What is a calcium nitrate project report?
A calcium nitrate project report is a detailed project report (DPR) for a plant that dissolves limestone in nitric acid and turns the solution into water soluble fertiliser granules. It sets out the process, machinery, raw material use, market, project cost, means of finance, five-year projections, DSCR and break-even that a lender reviews.
Promoters use it to size the plant and raise a term loan; banks and investors use it to judge whether the unit can carry its debt.
Also known as: project report on calcium nitrate, calcium nitrate business plan, DPR for calcium nitrate plant, calcium nitrate feasibility report.
Calcium nitrate manufacturing plant cost in India
Our sample report models a plant making 21 MT per day, or 6,930 MT a year at full capacity, over 330 working days. It starts at 60% utilisation, reaches 80% in Year 5 and sells at ₹39,000 per MT ex-factory, before GST.
| Land and site development | 76.26 |
|---|---|
| Building and civil works | 256.25 |
| Plant and machinery | 490.70 |
| Other fixed assets | 79.59 |
| Contingencies | 37.35 |
| Preliminary and pre-operative | 23.50 |
| Working capital margin | 63.38 |
| Total | 1,027.03 |
| Promoter's contribution (25%) | 256.76 |
|---|---|
| Term loan from bank (75%) | 770.27 |
| Cash credit limit (separate) | 190.15 |
| Total project cost | 1,027.03 |
The margin is thin: in Year 3 the sample's full cost, including depreciation and interest, is ₹35,117 per MT against a selling price of ₹39,000. DSCR (cash available for the loan divided by the instalments due) dips to 1.23 in Year 2. Lenders therefore look closely at the nitric acid price.
Term loan at 10.5% with a 6-month moratorium and 54 monthly instalments. All figures are illustrative.
Calcium nitrate manufacturing process
A stand-alone plant runs a simple reaction: limestone plus nitric acid gives calcium nitrate, water and carbon dioxide. Most of the plant's cost and skill sits in getting the solution clean and turning a sticky, moisture-loving salt into free-flowing granules.
- Limestone dissolution
Crushed high-calcium limestone is fed slowly into 55–60% nitric acid in stirred, acid-resistant reactors, and the carbon dioxide released is vented through a scrubber.
- Neutralisation
A small dose of ammonia neutralises the leftover acid, which is why fertiliser grade product carries about 1% ammoniacal nitrogen.
- Filtration
A filter press removes silica, iron and clay from the limestone, the part that would otherwise clog drip emitters.
- Evaporation
Steam-heated falling film evaporators concentrate the clear liquor to a hot melt of about 85% strength.
- Granulation
The melt is sprayed into a granulator or prilling system and solidifies into round granules.
- Cooling and coating
Granules are cooled, screened to size and coated with an anti-caking agent so they stay free-flowing in humid weather.
- Packing
Product is packed in HDPE bags with an inner liner, commonly 25 kg for dealers, and stored off the floor in a dry godown.
Which calcium nitrate process route suits a new plant?
Three routes are in use worldwide. Only the first is practical for a new stand-alone unit in India; the others depend on large integrated fertiliser complexes.
| Limestone and nitric acid | The route in our sample. Needs bought or captive nitric acid and good quality limestone. Moderate capital, easy to scale from 10 to 50 MT per day. |
|---|---|
| Nitrophosphate by-product | Phosphate rock is digested in nitric acid and calcium nitrate crystallises out as a by-product. Low marginal cost, but only inside a large nitrophosphate fertiliser plant. |
| Nitrous gas absorption in lime | Nitrogen oxides from a nitric acid plant are absorbed in milk of lime. An older route, tied to an acid plant's tail gas. |
| Liquid calcium nitrate | The filtered solution is sold as a liquid for fertigation or sewage odour control. It skips granulation and lowers capital, but freight per tonne of nutrient is higher. |
| Boronated and fortified grades | Boron, magnesium or zinc is added before granulation. Same line, but each grade needs its own testing and labels. |
Raw materials for calcium nitrate
Nitric acid is 82% of raw material cost in our sample, and raw materials are 56.3% of sales. Limestone should be high-calcium with little magnesium and silica, because impurities raise water insoluble matter and filter losses.
