Islamabad, April 27, 2024 – In a bold move that has stirred significant controversy, Federal Minister for Industries and Production, Rana Tanveer Hussain, has called out Fatima Fertilizer Limited for its recent unilateral decision to hike the price of Sarsabz Urea by Rs 561 per bag.
The Minister’s office released a statement on Saturday demanding that the company immediately withdraw the price increase.
This unexpected price surge has raised alarms at the highest levels of government, with Minister Hussain emphasizing the lack of any recent increase in gas prices, a usual determinant in fertilizer cost adjustments. “The increase in urea prices without any corresponding rise in gas costs is unacceptable and unjustified,” the Minister stated, underscoring the government’s position against unwarranted price inflations.
In his statement, Minister Hussain highlighted that Fatima Fertilizer must provide “substantial reasons” for this abrupt escalation in prices, hinting at potential regulatory interventions if the company fails to justify its actions convincingly. The Ministry of Industries and Production, according to Hussain, is fully prepared to enforce price regulations to prevent any exploitation of the farming community.
The urea price hike comes at a critical time when agricultural stability is vital for the country’s economy. Urea, being a key nitrogenous fertilizer, is crucial for the growth of various crops across Pakistan. Any increase in its price directly affects the cost of agricultural production, potentially leading to higher food prices and added economic strain on farmers.
Minister Hussain’s statement also shed light on the broader efforts by the government to maintain stable fertilizer prices and ensure adequate supply. He reiterated the government’s commitment to combating the hoarding of fertilizers and mentioned ongoing collaborative efforts with provincial authorities to monitor fertilizer stocks more effectively.
The statement further called upon all fertilizer manufacturers in the country to enhance their support systems for farmers to improve agricultural productivity. “These initiatives are part of a broader strategy to ensure the agricultural sector’s growth and sustainability, contributing significantly to the nation’s economy,” Minister Hussain added.
This move by the Minister has sparked a broader dialogue about the responsibilities of major corporations in supporting national economic stability and the ethical considerations tied to pricing practices, especially in sectors critical to the country’s food security.
As of now, Fatima Fertilizer Limited has not responded to the Minister’s demands. The agricultural community and other stakeholders are keenly watching the situation, hoping for a resolution that aligns with the interests of Pakistan’s farmers and the broader economy.
Farmers’ associations across Pakistan have welcomed the Minister’s intervention, expressing their concerns over the increasing financial burden that such price hikes impose on them. They have urged the government to take stringent measures to ensure that fertilizer prices remain within reach to sustain their livelihoods and the agricultural productivity of the country.
The issue remains at the forefront of agricultural policy discussions, with implications for the economic well-being of millions dependent on farming for their livelihood. The outcome of this dispute will likely influence government policy towards industrial regulation and support frameworks in the agricultural sector for years to come.
