Karachi: Urea sales in February 2026 experienced a significant year-over-year decline of 28%, with total off-take projected at 250,000 tons, according to provisional figures released on Tuesday. In contrast, demand for Di-Ammonium Phosphate (DAP) saw a remarkable increase of 97% during the same period.
According to JS Global, the dip in urea sales can be attributed primarily to the front-loading of volumes in January, which resulted in increased dealer inventories and limited new demand. This shift in sales patterns has also led to a rise in urea inventory levels, projected to reach 860,000 tons by the end of February, up from 600,000 tons in January. The decrease in demand is partly due to the seasonal nature of agriculture, as urea requirements typically decrease following the peak Rabi season.
Company-specific data reveals that Fauji Fertilizer Company (FFC) is expected to report a 9% year-over-year decrease in urea sales, totaling 142,000 tons for February. This figure includes 6,000 tons of granular urea. Engro Fertilizers (EFERT) is likely to see a more substantial drop, with urea sales falling 30% to 66,000 tons. Fatima Fertilizer Company (FATIMA) is projected to report a 69% decrease in sales, amounting to 21,000 tons.
The industry-wide production during February was approximately 488,000 tons, reflecting a steady manufacturing pace despite fluctuating demand patterns. As the market adjusts to the current inventory levels and seasonal changes, stakeholders continue to monitor potential impacts on pricing and future sales strategies.
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