KARACHI: The Urea sales for Jun-2025 is expected to be at 582,000 tons — up 39pc month-on-month (MoM) and 21pc year-on-year (YoY) — as inventory at 97 months high, a research report released by the Topline Securities said on Wednesday.
Pakistan Urea sales in Jun-2025 is expected to clock in at 582,000 tons, up 21pc YoY compared to 483,000 tons in Jun-2024. Similarly, Urea sales are expected to recover by 39pc MoM, due to the ongoing Kharif season.
This will take Urea offtake in the first half of 2025 to 2.35mn tons, down 23pc YoY compared to 3.03mn tons in the first half of 2024, mainly due to weak farm economics and water shortage, the report said.
This is likely to take the closing inventory of Urea to be around 1.32mn tons in Jun-2025, up from 1.31mn tons in May-2025. Inventory level of urea is likely to be highest in 97 months.
Company wise, Engro Fertilizers (EFERT) has the highest inventory of 580,000 tons followed by Fauji Fertilizer Company (FFC) of 338,000 tons, and FATIMA of 330,000 tons.
Among the companies, EFERT is expected to record an increase of 34pc YoY in urea sales to 208000 tons in Jun-2025 due to low base effect amid plant turnaround and disparity in urea prices.
To highlight, EFERT announced a price discount of Rs100-140 per bag starting Jan-2025 and discount is continuing. The FFC has also started a discount of Rs40/bag effective from May 2025.
FFC is expected to record a Urea sales of 215,000 tons (down 17pc YoY) followed by FATIMA of 81,000 tons (up 92pc YoY) in Jun-2025.
Total DAP sales during Jun-2025 are anticipated to be around 108,000 tons, down 12pc YoY and up 13pc MoM. In 1H2025, total DAP offtake is anticipated to clock in at 448,000 tons, down 18pc YoY.
Company wise data suggests, FFC and EFERT are likely to record sales of 77,000 tons and 12,000 tons respectively, followed by others of 19,000 tons in Jun-2025.
The closing inventory of DAP is likely to be around 323,000 tons in Jun-2025 compared to 238,000 tons in May-2025 and 166,000 tons in Jun-2024.