engrobility
is the ability to
face the future
with confidence
and tenacity.
engro corp
a one word platform that describes the essence of
what we do. the essence of a unique ability that
touches lives everywhere. across all our companies,
engro deploys the ability to improve lives, empower
livelihoods and inspire meaningful change. moreover,
taken together with our values, we believe ourselves
to be a reliable, trustworthy patriot who is a force for
good with the ability to enable excellence.
fuelling impact
We create positive impact not just
in the lives of our stakeholders, but
across the entire economy.
Integrated in the agricultural sector
and reaching out to over 1.5mn
farmers, we provide USD 500m of
farm inputs and procure USD 300m
of farm produce, converting it to
consumer food products which
provide convenience, hygiene and
nutrition to 5.5m consumers
- making us the leader in the
packaged dairy market.
Producing low cost electricity
from flared gas for 5 million
people, developing indigenous
power production from Thar coal
and LNG facilities we are well
placed to help Pakistan overcome
the energy crisis.
We strongly believe that our
pursuit of an inclusive growth
model will yield greater success
for all our stakeholders.
a journey of success
2005-06
1957
PAK STANVAC A 50-50
Esso Mobil joint venture
discovered Mari Gas
Field
1965
Esso Pakistan Fertilizer
Co. incorporated
1968
Production commenced;
EPFCL became the
largest foreign investment
in private sector
(US $43 MN )
1991
Exxon divested its Equity,
Company renamed Engro
Chemical Pakistan
Limited
1995
Engro enters the
chemical storage &
handling business in a JV
with Royal Vopak of
Netherlands
1997
Engro enters
petrochemical business
and becomes sole
manufacturer of PVC in
Pakistan in a JV with
Mitsubishi &
Asahi Glass
2002
Dawood Group
becomes Engro’s patron
shareholder
2003
Engro Eximp formally
launched as a trading
entity; becomes the
largest importer of
Phosphatic, Potash
& Zinc based fertilizers
in Pakistan
Engro enters
automation/control
business, acquires
majority stake in
Avanceon
Engro enters energy
business and begins
work on a 220 MW power
plant based on flared gas
Engro enters food
business and sets up
milk processing plant
at Sukkur
2007
Engro commences 1.3mt
Enven expansion project.
Largest industrial
investment
of $1.1 Bn
2009
Engro enters into the
largest public-private
partnership in the history
of Pakistan by setting up
Sindh Engro Coal Mining
Company with the Sindh
Government
2011
Engro acquires Al Safa
Halal in Canada
Engro Eximp FZE,
a trading hub is
setup in Dubai
Back integration of Engro
Polymers completed
Engro divest its equity
shares in the automation
/ control business Avanceon
2010
2012
Engro Chemical Pakistan
Limited demerges into a
diversified
conglomerate with Engro
Corporation Limited as
the holding company
Elengy Terminal
Pakistan Ltd.
Incorporated
2013
Entered in to a power
project in Nigeria
Engro Fertilizers
conducted a successful
IPO – oversubscribed by
three times
2014
Signed the LSA for LNG
project
Commenced ground
work on Thar Coal Project
– Block II
Successful launch of
Engro Rupiya in June
2014
journey of success towards a growth path
250000
180000
150000
120000
206,907
155,360
Revenue
200000
114,624
125,151
164,778
184,077
150000
79,976
90000
Total Assets
189,624
100000
60000
34,121
30000
0
1,277
1990
12,797
2004
2007
49,236
50000
2010
2011
2012
2013
0
6,724
1990
13,185
2004
2007
2010
2011
2012
80,932
90000
10000
8000
Profit After Tax
8,183
8,060
6,790
80000
70000
Market Capitalization
63,519
60000
54,604
47,057
50000
6000
36,457
40000
4000
1,611
2000
0
30000
2,877
10000
134
1990
2004
2007
2010
Consolidated Revenue 2013
(Rs. in Mn)
2011
155,360
2012
19,775
20000
1,333
2013
0
2013
2,803
1990
2004
2007
Consolidated Profit
After Tax (Rs. in Mn)
8,183
2010
2011
2012
2013
who we are
fertilizers
energy
trading & processing
petrochemicals
foods
chemical storage
& handling
As one of the 50 largest fertilizer manufacturers
of the world we have close to 5 decades of
operations as a world class business contributing
over 5million tons of urea to the local agricultural
economy in the last 5 years.
