Sindh govt imports urea worth Rs4.5b

In a strategic move guided by the Sindh Agriculture Department’s counsel, the Sindh caretaker government has opted to import 52,800 metric tonnes of urea at a cost of approximately Rs4.5 billion for the ongoing Rabi crop season 2023-24, revealed Sindh Agriculture Secretary Syed Aijaz Ali Shah in an update shared with the Express Tribune.

This decision, born out of necessity, was made during a recent cabinet meeting of the Sindh caretaker government. Despite being a bitter pill to swallow, the Sindh government found itself compelled to bear the cost due to the federal government’s directive requiring Sindh to cover 100% of the import expenses for urea this time.

Anticipating an improvement in the situation, Shah mentioned that the cabinet’s decision would have positive repercussions in the days to come.

“We formed advisory committees at the provincial and district levels. In the district advisory committee, the chairman will be a deputy commissioner, and it will include an additional director from Sindh Agriculture Extension and an official from the abadgar (farmer) body. The committee’s role will involve conducting raids and crackdowns against price hikes and hoarding. We have ensured that urea bags are provided to abadgars at controlled rates, preventing them from being sold on the black market,” Shah explained.

He added that another meeting on this issue is scheduled for the day after tomorrow (Dec 28).

Sindh, despite contributing 25% (or 740,000 metric tonnes) to the total local production of urea fertilisers, is grappling with a severe shortage, he said. While Sindh supplies gas to fertiliser companies and urea is produced in the province, factors like fertiliser smuggling and gas shortages are exacerbating the situation.

In the current scenario, Shah stressed the need to enhance Sindh’s quota to 40%. Despite a demand for 740,000 metric tonnes for the Rabi season, only 731,000 metric tonnes were approved, and this quantity was not being allocated to Sindh, creating further challenges.

Read Govt to ensure provision of urea to farmers

Additionally, the federal government has directed the Sindh government to ensure payment for the imported urea worth Rs6.5 billion from last year, where a 50% subsidy was provided. However, the Sindh government contends that the import occurred without consulting them, and confusion persists regarding the delivery status.

Growers welcome cabinet decision

The cabinet decision has garnered a positive response from growers and their representative bodies, who see it as a crucial step in alleviating the agricultural crisis.

“It is a good initiative. The Sindh government, along with its relevant departments of Revenue and Sindh Agriculture Extension, must fulfil their respective responsibilities by promptly delivering the imported urea bags to growers. The government should focus on the fair distribution of fertiliser bags, leveraging the data from both Revenue and Sindh Agriculture Extension to ensure equitable and speedy distribution. This will provide much-needed relief to poor and neglected farmers,” remarked Nabi Bux Sathio, Senior Vice President of the Sindh Chamber of Agriculture (SCA).

Nawab Zubair Talpur, President of Sindh Abadgar Ittehad (SAI), also welcomed the move but expressed reservations about the failure of Sindh government departments to control the crisis effectively. He raised concerns about the smuggling of fertilisers to Afghanistan, where a 50kg bag of fertiliser is being sold at Rs7,000.

“If the wheat sowing season proceeds without fertiliser applications, it will damage the wheat crop, causing a serious shortage of food. Food insecurity will prevail, making it challenging for the government to import wheat for the entire nation in case of a wheat shortage,” warned Talpur.

Published in The Express Tribune, December 27^th, 2023.

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