Islamabad: In March 2025, Pakistan’s fertilizer sector witnessed a sharp decline in offtake, with both Urea and DAP recording a year-on-year (YoY) drop of 54%, according to data from Foundation Securities.
Total Urea dispatches fell to 307,000 tons, down from 671,000 tons in March 2024.
Major producers such as FFC (-40%), EFERT (-73%), Fatima (-64%), and Agritech (-41%) all experienced significant reductions, highlighting a broad industry-wide contraction.
Similarly, DAP dispatches dropped to 49,000 tons, compared to 107,000 tons in the same month last year. FFC led the decline with a 66% fall, followed by EFERT at 61% and Fatima at 59%.
The drop in both key fertilizer categories signals reduced agricultural activity or lower farmer purchasing power.
The decline may be attributed to multiple factors, including higher fertilizer prices, delayed crop sowing, liquidity constraints faced by farmers, or policy and subsidy changes.
The ongoing economic slowdown and inflationary pressures may also have dampened rural demand.
Such a steep fall in fertilizer offtake could have downstream implications for crop yields and overall agricultural productivity.
If the trend continues, it may further strain Pakistan’s food security and rural income levels, ultimately impacting GDP growth.
In March 2025, both Urea and DAP offtake in Pakistan saw a significant year-on-year (YoY) decline of 54%, according to data from Foundation Securities.
Read More: No Shortage of DAP, Urea for Upcoming Rabi Season: Government Assures Farmers
Urea Breakdown – March 2025:
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Total Industry: 307,000 tons vs. 671,000 tons in Mar’24
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FFC: 188k tons (-40% YoY)
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EFERT: 59k tons (-73% YoY)
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Fatima: 37k tons (-64% YoY)
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Agritech: 24k tons (-41% YoY)
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DAP Breakdown – March 2025:
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Total Industry: 49,000 tons vs. 107,000 tons in Mar’24
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FFC: 27k tons (-66% YoY)
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EFERT: 8k tons (-61% YoY)
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Fatima: 1k ton (-59% YoY)
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These steep declines reflect a broad-based contraction across producers and may be linked to several factors including reduced farmer demand, high input costs, or distribution challenges.
Also Read: Agritech Limited Suspends Urea Production
Let me know if you want a full analysis of fertilizer trends or insights on how this might affect agriculture or GDP.
