Fatima Fertilizer Company Limited (PSX: FATIMA) has increased urea prices by Rs. 551 per bag.
Our channel checks have confirmed that FATIMA has increased urea prices by Rs. 551/bag despite any changes in current gas rates. The producer’s new rate stands at Rs. 4,400/bag effective from 23 April 2024.
Earlier this month, Fauji Fertilizer Company Limited (PSX: FFC) hiked its urea prices by Rs. 633/bag to Rs. 4,400/bag.
Engro Fertilizer Limited (PSX: EFERT) rates for urea remain at Rs. 4,649/bag.
It bears mentioning that both FFC and FATIMA receive Mari network gas at a subsidized price of Rs. 580 per MMBtu, while other manufacturers on SSGC and SNGPL networks faced a Rs. 1,597 per MMBTU tariff hike in February 2024.
This disparity in gas pricing for the same product within the industry has led to a massive disparity in urea rates.
Urea prices play a crucial role in determining the prices of essential food commodities. Any arbitrary increase in urea prices by fertilizer companies can lead to higher costs f
or farmers, ultimately resulting in more expensive food prices for consumers.
Source: Pro Pakistani