OUR STAFF REPORTER LAHORE Sui Northern Gas Company Limited (SNGPL) on Saturday suspended gas supply to Engro's new fertilizer plant in Sindh indefinitely. Shutdown of this plant on the SNGPL network is expected to drastically increase urea shortage. It is expected that Pak Arab plant in Multan, which is still receiving gas supply, will also be shut down over the weekend. The government on 17th November had committed continuous gas supply to the fertilizer sector till December 31, 2011 in order to meet the urea demand for the Rabi season. Based on the assurance by the government the fertilizer industry reduced the per bag urea price to Rs1,480 from the previous Rs1580. The Cabinets decision was based on increased demand for gas in winter and pressure exerted by powerful lobbies. Engros EnVen has been completely shut down for the 11th time this year by SNGPL. On the basis of a sovereign commitment of 100mmcfd, Engro set up the worlds largest single train ammonia-urea plant in Daharki, which has a production capacity of 3850 tons per day (1.3 million tons per annum), the largest amongst all manufacturing plants. Engro Fertilizers new urea plant, which has sat idle for 158 days following its construction due to gas curtailment, would have helped to end the countrys urea deficit. This would also have helped minimize the countrys foreign exchange outflow/loss considerably and helped the national exchequer save funds as imported urea is costly and hurts the domestic industry. SNGPLs action is contrary to the governments directive to ensure gas supply to the fertilizer sector for Rabi. The Sindh High Court has also passed a judgment to supply continuous gas to EnVen as per contract based on sovereign guarantee and article 158. The shutdown of Engros plant is contrary to this judgment as well.