OCP Group

OCP Group

Industry	Phosphates, Chemicals
Founded	1920
Headquarters	Casablanca, Morocco
Key people	Mostafa Terrab (Chairman)
Revenue	US$ 4.575 billion (2015)
Net income	US$ 562.02 million (2015)
Owner	Government of Morocco (100%)
Number of employees	about 20.000
Subsidiaries	Mining & processing Phosboucraâ Prayon Euro Maroc Phosphore Jorf Fertilizer Company Indo Maroc Phosphore Pakistan Maroc Phosphore Zuari Maroc Phosphates Limited Paradeep Phosphates Limited International & trading OCP International OCP Fertilizantes OCP de Argentina OCP do Brazil Black Sea Fertilizer Trading Company OCP Africa Engineering & Consulting Jacobs Engineering S.A Transportation Engineering and Management Consultants DuPont OCP Operations Consulting Ecosystem Development Société d'Aménagement et de Développement Vert Société d'Aménagement et de Développement de Mazagan OCP Innovation Fund for Agriculture Fondation OCP Fondation Phosboucraâ
Website	http://www.ocpgroup.ma/en

The OCP Group (formerly the Office chérifien des phosphates), founded on August 7, 1920 in Morocco^[1][2] and transformed into a limited company (OCP SA) in 2008, is one of the leading exporters of phosphate rock, phosphoric acid and phosphate fertilizers in the world.^[3][4][5][6]

The OCP Group has nearly 20,000 employees located mainly in 4 mining sites and two chemical complexes in Morocco, as well as in other international locations.^{[7][8][9][10]} The group has several subsidiaries in and outside of Morocco. In 2015, its turnover amounted to US $4.575 billion.

History

Boujniba: first mine

The OCP Group started its activity of extracting phosphate and the shipment processing of phosphate on March 1, 1921, when the first mine in Boujniba in the Khouribga area, the richest phosphate deposits in the world, was opened.^[11] Transporting the phosphate to the port of Casablanca started in that year, allowing the first export of phosphate on July 27, 1921. Subsequently, OCP opened three other mining sites known as Benguérir, Boucraâ-Laayoune and Youssoufia.^[12]

Industrial development

Production gradually increased to 5 million tonnes in 1954. Since then, production has continued to expand, exceeding the 10 million tonnes threshold in 1964 and 20 million tonnes in 1979.

Between 1951 and 1961 drying and calcination plants were established in the Khouribga and Youssoufia areas. In 1962, the OCP Group established a "Customer Care Service" consisting of engineers and technicians who travel the world with a mission to monitor the use of phosphates that have been delivered to customers in order to constantly improve the qualities produced in accordance with the evolution of processing techniques.^[13] To continue its growth and to win new international markets, the OCP Group created Morocco Chemicals in 1965. The company is responsible for the production of different products derived from phosphate with a plant built in Safi.^[14][15] The first exports of phosphate derivatives began that year.

In 2014, the OCP Group inaugurated the pipeline linking Khouribga to Jorf Lasfar, a technological advancement in the transportation of phosphates.^[16]

Establishment of the OCP Group

In 1975, the Office chérifien des phosphates became the OCP Group.^[14][17]

In the following years, the OCP Group invested in the creation of new production lines, especially in Jorf Lasfar, where the construction of a new chemical complex began in 1982. These new industrial structures for the production of sulfuric acid and phosphoric acid would become effective in 1986, followed by the production lines for fertilizer in 1987.^[18]

In 1994, the OCP Group started a new mining project in Sidi Chennane in the Khouribga area.^[19] The construction of the purified phosphoric acid plant was launched in Jorf Lasfar in 1996 and effectively started in 1998.^[20]

In 2008, the OCP Group became a limited company.^[21][22] To date, 95% of the OCP Group is owned by the state and 5% by the Banque Centrale Populaire.^[23][24]

