December 28, 2022 (MLN): Total nutrient offtake during first two months of the current Rabi 2022-23 (October-November) decreased by 26.4% YoY as compared with same time frame of last year, the latest monthly report of fertilizer offtake issued by the National Fertilizer Development Company (NDFC) showed.
Among the nutrients, nitrogen, phosphate, and potash offtake down by 15.7% YoY, 45.9% YoY, and 87.6% YoY in first two months of Rabi 2022.
In the review period, products offtake of urea and DAP slipped by 6.9% YoY, and 45.2% YoY.
Rabi 2022-23 started with opening inventory of 294 thousand tonnes of urea. Domestic production during Rabi 2022-23 is estimated around 2,880 thousand tonnes and 296 thousand tonnes of imports.
Thus, total availability will be around 3,470 thousand tonnes. Offtake is estimated around 3,322 thousand tonnes depending upon the fertilizer consumption.
According to NFDC, the total nutrient offtake during November 2022 was about 483 thousand tonnes, which recorded an increase of 2.1% YoY over November 2020. Of this, nitrogen offtake increased by 3.6%, and phosphate offtake moved up by 3.8%.
On the other hand, potash offtake decreased by 92.3% YoY as compared to November 2021.
Product-wise, urea offtake was up by 1.6% YoY, and offtake of DAP showed an improved by 7.5% YoY over November 2021.
Total production of all fertilizer products during November 2022 was 672 thousand tonnes. Out of this urea production was 447 thousand tonnes.
Other fertilizer products such as DAP 67, Nitrophos 79, CAN 72, SSP 7.7 and SOP 0.03 thousand tonnes.
Total imported supplies were 240 thousand tonnes comprising 239 thousand tonnes of DAP and 1.1 thousand tonnes of AS during November 2022.
Closing inventory of urea from December 2022 to March 2023 is expected to remain below standard 200 thousand tonnes which reflects tight situation regarding its availability at dealer price.
UREA
The total industry urea offtake stood at 583,066 tonnes in November 2022, showing an increase of 26.31% MoM when compared to previous month October 2022.
During November 2022, Fauji Fertilizer Company Limited (FFC), Engro Fertilizer (EFERT), Fatima Group, Agritech Limited (AGL), and Pak Arab Urea offtake fell by 3.49%, 35.07%, 3.84%, 16.44%, and 20.60% respectively as compared to the previous month.
On the other side, Fauji Fertilizer bin Qasim Limited (FFBL) urea offtake slightly increased by 1.72% MoM in November 2022.
Meanwhile, the average price of a 50 kg bag of urea (sona) urea, CAN in the domestic market during the said month jumped by 1.6% each.
Whereas, prices of NP, SSP (G), SOP, and NPK decreased by 13.4%, 6.2%, 3.8% and 3.6%, respectively as compared with previous month.
In the international market, FOB bulk China urea prices fluctuated around US $ 540-575/t. Middle East bulk urea price was quoted at US $ 543-600/t fob.
DAP
As per the report, the total diammonium phosphate (DAP) offtake during November 2022 increased by 69.77% to clock in at 236,405.
In November 2022, FFC Sona offtake decreased by 13.09% to 66,637 as compared to 76,672 in October 2022.
The price of a 50 kg bag of DAP in the domestic market during the said month decreased by 13.9% MoM, it added.
In the international market, DAP prices during November 2022 were quoted at $612-732/t fob bulk in Australia and $700-720/t fob in China market.
Copyright Mettis Link News
Posted on: 2022-12-28T11:03:08+05:00
