ACME group arm seeks ICAR’s nod for pilot project of ‘green ammonia’ backed fertiliser as alternative to urea

Aqueous ammonia offers 60-65 per cent nitrogen use efficiency (NUE), doubled that of urea and anhydrous ammonia delivers 82 per cent of nitrogen
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Amid reports of shortages of urea, a unit of the ACME Group has sought the approval of the Indian Council of Agricultural Research (ICAR) for a collaborative pilot programme to validate the use of “anhydrous and aqueous ammonia, backed with green ammonia,” as an efficient, environment-friendly alternative fertilizer to conventional urea.

Even as the product waits validation by ICAR for its commercial use in India, ACME is said to have signed agreement with a group company of Yara International to export the green ammonia to Europe from its Oman-based plant, sources said.

ICAR’s director general M L Jat confirmed the proposal of ACME. “It is under process,” he said. Sources said since the natural resource management (NRM) division has already approved the pilot proposal, ICAR should clear it at the earliest. ACME will bear the cost of funding while it needs ICAR’s help in trial execution and scientific monitoring, crop R&D and farmers engagement.

Facilitating change

ACME Cleantech Solutions’ vice-chairman Sashi Shekhar said that since it requires an investment of ₹13,000 crore to ₹15,000 crore to set up a plant of 1,200 tonnes per day capacity, the company will wait till ICAR’s clearance and it may take two seasons.

“We are ready to start the trial from next rabi season if it is approved now and to start production another 3 years may be required after the government approval,” Shekha said. The Agriculture Ministry will make necessary changes in the Fertiliser Control Order, paving the way for its application by farmers on the field, only after ICAR validates the green ammonia, sources said.

ACME has been setting up green ammonia plants in Odisha, which will be totally export-oriented.

The annual sales of urea, the main source of nitrogen, in the country was 38.8 million tonnes (mt) in 2024-25. India imports about 22 mt of natural gas at a cost of over ₹1 lakh crore to make urea. Further, it imports over 4 mt of ammonia directly to make complex fertilizer. Last year, urea import was 5.65 mt.

Immense benefits

According to ACME’s proposal, aqueous ammonia offers 60-65 per cent nitrogen use efficiency (NUE), doubled that of urea and anhydrous ammonia delivers 82 per cent of nitrogen. Currently, the urea bag has 46 per cent nitrogen and green ammonia’s adoption may significantly reduce use of fertiliser in terms of volume. It also reduces nitrate leaching, improves soil microbial diversity and long-term fertility provided it has been optimised as per crop and agro-climatic conditions.

Anhydrous ammonia is said to have been extensively used in north America, Brazil and China for crops like wheat, paddy, maize, sugarcane, and horticultural crops. But ICAR needs to develop crop wise ammonia (NH3) dosage for optimisation of the product, application method, provide training on safety and handling measures.

“We seek ICAR’s technical leadership in trial execution and scientific monitoring, crop R&D and farmers engagement whereas ACME will provide green ammonia and technical support,” Shekhar said.

Published on July 21, 2025