Mechanism of subsidy to fertilizer industry needs to be rationalised: Asad.
ISLAMABAD -- Federal Minister for Planning, Development and Special Initiative Asad Umar said that the mechanism of the subsidy to Fertilizer industry needs to be more rationalized as it seems that direct subsidy to the farmers would be more cost-effective for the government and more beneficial to the farmers. In the Fertilizer Committee Meeting which was held here Monday, the government has asked the fertilizer industry to come up with proposal for keeping the Fertilizer prices stable and affordable.
The fertilizer committee including Federal Minister for Planning, Development and Special Initiative Asad Umar along with Minster for National Food Security and Research Makhdoom Khusro Bakhtiar, Adviser for Commerce, Textile, Industry and Production and Investment Abdul Razak Dawood and SAPM on Petroleum Nadeem Babar held a meeting with representatives of the fertilizer industry to discuss matters related to the fertilizer supplies and pricing.
The meeting considered various ways and means to ensure sufficient supplies of the commodities while making the prices of the fertilizer affordable for the farmers. Official sources privy to the meeting told The Nation that the government has asked the Fertilizers Industry to reduce the commodity price, equivalence to the huge subsidy they are getting.
Asad Umar said that the government is providing huge subsidies to keep the fertilizers affordable, it seems that the mechanism of the subsidy needs more thinking. It seems that direct subsidy to the farmers would be more cost-effective for the government and more beneficial to the farmers. The minister said that the government would also consider removing the GIDC for...
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