Fertiliser Sector: Monthly Update
Fertiliser numbers for the month of October’09 have been released by the National Fertiliser Development Centre (NFDC). Total urea offtake in 10MCY09 stood at 5.07mn tons compared to 4.5mn tons during the corresponding period last year – a growth of 13.4%YoY. DAP sales, meanwhile, stood at 1.2mn tons in 10MCY09, depicting a growth of 1.3xYoY. Currently, DAP prices in the local market stand at PkR1,910-PkR1,960 per bag while urea prices stand at PkR730 per bag. We maintain our ‘Overweight’ stance on the sector with Engro being our top pick.
AKD Research
26 November, 2009 |
