LAHORE - NFDC report for May shows that fertilizer offtake for the month reported at 491,000 tons, down 24 per cent annually and up 10 per cent on monthly basis due to rumors of GST reduction on fertilizer in budget FY13 and delayed cotton sowing.
FFBL’s DAP sales clocked in at 17k tons, down 21 per cent YoY. FATIMA sold 28k tons of CAN (down 22 per cent YoY) and 19k tons of NP.
In 5M2012 fertilizer sales declined by 24 per cent YoY to 2,216,000 tons. The breakup shows that urea offtake was down by 20 per cent YoY but improved by 22 per cent MoM to 377,000 tons in May mainly due to Rs145/bag price cut in May2 to get rid of record inventory available with them.
On the other hand, DAP sales declined by 13 per cent YoY and 57 per cent MoM to 26,000 tons with FFBL contributing 17,000 tons.
Experts believe, the fertilizer offtake will gradually improve with relatively reduced availability of imported urea inventory in the country in 2H2012.