ISLAMABAD - Despite Prime Minister Nawaz Sharif's orders to reduce fertilizer prices and display price tag on the bag, fertilizer manufacturers are selling the product at a much higher price neither they have printed the government announced price on the bag.
Reliable sources said that no significant results have been observed of the PM's other day initiative to control fertilizer prices and the manufacturers and the traders are still on their own and are charging their wishful price from the farmers.
It was reliably learnt that urea fertilizer was being sold at a price more than Rs 1800 per bag instead of Rs 1725 directed by the government. The farmers are forced to pay the said price as they need the fertilizer for better produce of their wheat crop. Yes there is a very minor difference observed after the government jumped in to control the fertilizer prices. Earlier a fertilizer bag was being sold around Rs 1900 per 50 kg bag. After the government interference it has reduced around Rs 100 per bag.
The sources said that the important thing to understand was that even at Rs 1800 per bag the fertilizer companies and traders are earning huge profit so it is easily understandable that how much money they were minting by selling the product at Rs 1900. On the other side the fertilizer companies always try to increase the prices with connivance of the decision makers and within 3 to 4 years the prices have almost doubled whereas the cost is not increased in that proportion.
There is enough profit even if the companies sell fertilizer at a price of Rs 1725 including retailers profit. The sources said that there is no existence of the government in terms of controlling input prices for the farmers but when it comes to prices of their produce, the government jumps in to force them to sell their crops at government announced prices.
Such as in the past the government authorities raided the farmer's wheat stocks and forced them to sell it on cheaper prices as compared to the price available in the market. In all scenarios farmers are the ultimate victim, they said.
It is also pertinent to mention here that the country is already facing wheat under-sowing situation. Provided the government does not control the fertilizer prices and did not bring in the affordability range of growers that will ultimately hit the crop and a large quantity of wheat will have to be imported to fulfil the demand in the country.