Wheat-sowing to face shortage of fertiliser: Industry

New Delhi, Nov 27 (UNI) The current wheat-sowing season will face shortage of DAP fertiliser as the enhanced demand by farmers could not be matched in view of declining production and the country's increasing dependence on imports, says the Fertilisers Association of India(FAI).

Releasing its estimates, the FAI, a body of fertiliser manufacturers said the country has to import 5 million tonnes of urea and 3 million tonnes of DAP during the Rabi season, sowing for which has now picked up. The last year's imports were 2 million tonne and 2.4 million tonnes respectively. The current estimated domestic production of urea is 20 million tonnes and that of DAP is 5 million tonnes.

As per reports from states, the supplies of DAP are not meeting the requirement of applying entire dose of this fertiliser once at the time of sowing of wheat which is now in full swing, said FAI chairman US Jha. However, the supplies of urea could be maintained as it is applied later to the standing crop that, too, in a long period spread.

The hike in price of input and cost of feed stock is the stumbling block in increasing the indigenous production of DAP, which is now decontrolled, Mr Jha said.

In the case of domestic urea production, a controlled fertliser, the FAI has agreed to the government's suggestion for running the units at over and above the installed capacity and to postpone the annual shut-downs to produce at least one million tonne additional quantity of urea during current Rabi season.

However, the FAI has urged the government to clear the dues of the industry's subsidy bill which is at all time high at Rs 32,000 crore. But Budgetary provisions for 2006-07 including the supplementary grants made in the Monsoon session of Parliament at Rs 19,000 crore leaving a huge gap of Rs 13,000 crore.

The industry is also upset over the increase in railways freight rate by almost 25-30 per cent which, FAI said, has rendered the production costlier by Rs 400-500 per tonnes.

A FAI delegation today called on Chemicals and Fertilisers Minister Ram Vilas Paswan and urged him to accord priority to the fertiliser sector in supply of feed stock including natural gas and LNG at the subsidised rates to enable the industry to be globally competitive.

At present, domestic fertiliser units are supplying the urea at weighted average of Rs 10,500 a tonne against the farm gate cost of imported urea at Rs 13,000 per tonne.

UNI JSS/BBS YA BD1901