Global sourcing and largest importer into Pakistan
of phosphatic fertilizers, also owning the largest
state-of-the-art rice processing mill in the country.
Involved in trading and processing of agriproducts,
micro-nutrients, rice and energy commodities.
Market leader in UHT
Pakistan's no. 2 Ice Cream brand in less
than 2 years since inception.
Acquired Al Safa Halal with offices in
America & Canada.
Set up the first power plant that operates on
permeate gas previously being flared. Ventured
into coal-based energy production whilst also
commencing work on setting up an LNG terminal.
The only fully integrated chlor-vinyl chemical
complex in Pakistan also producing poly-vinyl
chloride, caustic soda, sodium hypochlorite
and other chlorine by-products.
The only state of the art integrated bulk liquid
chemical & LPG Terminal in Pakistan handling
2/3 of all liquid chemicals imported into Pakistan.
3,500+
our businesses at a glance
Over the course of our
investments we have strived
to provide end to end
solutions to our consumers.
It is with this philosophy of
inclusive growth that our
investments encompass the
agricultural value chain all
the way from farm inputs to
the consumption table.
As a leading conglomerate
of Pakistan we continue
to make strategic
investments that align with
the country’s needs and
spur economic growth for
thousands nationwide.
engro fertilizers limited
Engro Fertilizers is a premier fertilizer manufacturing
and marketing company having a portfolio of fertilizer
products with significant focus on balanced crop
nutrition and increased yield.
The business offers a wide range of fertilizer brands
besides urea, which include some of the most trusted
brand names by Pakistani farmers. These include Engro
Zarkhez and Zingro amongst others.
Setup EnVen - world's largest single train ammonia-urea
plant with 1.3Mn tons of annual urea production capacity
completed in 2011 increasing total annual production
capacity to 2.3Mn tons which is 33% of domestic urea
production capacity. EnVen is the most energy efficient
urea plant in the Country.
50,129
Revenue in 2013 (Rs. in million)
92%
owned by Engro Corp.
engro eximp (private) limited
Engro Eximp (Private) Limited is the group’s commodity
trading business that deals in the import and export
of phosphate-based fertilizers, agriproducts and
energy commodities.
The business imports and markets phosphatic fertilizers in
Pakistan as the largest importer with a market share of
60% while also importing potash and zinc based fertilizers.
The business also imports and trades in agricultural
commodities such as palm oil, sugar and wheat alongside
energy commodities including coal and LPG.
The business has the largest on-ground team working
with the rice farmers procuring large volumes of Basmati
paddy in the country. it also exports the largest
volume of Basmati rice from Pakistan to countries in
the ME and the European Union marketed under the
brand name of 'Rymah'.
State-of-the-art paddy processing plant set up in 2010 in
Pakistan’s core basmati belt with processing capacity of
120 kT of paddy making it the largest rice processing and
finishing mill in the country.
100% 32,853
owned by Engro Corp.
Revenue in 2013(Rs. in million)
engro foods limited
Engro Foods Limited is engaged in the manufacturing,
processing and marketing of dairy products, ice cream and
fruit juices. The business owns 2 milk processing plants in
Sukkur & Sahiwal and operates a dairy farm in Nara with
current milk processing capacity of 1.4 million lpd.
The business also has presence in halal foods in North America
and operates Al-Safa Halal - a meat processing company.
Since its inception in 2006 the business has pursued aggressive
growth in revenue i.e. Rs. 37.9 Bn in 2013 Vs. Rs. 1.5 Bn in
2006.
