Urea Prices Climb Again as FFC Raises Rates by Rs. 54 per Bag

Fertilizer prices in Pakistan have moved higher once again, with Fauji Fertilizer Company (FFC) raising urea rates by Rs. 54 per bag across all Sona Urea variants. The increase, reported by Topline Research on November 7, comes just a day after Engro Fertilizers announced a Rs. 50 per bag hike, signalling a fresh round of upward pricing in the sector.

Following the revision, the maximum retail price of Sona Urea Prilled now stands at Rs. 4,579 per bag, while Sona Urea Granular is priced at Rs. 4,803 per bag. Engro's earlier increase on November 6 lifted its dealer transfer price to Rs. 4,585 per bag, according to channel checks cited by JS Research. That move followed a Rs. 150 per bag increase the company had announced in March 2026.

Engro has kept its pricing position steady through the year. In August, company management said it had no plans to cut urea prices or bring back discounts, even with higher inventory levels, expecting seasonal demand to draw down stock. The latest round of increases suggests fertilizer makers remain confident about demand conditions in the months ahead.

The pricing moves come as urea demand expands across the country. According to FFC's third quarter corporate briefing, industry urea sales rose about 5 percent to 4.403 million tons between January and September 2026, compared with 4.205 million tons in the same period last year. FFC's own sales climbed 10 percent to 2.160 million tons, lifting its market share to 49 percent from 47 percent.

FFC also reported total industry urea inventory of 649,000 tons as of September 2026, of which 88,000 tons were held by the company. The manufacturer noted that farm returns had improved across major crops during 2025 and 2026, though they remain below the levels seen in 2022 and 2023.

For farmers, the back-to-back increases add to input costs at a time when agricultural profitability is still recovering. How the pricing trend develops will depend on seasonal demand and inventory levels in the coming months.