As per provisional fertilizer offtake data for the month May’22, urea offtake plummeted by 18% YoY to 412k tons compared to 501k tons in SPLY.

Offtake of FFC and FFBL (combined), EFERT, and FATIMA depicted a fall of 10%, 27%, and 32% YoY, respectively, clocking in at 217k tons, 146k tons, and 32k tons, respectively.

Similarly, on a MoM basis, urea offtake reported a decline of 10% owing to seasonality impact. Urea sales of EFERT, and FATIMA reduced by 7%, and 50% MoM, respectively.

Meanwhile, offtake of FFC and FFBL (combined) depicted an uptick of 1%. On a cumulative basis, urea sales jump up by 13% YoY during 5MCY22, arriving at 2,504k tons. The urea offtake of FFC and FFBL combined registered a growth of 13% YoY, settling at 1,180k tons while FATIMA’s sales climbed up by 58% to 347k tons. Whereas, the offtake of EFERT witnessed a drop of 7% YoY, to reach 852k tons.

DAP offtake plunged by 44% YoY in May’22

DAP offtake plunged by 44% YoY to 97k tons during May’22. On a MoM basis, DAP offtake depicted an uptick of 1% MoM. Whereas, during 5MCY22, DAP offtake reduced by 17% YoY at 441k tons on account of a massive surge in DAP price. On a company-specific basis, DAP sales of FFC and FFBL clocked in at 69k tons in May’22, portraying a fall of 30% YoY. Meanwhile, FFC and FFBL’s combined DAP offtake grew by 81% MoM. With this, FFC and FFBL’s DAP offtake during 5MCY22 settled at 247k tons, down by 9% YoY. On the other hand, EFERT’s DAP sales during May’22 declined by 40 YoY | MoM to 16k tons. Hence, EFERT’s DAP offtake in 5MCY22 augmented to 99k tons, up by 19% YoY.

Inventory position

Towards the end of May’22, the closing inventory of urea stood at 438k tons versus 318k tons in Apr’22. Moreover, the inventory position of DAP is 345k tons as of May’22.

Courtesy- AHL Research