ISLAMABAD; Pakistan has turned into a real hub of urea and other fertilizers’ smuggling to Afghanistan, India and several other regional countries.
Huge gap of production cost of urea , one of major inputs of farming sector, is main attraction for smuggling of the urea from Pakistan to Afghanistan and other regional countries. Due to consumption of subsidized gas, Pakistan is the cheapest manufacturer of urea and other fertilizers. The government keeps gas available to fertilizer industry and that too on subsidized rates when its switched- off for many other key sectors in peak winter season. Uninterrupted smuggling of urea creates many glaring questions for the government . First, who pays for subsidized gas being supplied to the fertilizer industry?. Its simple answer is the gas consumers. gas companies do not share even a single penny for it. Both Sui Northern Gas Pipeline Limited (SNGPL) and Sui Southern Gas Company ( SSGC) use cross billing formula . All losses and subsidies to fertilizer and other industries are charged from the gaa consumers without mentioning in their bills.
According to the official statistics made available to NEWSMAN and DAILY DANISHWAR, the urea rates in Pakistan for the current season have been fixed at Rs 1768 per bag . However, its rates in the global market are around Rs 11000/ per bag. The government supplies subsidized gas to the fertilizer industry and its sole objective is to ensure availability of urea and other phosphorus fertilizers to the farmers at affordable price. The fertilizer industry of Pakistan priduces 6.5 million tons urea annually to meet local demand which is also equal to its consumption. The farmers ought get urea at fixed rates i e Rs 1768 a bag, but mostly its sold in the local market at exorbitant rates. Urea smuggling makes its avaialblity to the farmers in Pakistan difficult also.
Sources said the smugglers and their frontmen are openly buying urea at Rs 5000 a bag in Quetta and Zhob in Balochistan, Dera Ismail Khan , D G Khan , in Punjab, Mardan and many other districts of Khyber Pukhtunkhaw (KPK) without any fear of action by the law enforcing agencies.
“You go to Quetta, D I Khan, D G Khan Mardan, Peshawar and see yourself how urea is being bought by the facilitators of the smugglers and there is no check on this illegal business”, NEWSMAN source said.
The Federal Board of Revenue (FBR) and law enforcing agencies are involved in smuggling of urea to Afghanistan. Their officials take their share of money raised through this illegal business. Since India is deficient in urea and phosphorus fertilizers, thwir smuggling from Pakistsn to India is also like a common practice.
“The officials appointed at Pak-Afghan check posts have fixed rate of bribe for each vehicle loaded with urea to let its driver drive into Afghanistan. “They ( FBR and other departments officials charge Rs 200,000/ for each vehicle, carrying urea to pass on the load to Afghanistan”, the source said. Interestingly, FBR chairman had visited entry points at Pak Afghan borders recently and appreciated vigilance of FBR staff to check smuggling of any kind from Pakistan to Afghanistan.
Massive urea smuggling from Pakistan to Afghanistan exposes hyprocratic attitude of FBR chairman in this context.
When contacted, Khalid Mahmood Khokhar, president All Pakistan Kissan Ittehad said on Sunday ” We have serious concern over smuggling of urea from Pakistan to Afghanistan and some other regional countries. Mr Khokhar said “Uninterrupted smuggling of urea from Pakistan to Afghanistan will restrict it to achieve target of 29.5 million tons wheat production for the current year”.
Pakistan turns hub of urea smuggling to Afghanistan
Bribe rules at Pak-Afghan check posts
Arif Rana is the Chief Editor and senior correspondent, Islamabad based journalist, who did his Master in English Literature from Government College University Lahore.