KARACHI: Urea sales declined 14 per cent year-on-year but rose 21pc month-on-month to 702,000 tonnes in August.

In 8M2026, urea sales remained flat at 3.8mn tonnes.

Muhammad Abdur Rafay of Topline Securities attributed the YoY decline to heavy monsoon rains, which delayed Kharif application, compared to the Aug 2025 base, which was relatively strong.

On the other hand, he said the MoM increase came from dealers catching up on delayed applications as the rains eased, coupled with August being the peak month for Kharif crops (cotton, rice, sugarcane), while July itself was a low base (monsoon disruption at its peak). Industry urea inventory clocked in at 0.75m tonnes in Aug-2026 versus 0.93m in July 2026, he said.

Total DAP sales during August came down by 10pc YoY but went up 28pc MoM, at 123,000 tonnes, taking 8M2026 sales to 703,000 tonnes, showing a growth of 1pc YoY, he said, adding that closing inventory of DAP was around 253,000 tonnes in August.

Rafay said urea sales are likely to remain stable amid improved farmer income and flat 8M2026 sales, showing that annual demand remains intact.

Published in Dawn, September 2nd, 2026