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Industry says adequate fertilizer stocks were available till July

Industry representatives give credit to govt for having sufficient fertilizer stocks to avoid any crisis in current situation. Urge govt to ensure availability of gas for fertilizer plants for required production . Tell policy - makers shut down of any fertilizer plant was unnecessary and cause of panic. Industry demands availability of diesel on priority for transportation of urea across Pakistan.

Islamabad : A meeting of the FRC was chaired by Federal Minister NFSR here on Tuesday . The meeting was attended by the Secretary MNFSR, senior officials of the other ministries including the DG Gas, and representatives of fertilizer companies.

At the outset, the Chief of the NFDC cell presented an overview of fertilizer stocks, production levels, and projected offtake. Based on the available data and estimated demand, it was concluded that the current stock position is adequate to meet national fertilizer requirements up to July.

Sources said It was observed by the fertilizer industry that the comfortable stock position is largely the result of prudent planning by the Ministry and its sustained efforts over the last two years to ensure the continued operation of system-based fertilizer plants. These efforts have helped stabilize the market and maintain a healthy stock level, which currently stands at approximately 900,000 tons.

It was noted that shutdown of two fertilizer plants, despite sufficient stocks, could send a negative signal to the market and create unnecessary uncertainty. We therefore emphasized that this impression should be dispelled through an appropriate press release clarifying the availability of adequate stocks.

The committee also discussed the outlook beyond July. It was highlighted that the present stock cushion may decline before July 2026. In this context, the government was requested to ensure that the fertilizer sector received priority in gas allocation when situation allows so that domestic production remains stable.

It was also pointed out by CEO Agritech that in the event of prolonged disruptions in global supply chains, international fertilizer prices—already on the rise—could increase further and potentially lead to shortages of urea in the international market. In such circumstances, maintaining domestic production would be crucial for national food security.

Another concern raised during the meeting related to the availability of petroleum products. It was observed by CCO Efert that any shortage of diesel could adversely affect the transportation of urea across the country. The Committee therefore requested that, while determining national priorities for diesel allocation during any emergency situation, transportation of fertilizers should be accorded priority given its essential nature.

Shahbaz FFC highlighted that the process for allocation of gas from the Mari network may take considerable time under normal procedures. Considering the prevailing national circumstances, it was suggested that the necessary procedures be expedited so that gas supply to fertilizer plants can be arranged without delay. It was also suggested that gas from Mari flowing into the system may be considered to be supplied to fertilizer plants.

The Director General Gas explained that approximately 35–40 MMSCFD of gas from the Shewa field is presently entering the system; however, this supply may not be available for fertilizer plants due to domestic sector’s priority. He, however, suggested that the proposal could nonetheless be examined in detail.

It was further emphasized that uninterrupted gas supply from SSGC to the FFC Port Qasim (FFC PQ) plant is essential to ensure continued domestic production of DAP, which remains critical for the agriculture sector.

COO Fatima Group expressed concern that, in the event of shutdowns of system-based plants, investors might resort to speculative buying and hoarding. It was therefore stressed that the provincial enforcement machinery should remain vigilant and effective in order to ensure the smooth availability of fertilizers to farmers.

Decisions of the Meeting

The option of supplying gas from the Mari network to fertilizer plants may be examined in detail by PD.
The approval of newly allocated gas to the fertilizer sector should be expedited on priority to sustain domestic fertilizer production.
SSGC should continue uninterrupted gas supply to the FFC Port Qasim plant to ensure continued production of DAP.
In case of any POL rationing, priority should be given to transportation carrying fertilizers in the allocation of diesel quota.
Provincial governments should be asked to exercise due vigilance to avert chances of market manipulation and hoarding.
The meeting concluded with a vote of thanks to the Chair.

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