Pakistan Agriculture News

Urea sales likely to rise by 51pc

LAHORE  – For April 2018, urea off-take is likely to post growth of 51 percent YoY to 377,000 tons due to early procurement by dealers/farmers in wake of its short supply and anticipation of rise in urea prices, as talks on removal of urea subsidy were hovering around in the said month.

Lower supply of urea was due to closure of few plants. Moreover, government is mulling to respond to this situation by importing urea around 300-600,000 tons.

To note, government has also projected urea imports amount of Rs5b (130-150k tons based on current landed cost) in its latest federal budget of FY19.

Among companies, Fauji Fertilizer Bin Qasim’s urea sales is expected to clock in at 37,000 tons, up by 80 percent YoY, followed by Fauji Fertilizer Company (FFC), +61 percent YoY to 160,000 tons, and Engro Fertilizer (EFERT), +25 percent YoY to 115,000 tons.