New Delhi: Alkyl Amines Chemicals has temporarily suspended production of methylamines, ethylamines and their derivatives at three manufacturing facilities due to a shortage of ammonia, a key raw material, following disruptions in global supply chains linked to geopolitical tensions in the Middle East.
The company said the ongoing conflict in the region has disrupted logistics networks and international crude oil and petrochemical supply chains, affecting the availability of liquefied natural gas (LNG), a crucial input for ammonia production.
Several ammonia manufacturers have invoked force majeure, citing their inability to supply the product during this period, the company said in a regulatory filing on Monday.
As a result, Alkyl Amines has been forced to suspend manufacturing of products dependent on ammonia at its Patalganga, Kurkumbh and Dahej plants, the company said.
Production of other products at these sites that do not require ammonia will continue as usual, it added.
The company said the financial and operational impact of the disruption cannot be estimated at this stage as the situation remains fluid.
Alkyl Amines added that it is exploring alternate sourcing arrangements for ammonia and is closely monitoring developments related to the geopolitical situation.
The development highlights the vulnerability of chemical manufacturers to disruptions in global feedstock supply chains, particularly for ammonia, which is widely used in the production of industrial chemicals and intermediates.