DAP use declines by over 17 percent in Rabi season

ISLAMABAD: Owing to an unprecedented price hike, application of diammonium phosphate (DAP) declined by 17.7 percent during the current Rabi (winter) season which might affect crops yield, particularly of wheat.

Government subsidy on DAP was also neutralised by the high prices and farmers were not able to increase the use of the input.

However, the Ministry of Food remains confident of achieving its wheat production target of 28.89 million tonnes for the year 2021-22.

A high-level fertiliser review meeting on Tuesday discussed the issues faced by farmers, and the demand and supply of DAP and framework for the proposed subsidy, as the government works on a plan to dole out more money to subsidise the input for farmers to get higher yield.

Federal Minister for Industries and Production Makhdum Khusro Bakhtyar chaired the meeting, while Federal Minister for Food Security and Research Syed Fakhar Imam joined via media link.

Bakhtyar directed the Ministry of Food Security to chalk out subsidy mechanism along with Ministry of Industries and Production for provision of DAP fertiliser to farmers at affordable prices.

He said in the international market, the prices of phosphoric acid and ammonia used for DAP production, as well as the prices of DAP itself had gone up unprecedentedly.

An official briefed the chair that the country’s demand for DAP for both Rabi and Kharif seasons was 2.2 million tonnes.

Local production met 30 percent of this demand and the remaining 70 percent was met via imports. “Since, we are reliant on imported fertilisers,

the international market hike leads to increase in local price,” the official added.

It should be noted that the other day the prime minister directed the Ministry of Industry to work out a feasibility study for setting up plants for local production of DAP to reduce import dependence.

Emphasising the commitment of the government to farmer welfare, the minister said all out efforts would be made to ensure that farmers did not bear the brunt of the price hike.

The meeting concluded with guidelines for subsidy framework, which would submitted to this forum in the next gathering.

Representatives from the fertiliser manufacturing industry, importers and officials of provincial departments also attended the meeting.

An official said that as the next Kharif season was starting on April 1, the government would announce the subsidy before it commences. In Pakistan, major Kharif crops include sugarcane, cotton, maize and rice.