Karachi: Urea sales in Pakistan reached an unprecedented peak in December 2025, with figures hitting 1,356,000 tons. This marks a 65% increase from the previous month and a 37% rise compared to the same period last year. The surge is attributed to increased push sales by companies and dealers, who offered notable discounts to boost offtakes.
Throughout 2025, urea offtakes totaled 6.73 million tons, slightly higher than the 6.57 million tons recorded in 2024. However, sales for the first eleven months of 2025 had experienced a 4% decline. Companies like Engro Fertilizers (EFERT) maintained a discount of approximately Rs400 per bag in December, which was reduced to Rs150 with the onset of the new year. Similarly, Fauji Fertilizer Company (FFC) provided a discount of Rs150-200 per bag during the same period.
The closing inventory of urea in December 2025 was projected to be around 0.315 million tons, a significant decrease from 1.13 million tons in November 2025. This reduction is crucial for the industry as it lowers costs associated with inventory maintenance, leading to a rollback of discounts.
Among the companies, Fatima Group (FATIMA) held the highest inventory at 133,000 tons, followed by Engro Fertilizers with 88,000 tons, and Fauji Fertilizer Company with 56,000 tons. Notably, Engro Fertilizers improved its inventory position significantly from 504,000 tons in November 2025.
Engro Fertilizers is expected to record a substantial increase in urea sales, with figures up 140% month-on-month and 56% year-on-year, reaching 644,000 tons in December 2025, marking an all-time high. Meanwhile, Fauji Fertilizer Company is projected to report sales of 377,000 tons, a 3% decrease month-on-month, and Fatima Group's sales rose by 107% month-on-month to 259,000 tons.
In contrast, total sales of Diammonium Phosphate (DAP) in December 2025 are expected to be around 80,000 tons, a 67% decline month-on-month and a 42% drop year-on-year. Overall, DAP offtake for 2025 is estimated at 1.3 million tons, an 18% decrease from the previous year.
Data indicates that Fauji Fertilizer Company and Engro Fertilizers are estimated to record DAP sales of 54,000 tons and 12,000 tons, respectively, in December 2025. The closing inventory for DAP is projected to be around 219,000 tons.
Looking ahead, it is anticipated that urea sales will stabilize in 2026 due to the recent surge in push sales. The current low inventory levels suggest that the possibility of exports remains limited for the time being.