CPI(M) Ernakulam Secretary S. Sathish has slammed the State government and MP Hibi Eden for failing to address the financial crisis at FACT. He emphasized the potential threat to national food security.

Key Takeaways

  • CPI(M) leader S. Sathish accuses authorities of 'criminal silence' regarding FACT.
  • Financial pressure is mounting due to rising raw material costs like sulphur and phosphoric acid.
  • MP Hibi Eden defends his record, citing parliamentary queries on the matter.
  • Call for urgent release of fertilizer subsidies and approval of ₹6,350-crore expansion.

The Fertilisers and Chemicals Travancore (FACT), India's pioneering public sector fertilizer manufacturer, is currently embroiled in a severe financial crisis. S. Sathish, the CPI(M) Ernakulam district secretary, has leveled serious allegations against both the Kerala State government and Ernakulam MP Hibi Eden, accusing them of failing to protect the institution.

Sathish criticized the Congress MP for maintaining what he termed a "criminal silence" regarding Central Public Sector Undertakings (PSUs) within his constituency. He pointed to the closure of Hindustan Insecticides Limited at Eloor and ongoing labor issues at Hindustan Machine Tools as evidence of a pattern of inaction by leadership to exert pressure on the Central government.

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Why This Matters

BozokMedia analysis shows that FACT is a cornerstone of India's agricultural stability. Producing over 1.14 million tonnes of fertilizers in the last financial year, the company provides livelihood to over 3,000 people. The rising costs of critical raw materials, such as sulphur and phosphoric acid, have placed the company in a precarious position, threatening its ability to contribute to national food security and fertilizer self-sufficiency.

The financial decline of a strategic asset like FACT could have cascading effects on both regional employment and national agricultural stability.

The CPI(M) leader has urged the Union government to release fertilizer subsidies promptly and clear all pending dues. Furthermore, there is an urgent call for the Central government to approve FACT's ₹6,350-crore expansion project, which is designed to boost production capacity and revenue generation.

The MP's Rebuttal

In response to the allegations, MP Hibi Eden asserted that he has actively raised FACT-related issues in Parliament. He highlighted his recent inquiries to the Minister for Chemicals and Fertilisers, J.P. Nadda, regarding the absence of a full-time Chairman and Managing Director, and the progress of the promised nano urea plant.

Did You Know?: FACT was India's first public sector fertilizer manufacturer, marking a milestone in the country's industrial history.

Frequently Asked Questions

1. What is causing the financial strain on FACT?
The primary drivers are the sharp increase in the prices of raw materials like sulphur and phosphoric acid, alongside delays in central subsidies.

2. What has MP Hibi Eden done about the issue?
The MP stated he has raised the issues of management vacancies and the nano urea plant in Parliament to seek government intervention.