Islamabad December 15 2023: Pakistan DAP sales increased 17.7 percent during the month of November 2023, according to data released by National Fertilizer Development Centre.
Urea and DAP inventory reaches record low of 119 and 32 thousand toness, the report stated. Urea and DAP offtake was respectively 611 and 278 thousand tonnes that increased by 4.8 and 17.7 per cent over November 2022. Total nutrient offtake during November 2023 was 543 thousand tonnes, which increased by 12.4 per cent over November 2022. Nitrogen, phosphate and potash offtake increased by 8.3, 22.4 and 286.8 per cent, respectively.
Total domestic fertilizer production during November 2023 was 808 thousand tonnes. Urea and DAP production were 574 and 71 thousand tonnes, respectively. Production of other products i.e. CAN, NP and SSP were 77, 76 and 9.2 thousand tonnes, respectively.
Total imported supplies were 129 thousand tonnes comprising 123, 3.5, 1.9 and 0.9 thousand tonnes of DAP, SOP, MOP and Ammonium Sulphate, respectively.
Prices of all fertilizer products increased during November 2023. Price of nitrogenous fertilizers urea (sona), urea (other) and CAN increased by 4.8, 4.5 and 3.2 per cent, respectively during November 2023 as compared with previous month. The prices of NP, DAP, SOP, SSP (G) and NPKs increased by 7.6, 7.3, 3.3, 2.4 and 3.9 per cent, respectively over October, 2023. The average price of urea (sona), urea (other) and DAP was Rs. 3,968, Rs. 3,874 and Rs. 13,071 per 50 kg bag, respectively.
Declining trend in price of urea in international market was observed during November 2023. Urea prices were quoted as US$ 360-380 and US$ 315-380 per tonne FOB bulk for China and Arabian Gulf, respectively. DAP prices were in the range of US$ 554-655 per tonne FOB bulk in Australia and US$ 575-592 per tonne FOB in China. MAP and TSP bulk prices were US$ 510-531 and US$ 390-455 per tonne FOB, respectively. Ex-Karachi price of imported urea ranged between Rs. 6,053 and 7,099 per 50 kg bag, while price of imported DAP was in the range of Rs. 10,568 to 12,266 per 50 kg bag.
Rabi 2023-24 started with 77 thousand tonnes urea. Total availability of urea is estimated at 3,467 thousand tonnes with domestic production of 3,170 thousand tonnes and 220 thousand tonnes of imported supply. Urea demand during Rabi 2023-24 is projected around 3,335 thousand tonnes showing a tight supply demand situation during remaining period of Rabi. The availability of urea can be improved by keeping all plants operational at full capacity during entire Rabi season. 220 KT urea imports are underway and start arriving from 20th December, 2023 onward. Its upcountry transportation on fast track basis may be ensured by NFML to secure smooth urea supplies at affordable price for timely application on wheat crop.
DAP availability during Rabi 2023-24 is expected to be around 981 thousand tonnes, comprising 38 thousand tonnes opening stock, 433 thousand tonnes domestic production and 510 thousand tonnes imported supplies. DAP demand is estimated as 875 thousand tonnes. Thus closing balance will be around 99 thousand tonnes.