Engro Foods is the market leader in ambient UHT category and
2nd in the ice cream category. In a short span of 6 years the
business has registered a compound annual growth rate of 73%.
Fastest growing customer of Tetra Pak International - 10th
largest in terms of number of packs while “Tarang” is the 7th
largest brand in terms of number of packs.
37,929
Revenue in 2013 (Rs. in million)
87%
owned by Engro Corp.
winning with our brands
engro powergen limited
Engro Powergen Qadirpur limited owns and operates a
220 MW power plant and is the group's first initiative in
the energy sector of Pakistan.
The Qadirpur plant is one of the few plants operating on
permeate (waste) gas which was previously being flared
and is, therefore, qualified to earn carbon credits.
The business adheres to NEQS & World Bank Guidelines
(WBG) with zero deviation while also reducing the carbon
footprint by approximately 467,000 tons (of CO2) per anum.
As one of the ‘green’ power plants of the country, the
Qadirpur plant has saved the government close to
Rs. 19billion in generation costs since its inception.
8,665
Revenue in 2013 (Rs. in million)
94%
owned by Engro
engro polymer & chemicals limited
Engro Polymer & Chemicals Limited established in 1997
is the only fully integrated chlor-vinyl chemical complex in
Pakistan. It is involved in the manufacturing, marketing
and distribution of PVC and chlor-vinyl allied products.
Set up a state of the art plant in 1997 as a 50:50 joint venture
with Mitsubishi and Asahi Glass to manufacture PVC from
VCM (Asahi divested it shareholding in 2006).
Company has the capacity to produce 156KT of
PVC and 106KT of caustic soda per year through
its state-of-the-art chlor-alkali unit, as well as small
quantities of other chemicals like sodium hypochlorite and
hydrogen gas.
24,781
Revenue in 2013 (Rs. in million)
56%
owned by Engro Corp.
engro vopak terminal limited
Engro Vopak is a joint venture with Royal Vopak of the
Netherlands - the world's largest bulk liquid chemical
handling company.
The business is engaged in handling, storage and regasification
of liquid & gaseous chemicals, Liquefied Petroleum Gas (LPG),
petrochemicals and bio-fuels.
The business is Pakistan's first cryogenic facility that handles
70% of all liquid chemical imports into Pakistan.
EVTL has facilitated over USD 1.3 Bn investment to
date in the country.
30 years of exclusivity to handle and store liquid and
gaseous-liquid chamicals at Port Qasim.
2,052
Revenue in 2013 (Rs. in million)
50%
owned by Engro Corp.
sindh engro coal mining company
Setup as a joint venture between Engro Powergen and
Government of Sindh, SECMC has been established to mine
coal from Thar Block II and setup a mine mouth power plant.
Engro has been assigned a 90 km2 mining lease in Thar
Block II amounting to 1.57billion exploitable lignite reserves
that can be used to generate 5,000MW of electricity for 50
years saving USD 1.2billion of foreign exchange annually.
A technical, environmental, social and economic feasibility has
been completed and the project cost has been negotiated to a
level where power cost is competitive vs. imported coal.
The GoP has approved upto USD 700mn guarantee for the
debt portion of the project; Project scope is under discussion
with the GoP.
elengy terminal pakistan limited
Elengy Terminal Pakistan Limited has been created to
establish and operate a terminal for the handling,
regasification, storage and processing of Liquefied
Natural Gas (LNG) and Regasified Liquefied Natural Gas
(RLNG).
ETPL had bid for the fast track LNG contract to handle up to
three million tons per annum (MTPA) of LNG or 400 MMSCFD
of re-gasified liquefied natural gas (RLNG) for the next 15
years. ETPL was the only technically compliant bidder for the
project.
