ISLAMABAD: The Di-Ammonium Phosphate (DAP) fertilizer price have once again crossed Rs10,000 level as within the past one month it has witnessed an increase of Rs1,500 per bag and reached Rs10,886 per bag from Rs9,386 per bag.
According to farmers and market sources, DAP fertilizer price since the start of this month has witnessed an increase of Rs510 per bag. They said the commodity prices have reached Rs15,000 level in 2022 as a result majority of the small farmers stopped using the fertilizer, which following a global reduction in the prices was also reduced in the local market but now once again has started increasing.
The DAP fertilizer is being used in all the Rabi and Kharif crops and at present, farmers are sowing maize crop in Pakistan especially, in Punjab.
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Shahzada Maan of Pakistan Kissan Itehad told Business Recorder that not only DAP prices had started going up but urea fertilizer was also not available on government fixed rates of Rs2,250 per 50kg bag. He said urea fertilizer is being sold in the black market at Rs3,200 to Rs3,300 per bag.
He urged the government to take stern action against the fertilizer producers and dealers as the government was not only providing cheap gas to the fertilizer plants but also providing significant subsidy which was not being passed on to the farmers.
The country’s overall nutrient offtake during the first six months of the ongoing year has witnessed an increase of 44.7 percent on year-on-year basis to 590,000 tons compared to the same month last year, according to the National Fertilizer Development Company (NDFC).
In the first six months of the fiscal year 2023, the total nutrient offtake was recorded at 4,918,073 tons. Accordingly, in six months of the year2022-23 urea and DAP offtake stood at 3,368,993 tons, and 621,139 tons, respectively.
Among the nutrients, nitrogen and phosphate offtake increased by 45.1 percent on annual basis and 52.3 percent on yearly basis respectively during December 2022. However, potash offtake witnessed a decline of 91.6 percent over December 2021.
The report underlined that about 763,000 tons of fertilizer products were produced in Pakistan during the month of December 2022. The major share was urea with 576,000 tons. Other products were DAP 31,000 tons, Nitrophos 75,000 tons, CAN 73,000 tons, SSP 7,000 tons.
Total imported supplies were 194,000 tons comprising 193,000 tons of urea, 20 tons of DAP, and 500 tons of MAP during December 2022. As per the report, the total DAP offtake during December 2022 was 158,000 tons increased by 35.2 percent on yearly basis against 236,405 tons recorded in the same month last year.
“Increase in offtake of DAP is due to downward trend of its price and low offtake was observed in previous year,” the report added.
Copyright Business Recorder, 2023
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