Morocco’s OCP revenue down 33% in 2023 first half
Morocco’s phosphates and fertilizers producer, OCP, said its revenue in the first six months this year dropped 33% to $3.76 bln due to lower prices.
The company said it made $1.9 billion in total revenue in the second quarter this year, down 37%, due to lower demand, while expecting demand to improve later this year driven by low inventories in certain regions.
The group had announced in late 2022 a $13 bln green investment plan to increase fertilizer and ammonia production using renewable energy.
As part of that scheme, it plans to build an industrial complex, worth $7 bln, that will help it produce green ammonia from hydrogen produced from renewable energies in the southern region of Tarfaya.
OCP is one of the world’s biggest ammonia importers spending $2 billion on the raw material that is essential to fertilizer manufacturing.
OCP plans to kick off production with 200,000 tons of ammonia in 2027 and 1 million tons in 2027 as it also seeks to increase production of fertilizers to 20 million tons in 2027 after 12 million tons in 2021.
The company also plans to increase desalination capacity in Safi and Jorf Lasfar sites in order to supply surplus to nearby towns.