Urea prices would rise
According to industry stakeholders, public gas utilities -
SNGPL has sought a tariff increase of around 100% (
At the same time, the fertiliser sector will also be affected and this will lead to a significant increase in prices of essential fertilisers, especially urea. In
Although the proposal was not implemented by the government at the time, urea prices would go up approximately
Industry stakeholders feared that any price hike was likely to increase the burden on farming community amid the Covid-19-induced slowdown and severe locust infestation that had destroyed thousands of acres of cultivated areas.
Urea offtake had declined drastically during the year due to the worsening farming situation and the government's subsidy announcement due to which farmers delayed fertiliser purchase decisions, they added.
Furthermore, according to the stakeholders, recent budgetary amendments to tax laws have increased challenges for the fertiliser industry, which may require a further increase in urea prices by
© Pakistan Press International, source