Pakistan’s urea sales for February 2026 are expected to clock in at 250,000 tons, marking a 28 percent year on year (YoY) decline, while closing inventory is projected to rise to 0.86 million tons, according to Topline Securities.
The data show that although urea offtake dropped sharply compared to February last year, it posted a 15 percent increase on a month-on-month (MoM) basis, reflecting some normalization in buying activity after a seasonally weak January. For the first two months of 2026, total urea sales are estimated at 468,000 tons, down 41 percent YoY.
Company-wise performance remained mixed. Fauji Fertilizer Company is expected to record urea sales of 142,000 tons in February, down 9 percent YoY and 19 percent MoM.
Engro Fertilizers is projected at 66,000 tons, reflecting a 30 percent annual decline but a sharp 2,368 percent jump from January due to a low base effect. Fatima Fertilizer is estimated to sell 21,000 tons, down 69 percent YoY and 21 percent MoM, while other players are expected to record 21,000 tons, down 25 percent annually but up 82 percent compared to January.
Inventory levels have increased notably. Closing urea inventory is estimated at 0.86 million tons in February, up from 0.63 million tons in January, indicating comfortable channel stocks and slower farm-level offtake. Engro Fertilizers holds the largest inventory at 386,000 tons, followed by Fatima Group at 288,000 tons and Fauji Fertilizer Company at 144,000 tons.
Discounting trends also shaped demand patterns. Engro Fertilizers maintained discounts of Rs. 100 to Rs. 150 per bag during February, similar to the previous month.
In contrast, Fauji Fertilizer Company did not offer discounts for the second consecutive month, compared to earlier discounts of Rs. 150 to Rs. 200 per bag in December through its dealer network.
In the DAP segment, February sales are expected to reach 79,000 tons, up 97 percent YoY and 100 percent MoM. Fauji Fertilizer Company is projected to post DAP sales of 57,000 tons, reflecting 129 percent annual growth and 181 percent monthly growth.
Engro Fertilizers is estimated at 15,000 tons, up 337 percent YoY and 34 percent MoM. Other players are expected to record 7,000 tons, down 41 percent annually and 13 percent MoM. For the first two months of 2026, total DAP sales are estimated at 118,000 tons, up 17 percent YoY.