| Raw material | Share of cost | Year 3 (₹ lakh) |
|---|---|---|
| Nitric acid (55 to 60 percent) | 82% | 872.97 |
| Limestone (high-calcium, 95 percent CaCO3) | 9% | 95.81 |
| Ammonia | 5% | 53.23 |
| Anti-caking coating agent | 4% | 42.58 |
| Total | 100% | 1,064.59 |
Indicative consumption by chemistry: about 0.65 tonne of nitric acid (100% basis) and just under 0.5 tonne of calcium carbonate per tonne of product, before losses.
Machinery for a calcium nitrate plant
Everything that touches acid or hot nitrate liquor is built in stainless steel or lined with acid-resistant material. The evaporator is the costliest item in the sample, followed by the dissolution reactors and the granulation system.
| Machine | What it does | Sample cost (₹ lakh) |
|---|---|---|
| Acid-resistant dissolution reactors with agitators | React limestone with nitric acid | 88.33 |
| Ammonia neutraliser and pH control system | Neutralises free acid | 39.26 |
| Filter press for insoluble removal | Removes silica and clay | 34.35 |
| Falling film evaporator and concentrator | Concentrates liquor to a melt | 98.14 |
| Granulation or prilling system | Forms the melt into granules | 83.42 |
| Fluid bed cooler and coating drum | Cools and coats granules | 49.07 |
| Nitric acid storage tanks and transfer pumps | Holds tanker deliveries of acid | 39.25 |
| NOx and CO2 off-gas scrubber | Cleans reactor vent gases | 29.44 |
| Bagging and stitching line | Weighs and seals bags | 29.44 |
| Total plant and machinery | 490.70 | |
Costs are the sample report's estimates for a 21 MT per day line. Get current quotations before you finalise.
Utilities, manpower and quality control
Evaporation is the main energy user, so steam cost matters as much as power. The sample's figures below sit alongside the plant needs a full report sizes for your site.
| Power and fuel | ₹136.14 lakh in Year 3 in our sample, 7.2% of sales, covering motors, the granulation air system and fuel for evaporator steam |
|---|---|
| Steam | A boiler or thermic fluid heater sized for the evaporator load; a full report sizes it from the water to be removed per tonne |
| Water | Process water for acid dilution and scrubber make-up, plus cooling water for the cooler and condensers |
| Manpower | 47 people in our sample: 7 in management and supervision, 16 skilled operators and 24 semi-skilled and unskilled workers, with a Year 1 wage bill of ₹105.54 lakh |
| Laboratory | Batch tests for total and nitrate nitrogen, ammoniacal nitrogen, water soluble calcium and water insoluble matter, as the fertiliser specification requires |
| Storage | Covered, dry finished goods store; the product absorbs moisture from the air and cakes if bags are opened or stacked on damp floors |
Licences and approvals for a calcium nitrate plant
Fertiliser grade product is regulated under the Fertiliser (Control) Order, so the approvals list is longer than for a plain industrial chemical.
| Fertiliser authorisation | Memorandum of intimation to the state notified authority under clause 8 of the Fertiliser (Control) Order, 1985; the acknowledgement serves as the authorisation letter |
|---|---|
| Product specification | Fertiliser (Control) Order, Schedule I, 100% water soluble calcium nitrate: total nitrogen at least 15.5%, nitrate nitrogen at least 14.4%, ammoniacal nitrogen at most 1.1%, water soluble calcium at least 18.8% |
| Pollution board consent | Consent to establish and operate from the State Pollution Control Board; basic fertiliser manufacture appears in the red category list, so confirm the category for your unit early |
| Hazardous chemicals | Nitric acid and ammonia are listed in Schedule 1 of the Manufacture, Storage and Import of Hazardous Chemical Rules, 1989; ammonia storage of 60 tonnes or more triggers further duties |
| GST | 5% on nitrogenous fertilisers of heading 3102 sold as fertiliser; 18% where the goods are clearly not for fertiliser use (as of October 2026) |
| Business and site | Udyam and GST registration, factory licence, fire NOC and an industrial power connection for the connected load |
Rules and rates change. Confirm with the state agriculture department, pollution board and your tax adviser before you apply.
