Relief for farmers as urea prices fall 7% despite 32% global hike

MNFSR tells Senate that domestic urea, DAP prices showed downward trend from July 2024 to August 2025

ISLAMABAD:

Fertiliser prices have significantly decreased in the Pakistani market compared to the international market over the past year.

The Ministry of National Food Security and Research (MNFSR) told the Senate in a written reply that urea and DAP are the main fertilisers in Pakistan, accounting for 85% of total use, said a document available with Wealth Pakistan.

According to the document, both fertilisers showed a downward trend in domestic prices from July 2024 to August 2025, while international rates rose sharply.

The price of a 50 kg bag of urea dropped to Rs4,365 in July 2025 from Rs4,705 in July 2024, a decrease of 7.2%. In contrast, urea prices in the international market increased by 32.6% during the same period, the report stated.

Similarly, DAP prices in Pakistan rose only 17.1% between July 2024 and July 2025, compared to a steep 34.7% hike internationally.

In July 2024, domestic urea was priced at Rs4,705 per 50 kg bag versus $348.5 per tonne internationally. By July 2025, the domestic price declined to Rs4,365 while the international price jumped to $462 per tonne.

For DAP, domestic prices rose from Rs11,352 per 50 kg bag in July 2024 to Rs13,031 in July 2025, while international prices surged from $591.9 to $787.8 per tonne during the same period.

A senior official at the ministry told Wealth Pakistan that it was incorrect to claim that fertiliser prices in Pakistan were rising while global rates were falling. He said the government had taken coordinated steps with provinces to support farmers and maintain price stability.

He added that the fertiliser review committee meets regularly to address potential shortages and that buffer stocks are maintained to stabilise market prices. An uninterrupted gas supply is also being ensured to all urea plants for maximum production.