ISLAMABAD, Pakistan: The Economic Coordination Committee (ECC) of the Cabinet in Islamabad on Monday endorsed continuation of the previous fertilizer subsidy scheme for Fiscal Year 2016-17 on the same terms, conditions and modalities.
The Finance Minister Senator Muhammad Ishaq Dar Chaired the ECO meeting which also approved export of 0.3 million tons of Urea fertilizer till April 28, 2017 without any subsidy.
The federal government is paying Rs 200 per bag subsidy to support the farming community and agriculture sector; however, this subsidy will not be available on exports of fertilizer.
The export quantity will be monitored by the State Bank of Pakistan (SBP) like the mechanism adopted regarding sugar exports.
The Fertilizer Review Committee (FRC) will monitor domestic prices of Urea on monthly basis and in case of abnormal increase in retail price as per weekly sensitive price index, the FRC will recommend to ECC discontinuation of further exports.
The permission of export was given in view of around one million metric tons surplus Urea fertilizer in the country.
The ECC approved, in principle, payment of outstanding claim of PASSCO on account of supply of wheat in 2008-2009, and directed the Ministry of National Food Security & Research and PASSCO to reconcile the outstanding amount with the Ministry of Finance.
The ECC recognized the contributions and services of recently retired Dr. Waqar Masood Khan and Nisar Muhammad, both as ex-officio participants of the ECC, and as Secretary of Finance Division and, Secretary/Chairman Revenue Division/FBR, respectively.
