Karachi: The price of a 50 kg bag of fertilizer has been increased by Rs 634 per bag, after which a 50 kg bag of fertilizer has become Rs 4,286.
Tahir Abbas, Research Head of Arif Habib Limited, said that FFC gets gas from Mari Petroleum Network. News is spreading in the market that the government is going to increase the gas price of Fuji Fertilizer by Rs 1,597 per mmbtu to establish a level playing field among all fertilizer manufacturers. Urea prices will stabilize.
On the other hand, Fuji Fertilizer Bin Qasim Limited has reduced the price of urea by Rs 783 per sack, after which the new price is Rs 4,336 per sack. Meanwhile, FFBL and Engro Fertilizers had hiked urea prices by up to Rs 2,500 per sack due to non-supply of subsidized gas.
Topline Research has said that supply of gas to Fuji Fertilizer Company at industry level will generate additional revenue of Rs 80 to 100 billion to the government, and stabilize urea prices.
