As the Kharif season continues in full swing, the country’s total urea off take witnessed a massive jump of 17 percent MoM to stand at 567 million tonnes during the month of Jun-13.
However on yearly basis, it posted a massive decline of 45 percent YoY in Jun-13, said the analysts at InvestCap Research. “This huge decline in off take of urea during Jun-13 is an outcome of aggressive buying by the dealers in the wake of upward price revision expectation last year during Jun-12,” said Abdul Azeem of InvestCap Research.
On a cumulative basis, he said, urea off-take during 6MCY13 stood at 2.71mn tons compared to off-take of 2.75mn tons during same period last year, showing a minor decline of 1.5 percent YoY.
In the total urea off-take during the month of Jun-13, FFC’s off-take contributed 37 percent posting sales volume of 209ktons (down 14 percent MoM, 60 percent YoY) compared to 242ktons during last month, Engro’s off take contributed 27 percent to the total off-take registering a volume of 151k tons (up 24 percent MoM, -32 percent YoY) compared to 123k tonnes witnessed during last month. For FATIMA, the company’s urea off-take contributed 8 percent to total industry off-take posting volume of 43k tons compared to just 30k tons witnessed during last month whereas FFBL’s urea off take contributed 2 percent to total standing at a mere 12k tons (down 49 percent MoM, 80 percent YoY) against 24k tons witnessed last month. Imported urea contributed 21 percent to total, posting a volume of 119ktons (up 277 percent MoM, 77 percent YoY) compared to the volume of 32k tons during last month.
The total availability of urea during Jun-13 was 736k tons, which consisted of 304k tons of May-13 closing stock, 382k tons of domestic production and 50k tons of imported urea, with the offtake of 567k tons, closing balance of Jun-13 now stands at 164k tons. Off-take of DAP during Jun-13 increased by 56 percent YoY to 150k tons as compared to off-take of 96ktons witnessed during the same period last year. On a monthly basis, total DAP offtake improved by a massive 87 percent YoY compared to off-take of 80k tons witnessed during May-13. FFBL, being the only producer for DAP, off-take increased by 40%MoM to 76k tons compared to 54ktons witnessed during previous month. Similarly, imported DAP off-take increased by an enormous 181 percent MoM to 74k tons during the month compared to 26kton witnessed a month earlier.
With the production of 68k tons and imports of 88ktons, the total availability of DAP stood at 377k tons as opening balance remained at 221k tons. After the offtake of 150k tons the closing inventory stands at 227ktons.
