Product Quantum (Rs. Cr) (SEBI) Quantum (Rs. Cr) (Other FSR) Long Term Rating Short Term Rating Regulated By
Bank Loan Ratings 0.00 55.00 ACUITE A | Stable | Upgraded - RBI
Bank Loan Ratings 0.00 45.00 - ACUITE A1 | Upgraded RBI
Total Outstanding 0.00 100.00 - - -
Total Withdrawn 0.00 0.00 - - -
Note:- For activities or ratings of instruments falling under the purview of Financial Sector Regulators other than SEBI, the grievance / dispute redressal mechanisms and investor protection mechanisms provided by SEBI shall not be available.
 
Rating Rationale

A­cuité has upgraded its long term rating to ‘ACUITE A’ (read as ACUITE A) from ‘ACUITE A-’ (read as ACUITE A minus) and the short term rating to ‘ACUITE A1’ (read as ACUITE A one) from ‘ACUITE A2+’ (read as ACUITE A two plus) on the Rs. 100.00 Cr. bank facilities of Blue Phosphate Limited (BPL). The outlook is ‘Stable’.

Rationale for upgrade
The rating factors significant increase in scale of operations of Blue Deebaj group in FY25 & FY26, supported by its healthy financial risk profile and adequate liquidity position. It also considers the group’s established presence in the fertiliser industry, along with the extensive experience of the promoters spanning over five decades. Further, the rating takes cognisance of the group’s ongoing and completed capacity expansion, including the setting up and operationalisation of a new unit at Jhagadia (Gujarat) for Single Super Phosphate (SSP) and Granulated Single Super Phosphate (GSSP) production, acquisition of an SSP plant in Nellore district (Andhra Pradesh) under TFL, capacity augmentation at the existing unit and setting up a Dicalcium Phosphate (DCP) production in BPL. However, the rating is constrained by the working capital-intensive nature of operations and the susceptibility of profitability to volatility in raw material prices and subsidy rates, which remain key rating monitorable.

About the Company
Incorporated in 2009, Blue Phosphate Limited (BPL) is a Roha, Maharashtra-based company engaged in the manufacturing of powdered single super phosphate (SSP) and granular single super phosphate (GSSP). The company operates its manufacturing facility in Udaipur, Rajasthan. Mr. Zafar Ullah Khan, Mr. Pradeep Ramjivan Goyal, Mr. Mihir Mukesh Bhatia and Mr. Sudeep Saxena are directors of the company.
 
About the Group
Incorporated in 2004, Transworld Furtichem Limited (TFL) is engaged in the manufacturing, trading, and export of compounded granulated fertilizers (NPK & SSP), sulphate of potash (SOP), and specialty chemicals and fertilizers. It operates multiple manufacturing facilities located at Roha in Maharashtra; Kandla, Jhagadia (Bharuch), and Vadodara in Gujarat; Mangalore in Karnataka; and Nellore in Andhra Pradesh. TFL has been recognized by the Government of India as a three-star export house. Mr. Pradeep Ramjivan Goyal, Mr. Dilip Kumar Gadia, Ms. Shazia Yusuf Dhanani, Mr. Sudeep Saxena, Mr. Nitin Ghanshyam Hotchandan and Mr. Venkateshkumar Krishnamurthy Tirupatipanyam are directors of the company.

Blue Deebaj FZCO was established in the year 2008 as a Free Zone Company with limited liability under the Jebel Ali Free Zone Authority. The firm deals in 'Nitrogen Phosphorus Potash' (NPK) and other fertilizer products to customers in the African region, GCC, South East Asia and other Asian countries.
 
Unsupported Rating
­Not applicable
 
Analytical Approach

Extent of Consolidation
•Full Consolidation
Rationale for Consolidation or Parent / Group / Govt. Support
Acuité has consolidated the business and financial risk profiles of Blue Phosphate Limited (BPL), Transworld Furtichem Limited (TFL) and Blue Deebaj FZCO (BDFZCO), collectively referred to as the Blue Deebaj group. The consolidation is on account of operational synergies, common promoter shareholding, cross holding within the group, corporate guarantee extended by BDFZCO to TFL.
Key Rating Drivers

Strengths
­Experienced promoters backed by strong group-level support
The group benefits from an experienced promoter family (Dhanani family) with over five decades of presence across fertilizers, chemicals, packaging, and mineral-based industries. Their experience and continued financial support remain key strengths, aiding the group’s business and liquidity profile. The group exhibits strong operational integration, with BPL supplying rock phosphate (key raw material), which is utilised by TFL for manufacturing granulated SSP fertilisers, thereby ensuring supply chain efficiency and reducing external sourcing ,as required. This integration enhances sourcing efficiencies and bargaining power at the group level. Further, TFL derives operational and financial support from Blue Deebaj FZCO, including corporate guarantees and promoter control across entities, reflecting strong group linkages. Acuité believes the group will continue to benefit from these operational and financial synergies, supporting its growth and overall credit profile over the medium term.

