New Delhi, Sept. 26 -- India's push to cut its heavy dependence on imported urea has drawn investment proposals worth as much as Rs.2.04 trillion, with 17 of them from companies including state-run Gail (India) Ltd, Hindustan Urvarak & Rasayan Ltd (HURL), Kribhco, Chambal Fertilisers and Chemicals Ltd and Matix Fertilisers and Chemicals Ltd, according to two people in the know. If cleared, the projects could take about three years to come up, said experts. The proposals, being examined by the department of fertilizers, cover new plants as well as expansions of existing facilities and come under the government's new National Investment Policy for Urea (Nipu)-2026. If they fructify, the projects could add substantially to domestic capacity at a time when India, world's largest urea importer, meets about a quarter of its annual need from overseas, leaving fertilizer and food security exposed to price and supply shocks. The capital expenditure for a plant with a standard capacity of 1.27 million tonnes per annum (mtpa) is seen at Rs.10,000-12,000 crore, while brownfield expansion would entail about Rs.9,000-10,000 crore, taking the potential total to Rs.1.53-2.04 trillion. "The new investment policy provides a framework to attract investments in the sector and encouraging setting up of additional capacity. The proposals received by the department are currently at various stages of examination," said the first person cited above. The Union Cabinet had in July cleared the policy that aims for 10 million tonnes additional urea production capacity amid a spike in global fertilizer prices triggered by disruptions from the West Asia war. India's annual urea demand is pegged around 40 million tonnes, which is growing at about 5% annually. While domestic production meets around 30 million tonnes, the balance is met via imports. By expanding domestic output, the government aims to lower urea imports, reduce foreign exchange outgo and insulate India from volatile international markets. As per experts, every 1 million tonne domestic urea capacity that replaces imports can save about $500 million annually in forex. Moreover, fertilizer subsidy is one of the top components of government's support to the farm sector. In response to an email query from Mint, Matix Fertilisers and Chemicals Ltd said the company, which had commissioned its first 1.27 mtpa ammonia urea plant about five years ago, plans to double its urea production capacity at its existing manufacturing complex at Panagarh in West Bengal by investing in the second ammonia-urea facility. "The brownfield project is expected to entail an investment of around Rs.9,000 crore and is targeted for commissioning in 2030, subject to approvals from government bodies," the company said. Similarly, Hindustan Urvarak said, "HURL is planning to set up a brownfield unit at its existing Gorakhpur complex. Proposed capacity would be similar to the existing unit (1.27 million tonnes per annum) and the project cost is estimated at around Rs.9,500-10,000 crore....