Metric loss

ECC clears import of 50,000 tonnes of urea from China – Business

In order to alleviate the urea shortage during the Rabi season 2021-22, the Cabinet Economic Coordination Committee (ECC) authorized the import of 50,000 metric tons of urea from China on a government-to-government basis ( G2G) after the two bidders sent letters of regret.

Sources said a summary was submitted by the Ministry of Industry and Production to the ECC for importing urea to address the shortage of urea fertilizer during the season. Rabi 2021-22, claiming that the import of 100,000 metric tons of urea had been authorized earlier and subsequently, the Trading Corporation of Pakistan (TCP) opened a tender on November 22, 2021, but the two bidders submitted letters of regret.

The Ministry of Industries and Production informed the meeting that the Chinese supplier (Chinese National Agricultural Means of Production Group Company Holding Limited) has offered 50,000 metric tons of bulk granular urea for shipment by February 10, 2022 to rate of US $ 556. (FOB) and US $ 606 (CFR Karachi) per metric ton.

The supplier also offered another shipment of 50,000 metric tonnes of bulk granulated urea to be shipped by March 5, 2022 at the rate of US $ 548 (FOB) per metric ton (PMT) and the rate of US $ 598 (CFR Karachi) per tonne.

The ministry further said that, according to the TCP, an offer was also received from China, but this would require and so far no authorization is available for the acceptance of this offer by the Chinese authorities.

TCP had also approached the Chinese supplier, China National Agricultural Means of Production Group Company (CNAMPGC), which is a state-owned company and is licensed by the Chinese government to supply urea to Pakistan, but the urea supplied by them is slightly different. of the specifications of the PSQCA.

The Ministry of Science and Technology has been requested to contact the Chinese supplier (Chinese National Agricultural Means of Production Group Company Holding Limited) to share the quality and availability of urgent urea for supply to Pakistan on a government-to-government basis (G2G). .

As the urea available from the Chinese company is slightly different from the specifications set by the PSQCA in Pakistan, the TCP contacted the Ministry of National Food, Security and Research to determine if the quality of the urea in from China is acceptable for use in national cultures.

The Ministry of NFS & R informed that the subject specification from China has a minor deviation from the standard specification / requirement and said that the TCP should contact the PSQCA and provincial authorities for views / comments before to place an import order in order to avoid any loss for the national chessboard. .

The ECC has been informed that the Chinese supplier has offered 50,000 metric tonnes of bulk granular urea to be shipped by February 10, 2022 at the rate of US $ 556 (FOB) and US $ 606 (CFR Karachi) per metric tonne.

They also offered another shipment of 50,000 metric tonnes of bulk urea grain to be shipped by March 5, 2022 at the rate of US $ 548 (FOB) PMT and the rate of US $ 598 (CFR Karachi) per tonne. metric, Ministry of Industries and Production has requested the ECC to authorize the import of 50,000 metric tonnes of government-to-government urea from China on an immediate basis, subject to the authorization of the PSQCA and further authorize TCP to negotiate the price with a Chinese supplier authorized by the Government of China for a new import of 100,000 metric tonnes of granular urea.