FFC Increase Urea Rates, Bad News For Formers

fauji fertilizers company
fauji fertilizers company
fauji fertilizers company

LAHORE – Following Rs 202 per 50-kg bag boost in urea price by Engro that included the GST, the FFC, FFBL and Fatima Fertilizer have furthermore increased the urea rate by Rs 202 per bag on the plea of gas curtailment to the fertilizer plants.
commerce sources said that Fauji Fertilizer Company has elevated the urea rates unjustly, because the company is obtaining gas smooth gas provide while other businesses plants are still fasten due to gas supply suspension. Now the present ex-factory cost stands at Rs1,580/bag. They said that the Engro had increased the urea rate fourth time last week.
Zahir Mehmood, GM trading of the Fatima Fertilizers, Pak Arab fertilizer vegetation is absolutely closed due to gas provide suspension. This gas curtailment broadened the provide demand gap for urea, gas provide assists convey urea prices down. Gas supply is the main concern basis we are compelled to lift the rates, he contended.
Muhammad Munir Malik, GM Finance of the FFC, while conversing to The Nation, confirmed that the business has increased the prices by Rs202 per 50kg urea bag, saying the plant is obtaining nearly 12 percent less gas. He said that some other fertilizer plants are fasten from a long time, although, the FFC plant is running certainly, though it is being provided less gas.
causes in the commerce said that the Agri Tech has advanced the rates by Rs400 per 50kg bag productive from October 11.
Experts said that the increase apprehensions all the conjecture that FFC would not pursue Engros urea cost hike on account of political force excreted on the business after the Agri-input meeting chaired by the leader last week.
professional said that in response to gas provide constraints that yet afresh shut down the procedures of Engros new urea plant, Engro Corporation had increased urea charges by Rs200/bag to Rs1600/bag (retail).
meantime, Zahir Mehmood, GM trading of the Fatima Fertilizers emphasized the entire restoration of gas provide to plants on the SNGPL mesh to ensure the urea demand in the country. He said that the businesses were gravely disappointed on the curtailment of gas which has forced them to enhance their rates to reduce the deficiency.
He said that the fertilizer businesses including Dawood Hercules, Pak Arab, Agritech and Engros new vegetation had been obtaining on an mean 80 per hundred of their assigned gas supply since Sept 5th 2011, which had assisted decline urea shortage and conveyed charges down over the country. although, the latest curtailment has derailed the steadiness in urea supply and the downward pricing risk, he added.
He observed that proceeded gas curtailment would lead to larger lack for the Rabi time of the year and beyond. He said that government understands how significant the agriculture sector is so this shutdown is baffling. They have to ensure provide on a reliable and equitable basis so ranchers and the agriculture founded economy are not adversely influenced due to lack of urea, Zahir said.
He sustained that in the first half of the year, the fertilizer part obtained only 3 days of gas per week which was the smallest quantity given to any part, regardless of the fact that agriculture is the mainstay of our finances and fertilizer is the essential input.

Author: Ghu Hasa

I am Ibn-e-Arif with a dedicated editors team, running this news blog to share the best and updated news worldwide with all the truth and reliability.

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