Provinces to Cover Subsidy for Imported Fertilizer during Rabi Season
Published on: October 29, 2023.
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ISLAMABAD: Subsidies on imported fertilizers for the Rabi season will now be borne by the provinces, according to recommendations made by the Ministry of Industries & Production. This decision came after coordination with the Ministries of Finance, Petroleum, and National Food and Security.
The Ministry of Industries and Production informed the Economic Coordination Committee (ECC) of the Cabinet about the extension of operations for SNGPL-based fertilizer plants from 15th October 2023 to 31st March 2024. Additionally, the import of 200 metric tonnes of urea fertilizer and providing maximum gas volume pressure to Fauji Fertilizer Bin Qasim (FFBL) was also discussed.
The ECC considered these recommendations in its meeting on 3rd October 2023, but a decision has yet to be made. Therefore, the Ministry of Industries and Production has approached the Prime Minister’s Office for a decision on the matter.
Due to the urgency of the situation, the Prime Minister’s Office directed the summary to be placed before the ECC for priority consideration. It will also be reviewed by the prime minister on 24th October 2023.
During the ECC meeting, it was mentioned that a meeting chaired by the finance minister on 22nd October 2023 also discussed the same matter. The Ministry of Industries and Production was directed to coordinate a meeting with the Ministries of Finance, Petroleum, and National Food Security and Research to come up with viable recommendations to meet the demand for urea fertilizer for the Rabi season 2023-24.
On 23rd October 2023, a meeting was held to finalize these recommendations. The recommendations include uninterrupted gas supply to all fertilizer plants, the formation of a federal committee to justify the increase in minimum retail price (MRP) over time, and the subsidy on imported fertilizer to be borne by the provinces.
These decisions aim to ensure a smooth supply of fertilizers for the upcoming Rabi season and support the agricultural sector of Pakistan.
Source: [Business Recorder](https://www.brecorder.com)
