50,000 tons urea being imported due to gas crunch

LAHORE: Gas curtailment of the fertilizer sector, mainly of the Engro, has created a chaotic situation as the country is facing a huge gap between demand and supply. Consequently, the government has decided to import 50,000 tons of urea on urgent basis to meet the rising demand of the Kharif season.
Currently, the international urea prices are hovering around $450 per ton (Rs1936 per bag). On the other hand, in Pakistan urea is being sold in the range of Rs1,250 to Rs1,300 per bag. Even if the impact of the gas subsidy is incorporated still there is an ample space available for the producers to raise the urea prices in the range of Rs200 to Rs250 per bag.

Leave a Reply