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Home Prime News

Agriculture Inputs Company Advances Purchase of 255,000 Metric Tons of Fertilizer

CEO Tab by CEO Tab
August 19, 2025
in Prime News
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40,000 metric tonnes of fertilizer procured from China yet to arrive
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At a time when farmers are struggling to access chemical fertilizers, the Agriculture Inputs Company (AICL) has moved forward with the procurement process for around 255,000 metric tons.

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For the ongoing fiscal year 2082/83 (2025/26), the company has planned an annual purchase of 420,000 metric tons of fertilizer. Out of this, bids have already been invited for 255,000 metric tons, while the remaining 165,000 metric tons will be procured as per the company’s supply schedule.

The government has entrusted AICL and Salt Trading Corporation with the responsibility of importing subsidized chemical fertilizers. By the end of the last fiscal year 2081/82, AICL had distributed a total of 334,977 metric tons of fertilizer—including 192,478 metric tons of urea, 131,249 metric tons of DAP, and 11,248 metric tons of potash. This distribution was 80,580 metric tons more than in FY 2080/81.

According to AICL, through global tenders and government-to-government (G2G) agreements, two urea contracts from Kolkata, India, secured 1.2 million sacks of fertilizer. Of these, 600,000 sacks have already arrived in the company’s warehouses, while the remaining 600,000 sacks are en route to Nepal. Similarly, under three DAP contracts totaling 1.7 million sacks, 300,000 sacks have already reached AICL’s warehouses, with the remaining 1.4 million sacks expected to arrive soon.

The company said it has been providing subsidized fertilizers to farmers on a cost-sharing basis to boost agricultural production and productivity, thereby contributing to the country’s economic growth. In line with government policy, fertilizers are supplied through global tenders and G2G channels and distributed nationwide via nearly 7,000 cooperatives to ensure effective and regular access.

In just the first month of the current fiscal year (Shrawan), AICL sold 432,805 sacks of urea, 337,097 sacks of DAP, and 14,505 sacks of potash—a total of 784,410 sacks. Currently, AICL holds a stock of 516,000 sacks of urea, 94,923 sacks of DAP, and some potash in its inventory.

The company also claimed that fertilizer distribution is carried out in line with the Chemical Fertilizer Distribution Management Guidelines, 2077 (2020). Under this system, the federal government allocates quotas for each province, provincial committees assign quotas to local levels, and fertilizers are then officially delivered to farmers through authorized dealers appointed at the local level.

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