ISLAMABAD       -         To discuss the supply, demand and prices of Urea and DAP, the government has convened a meeting of the fertilizer industry next week.

The government will not allow manipulation of Fertilizer prices and is taking measures to further reduce the prices of fertilizer in the days to come, said the Federal Minister for Planning, Development and Special Initiatives Asad Umar while chairing a meeting to review the demand & supply situation of fertilizers in the country. Secretary National Food Security and Research Dr. Muhammad Hashim Popalzai and other senior officials participated in the meeting.

The meeting was informed that sufficient stocks of Urea and DAP were available and there was no shortage of the commodities in the market. It was noted that fake news was being spread regarding the likelihood of increase of Urea prices. The meeting observed that there was no reason for any hike in prices, and the speculation was being made by vested interests.

The Minister stated that the government was planning measures to further reduce the prices of fertilizer in the days to come. Asad Umar directed that the all the relevant departments should keep a close watch on the demand - supply situation and the prices of the products to make sure that there is no price manipulation.

An official source The Nation that the planning minister has convened the meeting of the Fertilizer industry on Monday where the issue of demand, supply, available stock and prices of Urea and DAP will be discussed.

It is pertinent to mention here that the fertilizer industry had shown the apprehension that with the recent gas price hike, recommended by Ogra, Urea prices is likely to go up by whopping Rs 600 per bag.

The Fertilizer industry was of the view that gas price increase would lead to significant inflationary pressures. In line with past practice, this increase in gas cost would be passed on by the Fertilizer industry and would lead to increase in Urea prices by almost Rs 600 per bag. With demand for other Phosphorous based fertilizers largely catered to by local players, any increase in gas prices would lead to prices of DAP and other fertilizers to momentously increase as well.