Pakistan Fertilizers: much needed boost
As per Aug'17 NFDC data, fertilizer offtake continues to recover on the back of persistent support of subsidy package and inspiring kharif season. According to latest figures, total fertilizer sales in Aug'17 stood at 1.15mn tons against 842k tons sold in Aug'16 (up 37%YoY/55%MoM). Similarly, urea sales have also jumped by 65%YoY/180%MoM to 948k tons during the month under review. Furthermore, imported urea sales also depicted improvement (65k tons sold in Aug'17 vs. 46k tons in Jul'17) due to availability at significant discount to local urea prices (15% discount). DAP sales on the other hand registered a decline of 38%YoY/71%YoY to 83k tons in Aug'17. On a cumulative basis, total fertilizer sales posted encouraging growth of 26%YoY to 6.04mn tons during 8MCY17 where urea offtake posted a significant growth of 26%YoY to stand at 3.99mn tons. Moreover, the recent recovery in int'l urea prices (up 60% since low of US$163/ton in Jun'17) alongwith normalization of inventory level (urea inventory standing at 653k tons vs. 1.15mn tons in Aug’16) makes room available for local manufacturers to reduce the prevailing discount offerings while further reducing inventory levels by exporting excess urea at better prices.
Fauji Fertilizer is engaged in the manufacturing, purchasing and marketing of fertilizers including the investment in other fertilizer manufacturing operations. As of Dec 31 2004, Co. had a design capacity of 2,455,000 tonnes for urea production and 445,000 tonnes for DAP production.
AKD Securities Ltd. is one of the leading securities firm in Pakistan, providing a comprehensive range of investor focused services, including equity brokerage, economic and securities research, investment banking and financial advisory services. AKD Securities accounts for more than 6% of the average daily value of the Karachi Stock Exchange. AKD Securities was the first brokerage house to launch an online trading platform in Pakistan in November 2002 and now has the largest market share with over 6000 customers. This has helped diversify and expand the retail investor base in the country and ushered in a whole new universe of investors to the stock market.
AKD Securities Ltd. caters to a diversified group of domestic and international institutional investors, high net worth individuals and upscale retail clients, including expatriate Pakistanis. With high quality research, unparalleled execution and distribution capability for both regular and large block trades, AKD Securities Ltd. has earned an outstanding reputation in the Pakistani securities industry.Outside of commercial banks, AKD Securities Ltd. is one of the biggest capital market firms in the country. AKD Securities is the leader in raising and providing risk capital in underwriting, market making and mergers and acquisitions in Pakistan. Good corporate governance and professionalism are emphasized throughout the firm and AKD Securities Ltd. is amongst the very few companies to have introduced a firm-wide comprehensive CODE of ETHICS, overseen by an independent compliance manager.Ultimately, our success is based on the quality of service we provide to our customers and the trust and confidence reposed in us by them. Our focus, therefore, remains on customer satisfaction at all levels in the company.
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