Significant improvement in scale of operations of the group
The group reported a significant improvement in its scale of operations, with consolidated operating income increasing to Rs. 2,503.22 Cr. in FY2026 (Prov.) from Rs. 1,754.32 Cr. in FY2025, driven by robust growth across its three entities namely BPL, TFL and Blue Deebaj FZCO. BPL reported operating income of Rs. 236.96 Cr. in FY2026 (Prov.), registering a growth of ~17.45% over Rs. 201.75 Cr. in FY2025, primarily supported by improved demand traction and higher realisation of government subsidy per metric tonne under the Direct Benefit Transfer (DBT) mechanism. TFL witnessed a sharp increase in operating income to Rs. 1,317.13 Cr. in FY2026 (Prov.), reflecting a substantial growth of ~90.20% over Rs. 692.51 Cr. in FY2025 mainly driven by a scale-up in export operations (53.76% of revenues in FY2026 Prov.), along with the commissioning of the new Jhagadia unit during the year that supported capacity expansion. Blue Deebaj FZCO reported revenue of Rs 1,286.23 Cr. (AED 50.54 Cr. ) in FY2026(Prov) marking  a growth of 15.12%  as compared to Rs. 1,117.32 Cr. (AED 48.06 Cr.) in FY2025. At the consolidated level, operating margins improved and remained healthy at 9.47% in FY2026 (Prov.) as against 8.79% in FY2025 and PAT margins also improved to 5.85% from 5.54% during the same period, supported by operating leverage benefits arising from scale expansion, despite an increase in finance costs and a decline in non-operating income. Acuité believes that the group’s scale of operations is expected to further improve over the near to medium term, supported by steady demand for fertilizers and enhanced operational capabilities.

Healthy financial risk profile
The group’s financial risk profile remains healthy, supported by a strong net worth, comfortable gearing, and adequate debt protection metrics. The tangible net worth stood at Rs. 943.10 Cr. as on March 31, 2026 (Prov.), (Rs. 765.20 Cr. as on March 31, 2025), supported by accretion of profits to reserves and augmentation in the quasi-equity component. Acuité has considered Rs. 26.09 Cr. as quasi equity, as the management has undertaken to retain these funds within the business over the medium term, with the same being subordinated to bank debt in Blue Deebaj FZCO. The group’s total debt increased to Rs. 577.71 Cr. in FY2026 (Prov.) from Rs. 340.43 Cr. in FY2025, primarily on account of debt-funded capex undertaken at BPL and TFL, along with higher working capital borrowings to support the expanded scale of operations. Despite increase in debt levels, the gearing remained comfortable at 0.61 times as on March 31, 2026 (Prov.). Debt protection metrics continued to remain healthy, with the interest coverage ratio at 5.41 times and debt service coverage ratio at 3.31 times in FY2026 (Prov.), Acuité believes that the group’s financial risk profile is expected to remain healthy over the medium term, supported by comfortable leverage indicators and adequate debt servicing capacity.

Weaknesses
­Working capital intensive nature of operations
The group’s operations remain working capital intensive, as reflected in high gross current asset (GCA) days of 224 days in FY2026 (Prov.) (213 days in FY2025). The elevated GCA cycle is primarily driven elevated inventory levels and funds locked in other current assets such as balances with government authorities, supplier advances, and receivables. However, inventory days improved to 72 days in FY2026 (Prov.) from 94 days in FY2025 despite inherently high levels due to import dependence and seasonality. The receivable cycle elongated to 98 days in FY2026 (Prov.) from 47 days in FY2025 primarily due to higher receivables in BPL linked to subsidy realizations and increased quarter-end sales in TFL and Blue Deebaj FZCO. Acuité expects the working capital intensity to remain high, given the structural characteristics of the fertilizer industry, including subsidy dependence, import reliance, and seasonal demand patterns.

