Pakistan’s Fertilizer Stocks Rally After Engro Raises Prices
Fauji Fertilizer Bin Qasim Ltd. (FFBL) rose to the highest since 1997 in Karachi trading, leading gains among Pakistan’s fertilizer stocks, after rival Engro Corp. raised its prices by 15 percent today.
Fauji Bin Qasim, the country’s only producer of di-ammonium phosphate, jumped 4.3 percent to 61.40 rupees as of 12:32 p.m. local time. Fauji Fertilizer Co., the country’s biggest urea maker, rallied by the daily limit of 5 percent to 170.62 rupees, heading for its steepest gain since Jan. 14.
Shares of Engro, a maker of fertilizer, dairy products and plastics, rose 3.3 percent to 142.10 rupees. The company lifted the price of urea by 202 rupees ($2.31) for a 50 kilogram bag to 1,580 rupees, spokesman Aman ul Haque said in a text message.
“This is an across-the-board sentiment of Engro’s action,” Shamoon Tariq, a research analyst with Invisor Securities Pvt. Ltd., said in a telephone interview from Karachi today. “Investors feel the other bigger companies may increase their rates as well.”
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