Who buys calcium nitrate in India?
Most demand comes from growers of tomato, capsicum, grapes, pomegranate, banana and flowers who feed nutrients through drip lines. Calcium shortage in these crops shows up as blossom end rot, fruit cracking and poor shelf life. Calcium nitrate is one of the few calcium sources that dissolves fully in water.
India has long met much of its calcium nitrate demand through imports. A new plant competes on freight, supply before the cropping season and dealer support, provided its granules match imported material on solubility and flow.
- Agri-input dealers and water soluble fertiliser distributors
- Fertiliser companies buying for their own brand
- Polyhouse, greenhouse and hydroponic growers
- Horticulture farms and farmer producer organisations
- Sewage network operators, for hydrogen sulphide odour control
- Concrete admixture makers
Plan for seasonality: dealers stock up ahead of the main horticulture seasons and expect credit. Our sample allows 45 days of debtors and 15 days of finished goods; a plant selling mainly to farmers through dealers may need more.
Mistakes that weaken a calcium nitrate project report
- Pricing sales at retail pack rates
Small 1 kg and 5 kg packs sell far above bulk ex-factory prices. Projecting all sales at those rates overstates revenue and DSCR.
- No firm nitric acid supply
Acid is most of the cost and moves by tanker from a few producers. A report without a supply source, freight cost and a price sensitivity test leaves the lender guessing.
- Ignoring caking and moisture
Calcium nitrate pulls water from the air. Leaving out coating agent, lined bags and dry storage leads to lumps, returns and lost dealers.
- Weak limestone testing
High silica or magnesium raises insoluble matter, filter cake and acid use, and can push product outside the fertiliser specification.
- Skipping the approvals timeline
Red category consent and fertiliser authorisation take time. Revenue in Year 1 should start only after both are in hand.
How NPCS helps you set up a calcium nitrate plant
- Capacity and product gradesSize the plant and choose granular, liquid or boronated grades for your market.
- Acid supply and cost modelMap nitric acid sources, freight and price sensitivity into the projections.
- Bank-ready project reportProjections, DSCR and working capital in the format your lender asks for.
- Approvals and layoutPlant layout, acid storage and the fertiliser, pollution and hazardous chemical approvals for your state.
NPCS's published client list includes 269 assignments in specialty chemicals, for entrepreneurs, companies and institutions in India and abroad, and the team has prepared project reports since 1994.
What's inside the calcium nitrate sample report
- Introduction
- Uses and applications
- Market potential
- Manufacturing process
- Raw materials
- Plant and machinery
- Land, building and utilities
- Manpower
- Licences and approvals
- Project cost and means of finance
- Working capital
- Projected profitability
- Cash flow statement
- Projected balance sheet
- Depreciation
- Term loan repayment
- Debt service coverage
- Break-even analysis
- Financial ratios
- Key assumptions
- Conclusion
- Monthly loan repayment schedule
19 pages, five-year projections, illustrative figures.
Open sample reportFree sample or a report for your project?
| What you get | Free sample | NPCS report for your project |
|---|---|---|
| Capacity and location | Typical unit | Your capacity, site and state |
| Figures | Illustrative | Built on current prices and quotations |
| Machinery suppliers and quotations | No | Yes |
| Market survey for your region | No | Yes |
| Bank or scheme format (PMEGP, term loan) | No | Yes |
| Use for a loan application | No | Yes |
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Calcium Nitrate project report: frequently asked questions
What is the calcium nitrate manufacturing plant cost in India?
A plant that buys nitric acid and makes 20–40 MT per day of granular calcium nitrate needs roughly ₹8–16 crore, including land, building and working capital margin. Our sample report models a 21 MT per day plant at ₹1,027 lakh. These are indicative figures; your project report works out the cost for your capacity, site and acid supply.
