TCP''s urea imports top 1.14 million tons

The Trading Corporation of Pakistan (TCP) has so far imported as much as 1.14 million tons of urea to bridge the supply-demand gap in the domestic market. After issuing different tenders, TCP finalised deals for about a million tons of urea import with several international pre-qualified suppliers to ensure urea availability in the Rabi seasons 2011-2012.
Additionally, a supply of some 200,000 tons of urea was also ensured from the Saudi Arabia Basic Industry Corporation (Sabic) under a $100 million credit facility extended by the Saudi Fund for Development.
Over the past two weeks, three ships arrived from Saudi Arabia, carrying 84,000 tons of urea. With the arrival of these vessels, TCP completed the import of 1.14 million tons of urea against a target of 1.2 million tons, sources said.
Of the total, 170,000 tons of the supply originated under Sabic''s $100 million credit facility, while the remaining quantity was imported via open tenders.
So far, TCP has utilised over $80 million of the credit facility. The last shipment of 33,000 tons of urea from Sabic is also expected over the next few days after which total arrivals of urea will reach 1.17 million tons. The timely import of urea by TCP has ensures adequate supply of urea in the domestic market and stability of commodity price.
Sources said that a ship namely Umm Ad Dalkh, carrying 33,500 tons of urea arrived at the FAP Terminal on March 29. Another ship Gourniati with 28,800 tons of urea birthed at the Karachi Port Trust on April 2 and the third one Atlantic carrying 24,500 tons of urea reached Gwadar port on April 4.
They said that the current imports were sufficient for the domestic market as now gas has been restored to the fertiliser plants.
Another deal of 50,000 tons of urea is still pending as an international supplier, namely Global Energy and Commodities Exchange, failed to make shipment as per agreement with the state-run grain trader. Even after the passage of a grace period of one-and-a-half-month, the shipment of cargo was still unconfirmed.
Sources said that TCP has served the supplier last notice. If this consignment arrived, urea import will reach 1.22 million tons, the sources said.