ECC directs Petroleum Division to supply indigenous gas to urea fertiliser

Shortfall between demand, supply of fertiliser estimated to be 0.3MMT

ISLAMABAD: The Economic Coordination Committee (ECC) of the cabinet directed the Petroleum Division to supply indigenous gas to urea fertiliser plants till May 31 to meet 3.2 million metric ton urea requirement for the kharif crop.

Federal Minister for Finance and Revenue Ishaq Dar presided over the meeting of the ECC of the Cabinet.

The ECC considered and deliberated on the summary submitted by the Ministry of Industries and Production on the urea fertilizer requirement for kharif production in 2023.

Sources informed Profit that a meeting of Fertilizer Review Committee (FRC) was convened on March 9, 2023 to review the fertiliser situation for upcoming kharif season. In the meeting the Ministry of National Food Security and Research projected the demand for urea fertilizer to be 3.2 million MT, whereas production to be around 2.9 million MT.

Sources said Shahid Khaqan Abbasi led committee proposed ECC to direct petroleum division to supply indigenous gas to both plants at SNGPL network Fatima Fertiliser (Shiekhupura plan) and Agritech for bridging the gap between demand and supply of Urea fertiliser for kharif season 2023.

The committee has also proposed the ECC to decide gas pricing matters of indigenous gas to both plants on a long term basis.

Sources also said that the Ministry of National Food has also proposed to import 300,000 metric ton of urea fertiliser by May 2023.

The provincial agriculture department has already requested the Ministry of Industries and Production for ensuring operation of SNGPL based plants for meeting demand of urea fertiliser in the country.

Sources said that ECC dated March 30, 2022 had already directed the Petroleum Division to shift the SNGPL based plants to indigenous gas by September 30, 2022. However, the above mentioned plants have not been provisioned with indigenous gas till date.

Setting aside the option of importing the urea fertilizer, the ECC decided and directed the Petroleum Division to supply indigenous gas to urea fertilizer plants till May 31, 2023 to meet the urea requirement in the country for the kharif for the year.

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Shahzad Paracha
Shahzad Paracha
The writer is a member of Pakistan Today's Islamabad bureau. He can be reached at [email protected]



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