Government Has Allowed Fertilizer Manufacturers To Import Gas For Meeting Local Agricultural Demand For Chemicals As Gas Is An Important Raw Material In Fertilizer Manufacturing.
“Fertilizer manufacturers are expected to import gas in the next three to four months,” an industry source said, adding, “The government has issued a policy for import very recently.”
“Fatima Fertilizer and Agritech both are set to import gas under the recent gas import policy notification for the sector,” he said.
The import of gas would allow all the Fertilizer manufacturers in Pakistan to operate throughout the year and help the country get rid of Fertilizer imports, he added.
Now, the government has arranged gas supply for all the Fertilizer manufacturers in the country.
“Manufacturers will also create a buffer stock of Fertilizer in the range of 200,000-250,000 tons every year,” he stated.
Pakistan has installed production capacity of 6.3-6.4 million tons of Fertilizer per year against the demand for around six million tons.
Fatima Fertilizer , in a statement issued to the Pakistan Stock Exchange (PSX) on Wednesday, said with the completion of regulatory and related matters, the acquisition of production and operating plants (ammonia, urea, nitric acid, nitro-phosphate, calcium ammonium nitrate and clean development mechanism) from the associated company, namely Pakarab Fertilizer s Limited, would be completely effective from September 2, 2020.
“With the completion of transactions, Fatima Fertilizer via its three plants in operation at Sadiqabad, Multan and Sheikhupura will start serving the nation and stakeholders with a cumulative nameplate capacity of 2.57 million tons per year,” it said.
Fatima Fertilizer ’s profit improved 1.5% to Rs7.16 billion in the six-month period ended June 30, 2020, mainly due to a significant reduction in the cost of sales and a surge in other income.
This news was originally published at tribune.com.pk