Food Ministry Asked to Develop a Subsidy Plan for DAP Fertilizer

Federal Minister for Industries and Production Makhdum Khusro Bakhtyar Tuesday directed the Ministry of National Food Security & Research to chalk out a subsidy mechanism along with the Ministry of Industries and Production for the provision of DAP fertiliser to farmers at affordable prices.

The minister, who was chairing a high-level fertilizer review meeting, said global prices of phosphoric acid and ammonia used for DAP production have gone up unprecedentedly in the international market.

The meeting discussed the availability and demand of DAP and its substitutes for the coming Kharif season. The chair was briefed that the country is reliant on imported DAP as local production accounted for only 30 percent of the demand. The demand for DAP in Rabi and Kharif season is 2.2 million tons.

The meeting was also told that due to the high price differential, DAP applications witnessed a 17.7 percent decline as compared to urea in this Rabi season.

The minister emphasized that the incumbent government is committed to the welfare of farmers and would make all efforts to ensure that the farmers do not have to face the brunt of the price rise.

The meeting concluded with guidelines for the subsidy framework to be submitted to the forum in the next meeting. Federal Minister for National Food Security and Research Syed Fakhar Imam joined the meeting through a video link. Other participants included a representative of the fertilizers manufacturing industry, importers and officials of provincial departments.

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