Susceptibility of profitability to volatility in raw material prices in a regulated nature of the fertilizer industry and forex risk
The group’s profitability remains exposed to volatility in raw material prices, regulatory risks, and forex fluctuations, given the controlled nature of the fertilizer industry under the Nutrient Based Subsidy (NBS) regime. Dependence on imported inputs such as rock phosphate and phosphoric acid, coupled with fixed subsidy rates and market-linked realizations, makes margins sensitive to input price movements. However, risks are partly mitigated by prudent procurement practices and a natural hedge in forex exposure, supported by a balanced mix of export revenues (~54%) and import purchases (~55%) in FY2026 (Prov.)

Rating Sensitivities

Potential triggers (individual or collective) for an upward rating action:
­
  • Growth in scale of operations above Rs 3500.00 Cr coupled with improvement in profitability margins
  • Improvement in working capital intensity
Potential triggers (individual or collective) for a downward rating action:
­
  • Significant dip in scale of operations or profitability margins
  • Elongation of working capital cycle above 100 days
  • Significant increase in debt levels impacting the financial risk profile
Liquidity Position
Adequate
The group’s liquidity position remains adequate, supported by healthy cash accruals vis-à-vis its repayment obligations. Net cash accruals stood at Rs. 167.95 Cr. in FY2026 (prov.), as against repayment obligations only of Rs. 19.75 Cr. for the same period. Over the medium term, accruals are expected in the range of Rs. 193.00 Cr–220.00 Cr, against debt repayments of ~Rs. 18.00 Cr. to Rs 20.00 Cr. Liquidity is further supported by cash& bank balance of Rs 16.93 Cr. and current ratio stood comfortable at 1.71 times as on March 31,2026(Prov.)The average bank limit utilisation by the group remained moderately utilised with fund-based facilities utilised at 86% and non-fund-based facilities being utilised at 60% during the last twelve months ended in March-26. Acuité believes that the liquidity of the group is likely to remain adequate over the medium term on account of comfortable cash accruals as against long debt repayments over the medium term.
 
Outlook-Stable
­
 
Other Factors affecting Rating
­None
 

Particulars Unit FY 26 (Provisional) FY 25 (Actual)
Operating Income Rs. Cr. 2503.22 1754.32
PAT Rs. Cr. 146.38 97.17
PAT Margin (%) 5.85 5.54
Total Debt/Tangible Net Worth Times 0.61 0.44
PBDIT/Interest Times 5.41 4.62
Key Financials (Standalone)
­
Particulars Unit FY26(Prov.) FY25(Actual)
Operating Income  Rs. Cr. 236.96 201.75
PAT Rs. Cr. 4.73 3.77
PAT margins (%) 1.99 1.87
Total Debt/Tangible Net Worth Times 0.67 0.58
PBDIT/Interest Times 3.51 2.62
 
Status of non-cooperation with previous CRA (if applicable)
­Not applicable
 
Any Other Information
­None
 
Applicable Criteria
• Application Of Financial Ratios And Adjustments: https://www.acuite.in/view-rating-criteria-53.htm
• Consolidation Of Companies: https://www.acuite.in/view-rating-criteria-60.htm
• Default Recognition: https://www.acuite.in/view-rating-criteria-52.htm
• Manufacturing Entities: https://www.acuite.in/view-rating-criteria-59.htm
• Trading Entities: https://www.acuite.in/view-rating-criteria-61.htm
Note on complexity levels of the rated instrument

