Rehabilitation of Pakistan-China fertilizer plant decided
Pakistan Times Business & Commerce Desk

ISLAMABAD: The National Fertilizer Corporation (NFC) has been directed to take up the assignment to reactivate Pak-China fertilizer plant to partially meet the expected shortfall in supply of Urea which would increase the urea production capacity of 95,700 Metric tons at the national level.

This was decided in a high level meeting attended by the Federal Minister for Industries, Production and Special Initiatives, Jahangir Khan Tareen, Federal Minister for Food, Agriculture and Livestock, Sikandar Hayat Bossan and Minister of State for Finance, Omar Ayub.

The meeting reviewed in depth the issue of revival for the Pak-China Fertilizer Plant to cope with the situation of the short fall of urea and to create additional urea capacity in the country through installation of a gross plant in the country.

The Chairman, National Fertilizer corporation, Maj. Gen (R) Zafar Abbas gave a detailed presentation to the Ministers regarding rehabilitation of the Pak-China Fertilizer Plant. The meeting discussed in depth the availability of urea in the country and to highlight the problems of shortfall of urea in the winter season.

He informed the meeting that the production capacity of this plant would be 95,700 M. Tons which would cost Rs. 737 million to clear all liabilities including expenditure of rehabilitation of the plant and that would be hopefully completed in nine months period.

He also apprised the meeting that the commissioning of Pak China Fertilizer Limited (PCFL) would result in saving of GOP subsidy of Rs. 1.58 billion per annum on import of 95,700 M. Tons of Urea and Foreign Exchange expenditure of US $ 28.71 million annually to be incurred on import of equivalent quantity of Urea.

The Minister for Industries, Jahangir Tareen directed the Chief of Expert Advisory Cell to submit a detailed study report on production capacity and completion of new Fertilizers Plants coming up in Private Sector within two weeks so that this case could be submitted to ECC for formal approval.

The meeting was also attended by Dr. Mutawakkil Qazi, Secretary Ministry of Industries, senior officers of the Ministry and NFC.●