How is calcium nitrate manufactured?
Most stand-alone plants dissolve crushed limestone in weak nitric acid, neutralise the free acid with a little ammonia and filter out insoluble matter. The clear liquor is concentrated to a hot melt, granulated or prilled, cooled, coated against caking and packed in lined bags. Large integrated fertiliser plants also recover calcium nitrate from the nitrophosphate process.
How much nitric acid and limestone does one tonne of calcium nitrate need?
By chemistry, each tonne of fertiliser grade calcium nitrate needs about 0.65 tonne of nitric acid on a 100% basis, or roughly 1.1 tonnes of 60% acid. It also needs just under half a tonne of calcium carbonate. Actual use is a little higher after process losses. These are indicative figures that your project report confirms with the technology supplier.
Is calcium nitrate manufacturing profitable?
It can be, but margins are thin when you buy nitric acid. In our illustrative sample, a 21 MT per day plant earns a 14% return on investment in Year 3. Break-even is at 45% of capacity and payback takes about 4.6 years. Acid price, freight, granule quality and dealer credit decide the actual result.
What licence is needed to make calcium nitrate fertiliser?
Calcium nitrate sold as a fertiliser must meet the specification in the Fertiliser (Control) Order, 1985. The manufacturer files a memorandum of intimation with the state notified authority for authorisation. You also need State Pollution Control Board consent, a factory licence and, because nitric acid and ammonia are listed hazardous chemicals, compliance with the hazardous chemical rules.
What is the GST rate on calcium nitrate?
Nitrogenous fertilisers under heading 3102 attract 5% GST under Notification 9/2025-Integrated Tax (Rate), as of October 2026. The same goods attract 18% when they are clearly not meant for use as fertiliser, for example technical grade sold for wastewater or concrete. Confirm the exact HSN code for your grade with your tax adviser before you invoice.
What is the difference between calcium nitrate and calcium ammonium nitrate?
Calcium nitrate is fully water soluble and supplies about 15.5% nitrogen with at least 18.8% soluble calcium, so it suits drip irrigation and foliar sprays. Calcium ammonium nitrate (CAN) is ammonium nitrate blended with limestone or dolomite, carries 25–26% nitrogen and is broadcast on soil. The two need different plants and reach different buyers.
Is the calcium nitrate project report PDF free, and can I use it for a loan?
The sample is free to view and download as a PDF. It is an illustrative report that shows the format and depth of an NPCS report. Its figures are representative and not taken from a real project, so it should not be submitted to a bank. For a loan, NPCS prepares a report for your own capacity, site and lender.
Sources and references
- The Fertiliser (Control) Order, 1985Directorate of Agriculture, Government of Assam, checked Oct 2026
- Notification No. 9/2025-Integrated Tax (Rate)Central Board of Indirect Taxes and Customs, checked Oct 2026
- Circular No. 54/28/2018-GST on classification of fertilisersGST Council, checked Oct 2026
- List of red category industriesPunjab Pollution Control Board, checked Oct 2026
- The Manufacture, Storage and Import of Hazardous Chemical Rules, 1989Punjab Pollution Control Board, checked Oct 2026
The NPCS project team, led by Ajay Kumar Gupta
This page and its sample report are prepared and reviewed by the NPCS project team, which has written techno-economic feasibility studies and detailed project reports since 1994.
Ajay Kumar Gupta founded Niir Project Consultancy Services (NPCS) and leads the organisation. With 40 years of experience in MSME project consulting, he has built the team that has delivered more than 28,000 project reports for clients worldwide, helping entrepreneurs plan and finance profitable manufacturing businesses.
- Published
- Last updated
- Next review
- Oct 2027
- Reviewed by
- NPCS project team
This page is reviewed every 12 months, or sooner when scheme limits, GST rates, BIS rules or pollution categories change. The sample report is illustrative: its figures are generated from industry-typical ratios for a unit of this size, checked so every statement balances, and are not taken from any client project.