Govt set to import 1.1m tonnes urea to meet possible shortfall
Friday, 7 September 2007
S M Jahangir
The government will require to import a record 1.1 million tonnes of urea fertiliser for the current fiscal year to meet its growing demand and tide over a possible shortfall in domestic production.
The monitoring committee on fertiliser at its latest meeting set the import target of urea after reviewing the country's overall demand-supply situation of fertilisers, official sources said.
The interim government formed the high-powered committee, headed by the Education Adviser Auyub Quadri, nearly two months back in order to ensure the smooth supply of fertilisers in the country.
Agriculture Adviser CS Karim, Industries Adviser Geeteara Safiya Choudhury, secretaries of finance, industry and agriculture ministries are also the members of the committee.
"The committee fixed the target of urea import for the current fiscal, considering a possible shortfall of the item at domestic level," a meeting source informed the FE Thursday.
The urea production target is unlikely to be achieved this fiscal due to closure of the Ghorashal Fertiliser Factory.
The country's total urea output may decline by 0.2 million tonnes to 1.17 million tonnes while the demand for the item has been projected at 2.8 million tonnes in fiscal 2007-08.
The decision on increased import of widely used urea aims to prevent any supply problem and cope with the requirement for agriculture rehabilitation programme in the aftermath of floods, the source mentioned.
In the last fiscal, the government imported about 0.82 million tonnes of urea against the target of 0.9 million tonnes, a senior government official said.
However, the meeting assigned a three-member new committee, healed by a deputy secretary of the agriculture ministry, to probe into the mismatch between the supply and demand for urea that has been reported in two particular areas - Chuadanga and Meherpur.
The new probe committee has been formed following an allegation that a significant quantity of urea is being smuggled out to neighbouring India through the bordering districts.
Dealers of both the districts often seek higher volume of urea for use than the official projection, an official said, adding such unusual demand had raised the questions over the possibility of smuggling.
The Department of Agriculture Extension (DAE) was assigned earlier to find out whether or not the demand for urea by the particular districts matched the actual use of the fertiliser. But the DAE's findings could not convince the monitoring committee.
The meeting postponed the government's previous decision on appointment of new fertiliser dealers across the country until April 2008 mainly because of the latest floods.
Earlier, the authorities had decided to start appointing new dealers from September 2008.
The government has already cancelled the licences of at least 40 authorised dealers on the ground of irregularities, the official noted.
The government will require to import a record 1.1 million tonnes of urea fertiliser for the current fiscal year to meet its growing demand and tide over a possible shortfall in domestic production.
The monitoring committee on fertiliser at its latest meeting set the import target of urea after reviewing the country's overall demand-supply situation of fertilisers, official sources said.
The interim government formed the high-powered committee, headed by the Education Adviser Auyub Quadri, nearly two months back in order to ensure the smooth supply of fertilisers in the country.
Agriculture Adviser CS Karim, Industries Adviser Geeteara Safiya Choudhury, secretaries of finance, industry and agriculture ministries are also the members of the committee.
"The committee fixed the target of urea import for the current fiscal, considering a possible shortfall of the item at domestic level," a meeting source informed the FE Thursday.
The urea production target is unlikely to be achieved this fiscal due to closure of the Ghorashal Fertiliser Factory.
The country's total urea output may decline by 0.2 million tonnes to 1.17 million tonnes while the demand for the item has been projected at 2.8 million tonnes in fiscal 2007-08.
The decision on increased import of widely used urea aims to prevent any supply problem and cope with the requirement for agriculture rehabilitation programme in the aftermath of floods, the source mentioned.
In the last fiscal, the government imported about 0.82 million tonnes of urea against the target of 0.9 million tonnes, a senior government official said.
However, the meeting assigned a three-member new committee, healed by a deputy secretary of the agriculture ministry, to probe into the mismatch between the supply and demand for urea that has been reported in two particular areas - Chuadanga and Meherpur.
The new probe committee has been formed following an allegation that a significant quantity of urea is being smuggled out to neighbouring India through the bordering districts.
Dealers of both the districts often seek higher volume of urea for use than the official projection, an official said, adding such unusual demand had raised the questions over the possibility of smuggling.
The Department of Agriculture Extension (DAE) was assigned earlier to find out whether or not the demand for urea by the particular districts matched the actual use of the fertiliser. But the DAE's findings could not convince the monitoring committee.
The meeting postponed the government's previous decision on appointment of new fertiliser dealers across the country until April 2008 mainly because of the latest floods.
Earlier, the authorities had decided to start appointing new dealers from September 2008.
The government has already cancelled the licences of at least 40 authorised dealers on the ground of irregularities, the official noted.