Date Name of Instruments/Facilities Term Amount (Rs. Cr) Rating/Outlook
20 Feb 2025 Cash Credit Long Term 15.00 ACUITE A- | Stable (Reaffirmed)
Proposed Long Term Bank Facility Long Term 29.36 ACUITE A- | Stable (Reaffirmed)
Cash Credit Long Term 10.00 ACUITE A- | Stable (Reaffirmed)
Cash Credit Long Term 10.00 ACUITE A- | Stable (Reaffirmed)
Letter of Credit Short Term 20.00 ACUITE A2+ (Reaffirmed)
Letter of Credit Short Term 15.00 ACUITE A2+ (Reaffirmed)
Forward Contracts Short Term 0.64 ACUITE A2+ (Reaffirmed)
07 Feb 2025 Cash Credit Long Term 15.00 ACUITE A- | Stable (Upgraded from ACUITE BBB+ | Stable)
Proposed Long Term Bank Facility Long Term 29.36 ACUITE A- | Stable (Upgraded from ACUITE BBB+ | Stable)
Cash Credit Long Term 10.00 ACUITE A- | Stable (Upgraded from ACUITE BBB+ | Stable)
Cash Credit Long Term 10.00 ACUITE A- | Stable (Upgraded from ACUITE BBB+ | Stable)
Letter of Credit Short Term 20.00 ACUITE A2+ (Upgraded from ACUITE A2)
Letter of Credit Short Term 15.00 ACUITE A2+ (Upgraded from ACUITE A2)
Forward Contracts Short Term 0.64 ACUITE A2+ (Upgraded from ACUITE A2)
13 Nov 2023 Letter of Credit Short Term 10.00 ACUITE A2 (Reaffirmed)
Letter of Credit Short Term 10.00 ACUITE A2 (Assigned)
Letter of Credit Short Term 15.00 ACUITE A2 (Assigned)
Letter of Credit Short Term 5.00 ACUITE A2 (Assigned)
Cash Credit Long Term 8.00 ACUITE BBB+ | Stable (Reaffirmed)
Working Capital Term Loan Long Term 1.44 ACUITE BBB+ | Stable (Reaffirmed)
Proposed Long Term Bank Facility Long Term 20.56 ACUITE BBB+ | Stable (Reaffirmed)
Cash Credit Long Term 7.00 ACUITE BBB+ | Stable (Assigned)
Covid Emergency Line. Long Term 0.64 ACUITE BBB+ | Stable (Assigned)
Cash Credit Long Term 10.00 ACUITE BBB+ | Stable (Assigned)
Cash Credit Long Term 5.00 ACUITE BBB+ | Stable (Assigned)
Proposed Long Term Bank Facility Long Term 7.36 ACUITE BBB+ | Stable (Assigned)
­

Lender’s Name ISIN Facilities Listing Status Regulated By Date Of Issuance Coupon Rate Maturity Date Quantum
(Rs. Cr.)		 Complexity Level Rating
H D F C Bank Limited Not avl. / Not appl. Bank Guarantee (BLR) Unlisted RBI Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 5.00 Simple ACUITE A1 | Upgraded ( from ACUITE A2+ )
CENTRAL BANK OF INDIA Not avl. / Not appl. Cash Credit Unlisted RBI 08 Jan 2026 Not avl. / Not appl. Not avl. / Not appl. 10.00 Simple ACUITE A | Stable | Upgraded ( from ACUITE A- )
BANK OF MAHARASHTRA Not avl. / Not appl. Cash Credit Unlisted RBI 01 Sep 2025 Not avl. / Not appl. Not avl. / Not appl. 23.00 Simple ACUITE A | Stable | Upgraded ( from ACUITE A- )
H D F C Bank Limited Not avl. / Not appl. Cash Credit Unlisted RBI 31 Dec 2025 Not avl. / Not appl. Not avl. / Not appl. 5.00 Simple ACUITE A | Stable | Upgraded ( from ACUITE A- )
BANK OF MAHARASHTRA Not avl. / Not appl. Forward Contracts Unlisted RBI Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 5.00 Simple ACUITE A1 | Upgraded ( from ACUITE A2+ )
CENTRAL BANK OF INDIA Not avl. / Not appl. Letter of Credit Unlisted RBI Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 15.00 Simple ACUITE A1 | Upgraded ( from ACUITE A2+ )
BANK OF MAHARASHTRA Not avl. / Not appl. Letter of Credit Unlisted RBI Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 20.00 Simple ACUITE A1 | Upgraded ( from ACUITE A2+ )
Not Applicable Not avl. / Not appl. Proposed Long Term Bank Facility Unlisted RBI Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 13.00 Simple ACUITE A | Stable | Upgraded ( from ACUITE A- )
CENTRAL BANK OF INDIA Not avl. / Not appl. Term Loan Unlisted RBI 08 Jan 2026 Not avl. / Not appl. 30 Nov 2034 4.00 Simple ACUITE A | Stable | Upgraded ( from ACUITE A- )
Note:- For activities or ratings of instruments falling under the purview of Financial Sector Regulators other than SEBI, the grievance / dispute redressal mechanisms and investor protection mechanisms provided by SEBI shall not be available.


*Annexure 2 - List of Entities (applicable for Consolidation or Parent / Group / Govt. Support)

­
Sr No Name of the entity
1 Blue Phosphate Limited
2 Transworld Furtichem Limited
3 Blue Deebaj FZCO
 

Contacts

List of instruments and names of regulators of the instruments
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