Karachi: Fertilizer sales in July 2026 showed a noticeable decline, with urea offtake decreasing by 5% compared to the previous year, and 2% from the previous month, reaching an estimated 580,000 tons. The decrease is attributed to monsoon rains affecting fertilizer application and a surge in global urea prices.

According to JS Global, company-specific sales figures revealed that Fauji Fertilizer Company (FFC) reported urea sales of 268,000 tons, marking a 2% decrease year-over-year. Engro Fertilizers (EFERT) experienced a more significant drop, with urea sales falling 19% year-over-year to 167,000 tons. In contrast, Fatima Fertilizer Company (FATIMA) saw a 30% increase in urea sales, recording 127,000 tons.

In the domain of DAP (Diammonium Phosphate) fertilizers, offtakes were estimated at 95,000 tons, reflecting an 11% decrease year-over-year, although there was a significant 98% increase from the previous month. International DAP prices remained high at approximately $840 per ton, while domestic prices also stayed firm. Imported DAP was priced between Rs15,600 and Rs15,900 per bag in Karachi. FFC increased its DAP price by 3% month-over-month to Rs16,124 per bag, contributing to affordability challenges and reduced DAP offtakes compared to the previous year.

The subdued demand for urea in July was compounded by challenging weather conditions and a 22% month-over-month surge in global urea prices, which reached $429 per ton. The price increase was driven by supply disruptions in the Middle East, escalating energy costs, and export restrictions imposed by major producers.