Rs128/bag Urea Price Hike Expected – Research Snipers

Rs128/bag Urea Price Hike Expected

Due to the increase in gas prices, it is expected that the Urea prices will be increased by Rs128 per bag.

A Fertiliser Manufactures of Pakistan Advisory Council (FMPAC) spokesman said, “The fertiliser industry is already suffering on account of subsidy of Rs20 billion, withheld by the government.”

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Adding, “The profits have also dwindled to their lowest levels over the past six years regardless of record revenues achieved by major players.”

The FMPAC spokesman said that all over the world the governments try to protect their industries and control the import bills.

The spokesman said, “The government should provide relief through adjustment in GIDC and other taxes to fertilizer sector, offering a competitive advantage vis-a-vis international market, thus supporting local farmers through affordable prices.”

He also said, “The gesture of government especially the ministries of industries and production, and finance and petroleum, in this regard is appreciated by all and sundry.”

He said that the major challenge in the sector is the high price of imported liquefied natural gas (LNG) and the shortage of local gas. He said,  “Furthermore, not supporting the domestic production may result in urea shortage, forcing costly imports and volatility in prices.”