KARACHI: The subsidy claims of fertiliser importers for diammonium phosphate (DAP) sales have crossed Rs5 billion from September 2016 till Jan 14, 2017.

On Tuesday, the Fertiliser Importers Council (FIC) said the pending amounts was not allowing importers to contribute to the subsidy scheme any more. Total subsidy claims from the above-mentioned period stand at Rs5.1bn.

The council informed Prime Minister Nawaz Sharif through a letter that from Jan 13 this year, importers are not in a position to participate under the existing DAP subsidy scheme any more.

The FIC has urged the government to devise a DAP subsidy scheme where fresh subsidy can be given directly to the farmers instead of through importing companies.

Out of 2.2 million tonnes of DAP off-take in 2016, around 64 per cent was supplied to farmers through imports.

The importers ensured availability of DAP fertiliser at subsidised prices. However, the subsidy claims are being delayed in clear violation of the government’s own notifications and process.

The FIC said banks are now blocking our financing lines which would not allow us to import DAP for the Kharif season which may result in shortage for the season.

Published in Dawn January 18th, 2017