LNG Service Agreement (LSA) was signed between Engro
Elengy Terminal Private Limited (EETPL) and Sui Southern
Gas Company (SSGC) on April 30 2014. This agreement is in
line with the Federal Cabinet’s approval for the LNG import
infrastructure project.
The infrastructure of the terminal has to be constructed in 335
days and once completed, the project will process imported
LNG and inject 400mmcfd gas to the national network, which
will reduce the existing shortage of 1.6 billion cubic feet by
one-fourth.
Key partners for the project include Excelerate Energy (USA),
CHEC (China), Technica Ltd (UK) and Lloyd’s Register.
inspiring impact
Engro’s business model
has been shaped to create
impact on the economic
and social landscape of
the country and beyond.
Consequently, across our
investments we have
strived to embed an
inherent focus on creating
inclusive growth and value
for all the stakeholders
and communities we
interact with.
2 billion
USD
Total Investments (2007-2013)
our impact across the value chain
Total investments in Pakistan between 2007 and 2012 through our businesses amount to a USD 2 billion.
Our fertilizer business has helped in saving foreign exchange to the tune of USD 2 billion plus through import
substituition in the past 5 years.
Our foods business has distributed wealth of over Rs. 40 billion to the dairy farming community to date since its inception.
Through our dairy interventions our farmers have benefitted from improved milk yields of upto 20% leading to
Rs. 8 million additional income every year for 9,000 families.
Our ‘green’ power plant at Qadirpur continues to light up lives of over 700,000 households nationwide,
saving the government close to Rs. 19 billion in generation costs.
Our interventions in Thar & LNG will yield considerable savings to the tune of USD 50 billion alleviating
the energy deficit of the country.
Our rice processing business registered approximately 40% increase in net income of farmers from
USD 4,700 per annum in 2009 to USD 7,700 per annum since 2012.
0.25% 5.5 5,000 15% 1.5
Approx.
Engro’s contribution to
national GDP.
mn people consume
our foods products
each day.
mega watts
production of electricity
for 50 years from our
thar coal project
reduction in the
debt of farmers.
mn farmers benifiting
from our fertilizer
products
543
USD
mn
saved in foreign exchange
by producing 1,570 kt
of urea in 2013 alone
sustaining impact
We believe in investing in
tomorrow, by inspiring a
lasting change today in the
communities where our
efforts continue to touch
and improve lives for now
and generations to come
158.9 million
Rs.
Total Social Spend in 2013
sustainability highlights
engro foundation is a social investment arm of engro committed to making positive impact on
the lives of communities that host us. we believe in creating shared value by focusing on
‘strategic community investments’ and deploying ‘inclusive business models’ that benefit the
society as a whole.
Established a network of 11 katcha schools. 13 CAER schools and collaborated with
CARE Foundation, The Citizens’ Foundation and Sindh Education Department for
sponsorship and adoption of schools in multiple areas throughout Pakistan reaching
out to over 5,000 students .
Established vocational training programs to train local youth in Daharki to learn a variety
of skills to enhance their earning capacity. Also setup a Technical Training College in
partnership with stakeholders, providing opportunities to students to pursue a 3-year
diploma in chemical and mechanical engineering.
With an increased focus on livelihoods and community outreach programs such as Women
Empowerment Through Livestock Development (WELD) we have benefitted over 19,200 +
women through livestock management training.
Through our various interventions in health such as mobile clinics, Sahara clinic and snakebite
centres we have touched and improved lives of over 29,000 patients in past five years.
Our focus on enhancing community infrastructure continues to improve quality of
life for households across our host communities; benefitting over 6,000 individuals
in the past five years.
snakebite centre
benefitting
trained
benefitting
patients treated from 1997 to 2013
people through various
healthcare projects
females under WELD
students in the past 5 years
200,000 45,000
19,200+ 5,000+
sustainability highlights
Our energy business pursued a pilot on-grid solar power project for the residential colony at
Daharki via 1200 solar panels, Pakistan’s largest completed solar power project to date.
