The New Nation - Internet Edition

THE Ministry of Industry, that is responsible for production, import and distribution of fertilisers, has reportedly fixed the price of Urea fertiliser at ten thousand Taka per ton against the prevailing rate of four thousand eight hundred Taka. It also fixed the price of Muriate of Potash (MoP) at Taka fifty thousand per ton against the previous price of Taka nineteen thousand and five hundred. The upward adjustment of price for fertiliser has been made for the first time since 1996 and a day after the announcement of the national budget for 2008-09 fiscal year. The end is to lessen the burden of subsidy given by the government.

It is worth noting that subsidy on fertiliser has been increased from the estimated amount of twenty-two billion Taka of forty billion Taka in the current fiscal year of 2007-08. The price of fertiliser has increased due to uptrend in the price of inputs and also due to increase in the import price.

The price of urea fertiliser will be Taka 10 per Kg in coming fiscal year, against the current price of Taka 6.50 on an average. The price of Muriate of Potash (MoP) will be around Taka fifty per kg. The ultimate users of chemical fertiliser in the farm sector will bear the burden of higher price.

The farming community in Bangladesh have to pay higher price even for polluted fertilisers that are marketed in the country. Sometimes the imported items are not delivered to the local market on time. Marginal farmers are affected adversely due to non-availability of fertiliser. The leaders of the business community, dealing with the farming people, however, noted the price hike of urea in the international market and looked for support of the official agencies. The farming community have produced a bumper crop of rice and saved the food sector from market volatility. The import of chemical fertiliser and use thereof on time at fair price should therefore, be the main objective.