The group

The Group's activities are organised into an integrated model covering all operations of the value chain from the extraction of phosphates to the production and marketing of various products including fertilizers and phosphoric acid.^[25]

The OCP Group plays an important economic and social role in Morocco. The value of phosphates and their derivatives represented nearly a quarter of the country's exports and approximately 3.5% of the GDP in 2010.^[26][27]

Since 2007, the OCP Group aims to double its annual phosphate production capacity by 2017 (to reach a production capacity of fertilizers of almost 12 million tonnes)^[28] and to triple its production of fertilizers by 2020.^[25][29]

In 2016, Fitch Ratings confirmed the rating of "investment grade" for the OCP Group.^[30][31][32]

After approval from the Autorité Marocaine du Marché des Capitaux (AMMC) [the Maroccan Authority of the Capital Market] on December 9, 2016, the OCP Group managed to reach 10.2 billion dirhams of bonds from the national community. This loan is the largest ever made in the Moroccan market.^{[33][34][35][36][37]}

OCP Africa

In February 2016, the OCP Group created a new subsidiary named OCP Africa, which is responsible for leading the development of the group on the African fertilizer market through a network of subsidiaries in 5 African countries. The subsidiary was granted the status of Casablanca Finance City (CFC) for investors on the African continent to benefit from an attractive package of tax incentives and other opportunities.^[38][39] The OCP projects in Africa cover the entire value chain, including the local construction of fertilizer plants, the development of logistics and distribution capabilities, as well as investment in research for the development of formulas adapted for the soils and crops (mapping the African soil fertility and respective fertilizer needs). The African Development Bank (ADB) has pledged to support the various initiatives of the OCP Group in favour of the African continent.^{[40][41][42][43]}

The OCP Group plans to open 14 new branches in Sub-Saharan Africa to make a promising entry into the African market. The main countries targeted by this operation are: Ivory Coast, Senegal, the Democratic Republic of Congo, Benin, Cameroon, Nigeria, Tanzania, Angola, Zambia, Zimbabwe, Mozambique, Kenya, Ghana, and Ethiopia.^[44]

Nigeria

In 2016, the Nigerian head of state and King Mohammed VI presided over the ceremony marking the launch of a strategic partnership for the development of the fertilizer industry in Nigeria. In particular, this partnership includes an agreement between the OCP Group and Dangote Industries Limited for creating a platform for fertilizer production in Nigeria. Similarly, an agreement for developing the fertilizer market was signed between the OCP Group and the association of fertilizer producers and suppliers in Nigeria.^[45][46][47] Likewise, a pipeline project linking Nigeria to Morocco, passing through several countries in West Africa, is about to take shape.^{[48][49][50][51][52]}

Rwanda

In October 2016, during the visit of King Mohammed VI, the Ministry of Agriculture and Animal Resources signed an agreement with the OCP Group for the construction of a fertilizer plant in the country to facilitate access to these local farmers.^[53]

Saftco

On May 25, 2016, the OCP Group opened a commodity trading entity in Switzerland that includes phosphate, fertilizers and chemical products.^[38][54]

Financial information

Executives (2016)

Top Management

• Chairman & CEO: Mostafa Terrab
• Secretary general - Managing Director: Mohamed El Kadiri
• Managing director: Mustapha El Ouafi

Senior Management

• Executive vice president strategy & corporate development: Marouane Ameziane
• Executive vice president sales, marketing & raw material procurement: Mohamed Belhoussain
• Executive vice president legal affairs & general counsel: Otmane Bennani-Smires
• Executive vice president human capital: Faris Derrij
• Executive vice president industrial development: Soufiyane El Kassi
• Executive vice president industrial operations: Iliass Elfali
• Executive vice president chief financial officer: Ghislane Guedira
• Executive vice president public affairs & group communication: Talal Zouaoui

External links

• Official website of the OCP Group
• Official website of OCP Africa

See also

• Economy of Morocco

References