This significant deal reinforces the strategic partnership between the two nations and solidifies India's emerging role as a global leader in green energy production.
India's cleantech sector has achieved a significant milestone with the signing of a long-term memorandum of understanding (MoU) for the supply of green ammonia from ACME Cleantech to a Japanese entity. The agreement was a key highlight of a recent official visit by Indian Prime Minister Narendra Modi to Japan, where it was finalized in the presence of both nations' leaders. This collaboration is set to become a cornerstone of the bilateral clean energy partnership and is a decisive step toward a decarbonized global economy.
This strategic move follows a series of collaborative efforts, most notably an MoU signed in early 2025 by a consortium of six major Japanese corporations: IHI Corporation, Hokkaido Electric Power, Mitsubishi Gas Chemical Company, Mitsui O.S.K. Lines (MOL), Mizuho Bank, and Tokyo Century Corporation. This group, which has since formed a joint venture with ACME, agreed to investigate investment opportunities in a new green ammonia production facility in India. This previous engagement laid the groundwork for the long-term supply agreement, demonstrating a multi-phased and coordinated approach to establishing a robust green energy supply chain.
The project at the heart of these agreements is located in Gopalpur, Odisha, and is being jointly developed by ACME and IHI Corporation. With a planned annual production capacity of approximately 400,000 tons of green ammonia, the facility is set to be one of India's largest. It will cut over 800,000 CO2 emissions annually. The project has already achieved significant milestones, including the establishment of a 70:30 joint venture (with IHI holding a 30% stake), securing the required land, and completing the Front-End Engineering Design (FEED). The plant is targeted for commissioning by 2029-30, with its production primarily earmarked for export to Japan.
The significance of this collaboration extends beyond a commercial arrangement. It is a direct response to the "Joint Declaration of Intent on Clean Hydrogen and Ammonia" adopted by the two Prime Ministers during the 15th Japan-India Annual Summit in Tokyo in August 2025. This declaration, a key component of the India-Japan Clean Energy Partnership, aims to create a large-scale supply chain for green ammonia. The project in Odisha directly supports this vision, leveraging India's vast renewable energy potential and Japan's advanced engineering expertise.
The green ammonia produced will be transported to Japan to serve various domestic industries, including power generation and chemical manufacturing, thereby helping Japan meet its long-term decarbonization goals.
