.

The collaboration between the two entities reflects India's strategic focus on enhancing self-sufficiency in fertiliser production. Urea, a critical nitrogen-based fertiliser, remains fundamental to agricultural productivity across India's farming regions. The Andhra Pradesh project is expected to leverage the state's industrial infrastructure and logistics advantages.

Details regarding the project's timeline, capacity specifications, and operational framework are anticipated to be finalized through subsequent phases of the partnership. The joint venture represents a convergence of cooperative sector expertise with state-owned enterprise capabilities in pursuing India's fertiliser security objectives.