Our petrochemical business is working on sustainability initiatives such as generating its
own power through a combined cycle power plant, while also boasting a certified green
head office facility.
As part of our vision to reduce greenhouse gas (GHG) emissions, our foods business continues
to actively promote the use of non-CFC products/equipment at its manufacturing units.
Our fertilizers business shifted production from the base plant to the EnVen plant, significantly
reducing gaseous emissions and increasing efficiency – EnVen is the most efficient plant in
Pakistan, essentially producing more urea per mmbtu of gas used.
Our manufacturing facilities at Daharki are equipped with a reverse osmosis plant that reduces
the flow of unsafe effluents from the plant by up to 150 gallons per minute. Our foods and
chemical storage businesses have installed wastewater treatment facilities at their
manufacturing facilities in Sukkur, Sahiwal and Karachi ensuring that the water which is
discharged from the facilities is safe and does not pollute the environment.
Our Green office initiative has had hge impact on the company’s overall envioromental footprint
and has reduced energy, paper and waste.
reduction of
reduction of
reduction of
in electrical consumption
in waste disposal
in paper consumption
82%
3%
16%
our awards & recognitions
Engro Corporation was awarded the Investor Relations Award by the prestigious CFA Society of Pakistan.
Engro Corporation was awarded the ‘Business Excellence Award’ in the CSR Excellence Awards organized by
National Forum for Health & Environment.
Engro Corp’s Annual Report 2012 was declared the overall winner in the Best Corporate Report Awards 2012, first
place in the Miscellaneous category and fourth place in the Sustainability category.
Karachi Stock Exchange - Top 25 Companies Award - one of the most frequent winners with 27 awards.
Engro Fertilizers won a DuPont Safety and Sustainability Award in the category of “Stakeholder Engagement for
Sustainability”.
The EVTL Terminal achieved 3rd position in the EMEA division in Vopak’s Annual Customer Survey for Net Promoter
Score and 2nd position for VSQI.
Engro Polymer & Chemicals Head Office received the “Green Office” certification by WWF.
Engro Corporation & Engro Fertilizers were awarded Silver Award of Achievement by WWF–Pakistan for substantial
reduction in carbon footprint during the year 2011 – 2012.
Engro Corp’s Annual Report 2012 also came 2nd in the ACCA Annual Sustainability Awards 2012.
Engro Fertilizers’ Safety Management System at the Daharki plant is the only site worldwide to have achieved a Level
– 4 Rating from Dupont.
Engro Foods flagship program EMAN (Electronic Milk Automation Network) was named a 2013 Computerworld
Honors Laureate amongst 269 Laureates selected from 29 countries.
Engro Corporation won the World Finance Award’s ‘Best Corporate Governance Award for Pakistan’.
Engro was recognized amongst the top 5 employers in Pakistan by a survey conducted by Rozee.PK in collaboration
with YouGov – a UK-based research company.
Engro Head office was awarded the Fire Safety Award by National Forum for Environment & Health.
our future outlook & strategy
Our Future Focus: The Emerging Markets
The economic centre of gravity is moving back to Asia and is
moving at a faster rate than ever before.
Pakistan is amongst the ‘Next 11 Countries’ along with Iran,
Bangladesh, Indonesia, Vietnam, South Korea, Philippines,
Mexico, Nigeria, Egypt and Turkey.
The N-11 have registered a 5% plus growth over the
last few years with increased contribution to the global
economy and trade.
Rising economic development in these emerging countries
has led to increased urbanization and consumer demand
which by 2025 is slated to account for nearly half the global
trade i.e. USD30 trillion.
Source: McKinsey Quarterly, August 2012, McKinsey & Company.
Capitalize on the USD 30 trillion consumer
opportunity in emerging markets.
Expand in globally scalable businesses.
Grow in sectors where Engro has
world-class capabilities such as
agricultural (input & produce),
consumer & energy sectors.
Venture into regions where there is
growing consumer demand.
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