FEW can rival Pakistan's procrastination record. Whatever kept the government until now from importing urea despite clear signs of the fertiliser's shortage for the Rabi season adds yet another page to our national mystery archives. Indeed, official inaction on a matter that could hugely affect food security in the country reconfirms doubts about the government's ability to take the right decision at the right time. Although the government has approved a proposal to import 700,000 tons of urea to overcome shortages, the first shipment of 260,000 tons is not expected to reach the market before the end of this month. The delay is unlikely to prevent hoarding of the fertiliser. The growers, especially small-holder farmers, will be the ones paying a high price for the government's foot-dragging at a crucial time ahead of the next wheat harvest.

What has led to urea shortages in spite of a rated production capacity of 6.6 million tons against the domestic requirement of just over 6.1 million tons? The producers blame the shortages on production losses because of the unplanned curtailment and allocation of gas to some of their manufacturing plants being supplied gas by the SNGPL. Citing the curtailment of gas they have already raised their prices to Rs1,580 per bag (inclusive of general sales tax) from Rs850 per bag at the beginning of 2011. A major producer announced a rise in prices to Rs1,980 per bag this month but had to reverse its decision after the excise department stopped supply at the new price. The books show that urea manufacturers have made huge profits, indicating the price increase is unjustified. The prices were raised to pressurise the government into restoring gas supplies to urea manufacturers at the cost of other sectors of the economy, especially the export-oriented industry.

The producers are not the only ones who have made huge profits at the expense of growers. Their wide dealers' network also charged, with impunity, a premium of up to Rs500 per bag during the Kharif season. In some cases, the producers too clandestinely shared the premium with the dealers. So far, the provincial governments have been helpless in controlling hoarding. Instead, the ruling PML-N in Punjab has chosen to use the issue to embarrass its rivals the PPP and PML-Q in Islamabad. There was nothing stopping the Punjab government from initiating action against urea hoarders in the province. Even sadder, while governments are pitched against one another and greedy individuals are running away with unfair profits, the urea shortage hasn't quite inspired the urgency with which 'urban' issues are routinely discussed in the country.