Nagarjuna Fertilizers & Chemicals Nigeria Limited

Serving Society Through Industry   
Corporate Governance


At Nagarjuna, corporate governance is self regulation, maintaining values, ethical business conduct and how an Organization should be managed and the responsibility, commitment towards stakeholders to enhance stakeholder value on a sustainable basis.


The company driven by a desire to be more competitive and recognized globally had inculcated more than a decade ago, the rules that define ethical business, much before it was introduced as statutory compliance through Clause 49 of the Listing Agreement.

Our company firmly believes that building a culture of compliance is more than meeting regulations and standards. Our company is always proactive in meeting mandated standards and practicing corporate governance in spirit and not just the letter of the law.


Our philosophy on corporate governance is based on preserving core values and ethical business conduct. Commitment to maximizing shareholder value on a sustained basis, while looking after the welfare of multiple stakeholders is a fundamental shared value of Nagarjuna’s Board of Directors, Management, and Associates and critical to the company’s success. This value system translates into institutionalizing structures and procedures that enhance the efficacy of the Board and inculcates a culture of transparency, accountability and integrity across the company.

Our contributory factor is self regulatory system of prompt reporting, monitoring, certification and voluntary code of practice and standards which improves management effectiveness, supervision and accountability to stakeholders.


Trusteeship, Transparency and Accountability

We are committed to trusteeship, transparency, accountability and equality of treatment in all our dealings and maintain a positive bonding between stakeholders and the company.

Our belief that timely disclosures, transparent accounting policies and a strong independent Board go a long way in preserving stakeholders trust and maximizing stakeholder value.

Quality & Service

We are dedicated to achieve and maintain highest levels of quality in all the products.
We delight our stakeholders by providing them the best services.

Integrity, Professional Interaction and Mutual Respect

Our success is largely based on the culture that fosters mutual respect for the respective rights and dignity of our fellow associates. We strive to maintain an atmosphere where we exercise the highest levels of integrity in our professional interaction with each other.


We believe that corporate governance practices cannot be engraved on stone for all time; rather, it is an ongoing continuous process with an urge to comply from within. We ensure best corporate governance practices to attract financial and human capital and leverage these resources to maximize long term stakeholder value.

A ) Board of Directors

  • Our Board comprises of eminent individuals from diverse disciplines with immense knowledge which represents the stakeholder’s interest in perpetuating a successful business and optimizing long term financial returns.


We believe that corporate reputations are built and sustained on long term basis, from perceptions of management strength, corporate performance and corporate values.

We aim to provide the stakeholders with accurate, transparent and understandable information. The Chairman and the Secretary of the company are responsible for establishing effective communications with company’s stakeholders.

The company to ensure good corporate governance relies on various other areas for administering effective management such as

i) Purchase Procedures

We believe that materials, supplies and equipment are essential for the functioning of the company and its efficiency is contingent upon having these available in right quantity, quality, place, time and price. The company had outlined detailed purchase procedures to achieve high efficiency levels, a healthy degree of internal control and fairness in dealing with the vendors.

ii) Vendor Grievance Policy

Our company aims to maintain consistent, smooth and timely supply of quality material & services at economically viable & competitive price from various vendors. With an oversight to resolve grievances, if any, a policy on Vendor Grievances is in place, to benefit the vendor – company relations.

iii) Policy on Supply Chain Management

We strive for excellence and are customer focused and deliver customer needs in terms of value, quality, satisfaction and innovation. Our company being the market leader in supply of agri- products, ensures efficient management and unhindered supply of products. To benchmark our supply chain management a policy has been put in place.

iv) Corporate Social Responsibility Policy

Living up to our commitment, we always lay special emphasis of being a responsible corporate citizen and make significant contribution towards community development. Our heritage of returning to society what we have taken evokes trust among stakeholders. This belief is reflected in the company’s deep commitment to contribute to the ‘Triple Bottom Line’ namely Development, Nurture and Regeneration of the Nation’s economic, social and environmental capital.

A ‘Policy on Corporate Social Responsibility’ is in place to meet the stakeholders’ aspirations and societal expectations.

v) Risk Management

We have formulated an Enterprise Risk Management Policy to manage unforeseen risk. The implementation of this Policy is through the Risk Management Steering Committee. The Committee is supported at Plant and at Corporate Office by Plant Risk Management Committee and Corporate Risk Management Committee. The Committee at an early stage identifies, manages and responds to critical, cautionary and manageable risks in a systematic manner. To actively involve and inculcate the risk management right down the Organization ‘Risk Owners and Risk Champions’ were appointed for each Department. Periodic meetings are held to review existing / new risks and action plans are prepared to mitigate the risks.


We believe that the best custodians with long term interests of company are its associates. We had always sought to be a value driven organization for our empowering associates. The power of “five i's": is cherished in our organization, i.e., Interesting work environment, Information to associates, Involvement of associates, Independence of decision making and Increased visibility.

At Nagarjuna the key driver in all our growth strategies is the human capital of Nagarjuna. Our leading spirit has empowered us to expose our associates to world class best practices, as mentioned below:

i) Legal Compliance Policy

We are committed to adhere to highest levels of statutory compliances required under various Local, National and International Laws and co-operate and comply with all regulatory authorities and attempt to go beyond the statutory compliance. Our Legal Compliance Policy ensures adherence to all statutory laws by all associates at all levels.

ii) Internal Control System

Our self regulatory system assures the effectiveness and efficiency of operations, the adequacy of safeguards for assets, the reliability of financial controls, and compliance with applicable laws and regulations. We believe that internal control is a necessary concomitant of the principle of governance and that freedom of management should be exercised within a framework of appropriate checks and balances.

iii) Code of Conduct and Ethics

We firmly emphasize that director and senior management observe the highest standards of ethical conduct, integrity, accountability and works to the best of their ability and judgment. To strengthen the concept a ‘Code of Conduct and Ethics for Board of Directors and Senior Personnel’ is in place and is being regressively followed.

iv) Whistle Blower Policy

Our ‘Whistle Blower Policy’ enables associates of the company, at all levels, to voice any concern against any malpractice or wrongdoing in the course of the company’s dealings or day to day transactions.