FERTILIZER II

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The Fertilizer Rationalization Project is designed to assist the Government in achieving its three main sector development objectives, namely: (a) improvement in production efficiency of existing medium and small-size plants; (b) reduction of nutrient imbalances; and (c) improvements of institutional efficiency. To this end, the project comprises three components. They entail: (a) establishing a phosphate fertilizer production capacity at an existing plant in Yunnan; and (b) converting nitrogenous fertilizer production of four existing medium-size plants from low grade to high grade products, and expanding production capacities with the use of modern energy saving technology. Lastly, they include (c) carrying out a management efficiency study and a program to introduce modern systems for organization, information and cost management at fertilizer enterprises, and upgrade sector-wide management training capabilities.