KARACHI, Nov 25: Trading Corporation of Pakistan (TCP) has awarded supply contracts to two international firms for import of 60,000 tons of urea to meet domestic demand for "Rabi season".

The chairman, TCP, Syed Masood Alam Rizvi, said here on Thursday that the corporation had awarded the first contract to the local agent of M/s ICC Ageueda of Portugal for 30,000 tons of urea on Wednesday on the basis of lowest price at $199 per ton among 12 bidders.

The second contract was awarded for 30,000 tons of urea to M/s Futures Products Group, Istanbul on Thursday after the party agreed to match the lowest bid, he said. This firm had earlier quoted a price of $257 per ton.

He pointed out that TCP had also given chance to other bidders to match the lowest price, but only one firm had agreed to do so. Rizvi said both the firms had been given five days to furnish a performance guarantee and thereafter they would be required to ensure shipment within 15 days of the opening of letter of credit (L/C).

He expressed the hope that the contracted urea will reach Pakistan in the last week of December this year or early January next year. It may be noted that the TCP had floated a tender on November 13, for the import of 90,000 tons of urea from international sources to meet domestic demand for "Rabi season".

Earlier, the TCP had awarded a contract for the supply of 170,000 tons of urea at a price of $287 and $297 per ton against its tender floated on September 30. The TCP chairman said that the entire contracted urea against first tender has reached Port Qasim and its supply to local fertilizer companies was in progress.

He expressed satisfaction over the arrival of imported urea well in time and said growers will get sufficient urea for their cultivation needs. Rizvi said that imported urea will be sold to growers at Rs 450 per 50 kg bag. -APP