Gujarat State Fertilizers & Chemicals Ltd (GSFC), a government of Gujarat promoted enterprise and one of India’s major integrated fertiliser and chemicals manufacturers, has invited expressions of interest (EoIs) from qualified Indian and international companies, consortia and investors to establish a joint venture (JV).
The proposed project aims to develop a green ammonia production facility with an annual capacity of 5,00,000 tons at GSFC’s Sikka Unit in Jamnagar, Gujarat. Through the initiative, the company intends to expand its green ammonia production capabilities and support the growing demand for low-carbon industrial chemicals in domestic and international markets.
Existing Infrastructure Offers a Strategic Advantage
GSFC’s Sikka Unit offers significant infrastructure advantages for the proposed green ammonia project. Unlike a greenfield development, the project can build on an established coastal industrial site with existing ammonia storage, handling and transportation facilities.
Key infrastructure assets include:
Dedicated jetty: Accommodates vessels of up to 33,000 deadweight tonnes (DWT), with a draft of 10.5 metres.
Refrigerated ammonia storage: The Sikka Shore Terminal (SST) has 30,000 tonnes of refrigerated ammonia storage capacity.
Pipeline connectivity: An existing pipeline spanning approximately 8–10 km connects the storage terminal to the plant.
Operational expertise: GSFC has decades of experience in ammonia handling, storage, synthesis and plant operations.
Expansion land: The site includes land identified for expansion, subject to applicable approvals and project requirements.
Together, these assets could help reduce infrastructure development requirements and accelerate project execution compared with a new facility, subject to technical assessments, investment decisions and regulatory clearances.
India’s Green Hydrogen Policies Support Project Development
India’s policy framework for green hydrogen and its derivatives provides an important foundation for green ammonia development. The Strategic Interventions for Green Hydrogen Transition (SIGHT) programme under the National Green Hydrogen Mission supports eligible projects through financial incentives, subject to the applicable scheme provisions and selection criteria.
Furthermore, international demand for low-carbon ammonia could create additional market opportunities. European climate policies, including the EU Carbon Border Adjustment Mechanism (CBAM), may influence the competitiveness of carbon-intensive industrial products and create incentives for lower-carbon alternatives, depending on the applicable product coverage and regulatory requirements.
With its coastal location and established export infrastructure, GSFC’s Sikka facility could serve customers in overseas markets, including Europe, Japan and South Korea, subject to commercial agreements and market requirements.
Green Ammonia to Support Domestic and Export Markets
GSFC has identified green ammonia as a strategic priority within a broader business transformation programme reviewed by its Board during 2025–2026. The programme targets green ammonia production capacity of 5,00,000 tons per year or more at Sikka. The proposed output could serve domestic industrial customers while also targeting international buyers seeking lower-carbon ammonia for industrial applications and energy-related uses. The project could strengthen GSFC’s position in the evolving green chemicals value chain as industries increasingly explore ways to reduce the carbon intensity of their operations.
GSFC Seeks Investment, Technology and Offtake Expertise
Under the proposed joint venture structure, GSFC would contribute its industrial site, existing infrastructure, operating expertise and established industry relationships. In return, it is seeking a partner capable of bringing the capital, technology access and project-development expertise required to develop the facility.
Importantly, GSFC is also looking for strong offtake linkages with international green ammonia buyers, particularly in Europe, Japan and South Korea. Such partnerships could help establish reliable demand, support project financing and strengthen the commercial viability of the proposed facility.
As reported by worldfertilizer.com, the expression-of-interest process represents an important step towards identifying suitable partners for the project. Its ultimate progress will depend on partner selection, project economics, technology choices, regulatory approvals and final investment decisions.
