ISLAMABAD : April 17, 2023: As Kharif season 2023 is approaching closer , a top level committee assigned the task to increase local urea production is yet to have the first meeting to formulate a strategy to ensure continuous supply of gas to the fertilzer plants across Pakistan.
The Economic Coordination Committee of the federal cabinet had taken a decision to ensure supply of gas to all the fertilizer plants in the country at unform price so that the production cost of urea and DAP remains the same in whole of Pakistan . The ECC had also constituted a committee headed by Pakistan Muslim League Nawaz (PMLN) senior leader Shahid Khaqan Abbasi. Since the purpose to ensure supply of uninterrupted gas to the fertilizer plants till May is to get maximum production of urea and DAP to reduce reliance on imports and meet demand of the agriculture sector for upcoming Kharif season . But the lack of implementation of the ECC decision even after lapse of one and half months for supply of continuous gas will not only reduce local production of urea and DAP, but also force Pakistan to import these fertilizers and spend huge forex exchange on it.
Since different fertilizer plants get gas at different rates it creates quick variation in the rates at retail level.
For example SS urea is being priced at Rs 2440 a 50 kg bag and BS urea is being sold at Rs 2791 .
Such a big difference naturally results in market distortion and causes problem for the dealers , besides costing more to the farmers in some areas .
The ECC had taken a good decision in its meeting held on March 9 2023 that all fertilizer plants will be supplied gas at unform rates till May to
ensure availability of urea and DAP at the same rates .
All Pakistan Fertilizer Dealers Association (,APFDA) pattern- in- chief , Mr Ghulam Ahmad , has demanded implementation of the ECC to ensure supply of uninterrupted gas to fertilizer plants at uniform rates .
Talking to NEWSMAN , Mr Ghulam Ahmad on Monday said its urgent and necessary to implement the ECC decision to supply gas to all fertilizer plants without any hassal so that local production of urea and DAP maximises and reduces reliance on imported fertilizers for Kharif season 2023.
He said local production of urea and DAP depends on continuous gas supply to the fertilizer plants and its most important to ensure supply of urea and DAP to the farmers at fixed rates in Kharif season 2023.
The fertilizer review committee (FRC) has.projected consumption of 3.2 MT urea and 2.9 MT local production for Kharif season. These statistics show shortfall of 0.3 million MT urea for Kharif season 2023.
The government had two options. Either to import 0.3 million tons urea for Kharif season or supply continuous gas from Sui Northern Gas Pipeline Limited (SNGPL) system to the fertilizer plants and enhance local proction to meet projected consumption of 2.9 MT.