Dealers blamed for creating artificial fertiliser crisis

A number of fertiliser dealers are allegedly creating an artificial crisis by not lifting their allocated fertiliser from government warehouses, despite sufficient stocks in the country, according to sources at the Ministry of Agriculture.

Of nearly 10,000 fertiliser dealers across the country, around 2,300 have been identified over allegations of irregularities and attempts to create an artificial crisis. The government has initiated a process to gradually cancel the dealerships of those found involved in such activities, sources said. According to government data, the country had a stock of 1.3656 million tonnes of urea, TSP, DAP and MOP fertiliser as of Monday, compared with around 1.3 million tonnes during the same period of the 2025-26 fiscal year.

The stocks of urea, TSP, DAP and MOP stood at 482,200 tonnes, 369,000 tonnes, 368,000 tonnes and 146,000 tonnes respectively. The corresponding stocks during the same period last year were 471,000 tonnes, 202,000 tonnes, 312,000 tonnes and 272,000 tonnes.

A total of 801,000 tonnes of fertiliser had been distributed as of Sunday, including 385,000 tonnes of urea, 120,000 tonnes of TSP, 162,000 tonnes of DAP and 134,000 tonnes of MOP.

Agriculture Secretary Salim Khan told the Daily Sun on Monday that the government has more fertiliser than current demand and that stocks are higher than at the same time last year.

“Compared with the stock we had at this time last year, we have more fertiliser now. Three ships are already on their way, and the purchase committee also held a meeting today,” he said.

The secretary alleged that some dealers are creating the crisis following the government’s introduction of a new policy, while another group was allegedly trying to put the government in trouble. “Some dealers are doing this to make the government uncomfortable,” he said.

He said a monitoring committee led by a joint secretary has been formed to oversee fertiliser distribution and maintain contact with deputy commissioners round the clock. The secretary said dealers in 15 of the 16 districts in the Rajshahi and Rangpur divisions, excluding Panchagarh, had been identified for receiving allocations but failing to lift the fertiliser from government warehouses. “We have identified those responsible and instructed the authorities to take action against them,” he said. The government has also decided to establish a monitoring cell for fertiliser dealers to monitor distribution and their activities across the country.

According to a Ministry of Agriculture source, dealer collections remain significantly below allocated quantities in several areas.

Dealers in Dhaka division had collected only 85% of their July urea allocation, while collection of TSP stood at 58%, the source said. Dealers had also collected only 50% of July's DAP allocation and 67% of MOP.

For August, they had collected 62% of urea, 70% of TSP, 49% of DAP and 65% of MOP, the source said.

Ahmed Faisal Imam, additional secretary (Fertiliser) at the ministry, said some dealers and others are trying to create an impression of a shortage, prompting people to stockpile fertiliser out of fear of future price rises or supply shortages. He said monthly fertiliser allocations were made 15 days before the start of each month, with dealers informed of their quotas and required collections.

Referring to Kurigram, he said a dealer had failed to collect allocated fertiliser, resulting in a situation that contributed to a recent incident in which farmers reportedly took fertiliser from a warehouse.

“The dealer was at fault because he did not collect the fertiliser. He neither collected it on time nor distributed it properly,” he said. The additional secretary said the government could not cancel all dealerships simultaneously because doing so could create another crisis at the field level.  “We have prepared a list of around 2,300 dealers, and we will cancel their dealerships gradually. Those found involved in irregularities will be removed,” he said. The government is maintaining 30–40% more fertiliser than the amount expected to be consumed, based on calculations by specialists and experts, he added. 

Despite the government’s claim of adequate supplies, farmers in some areas say they are struggling to obtain fertiliser and allege that it is being sold above government-fixed prices.

Our Kushtia correspondent reported that farmers are facing difficulties obtaining urea, TSP and MOP, with some alleging that fertiliser was being sold Tk5 to Tk9 per kilogramme above fixed prices.

Dealer Shariful Islam said fertiliser was being sold with very limited profit margins. According to him, government-fixed prices are Tk1,250 per sack for urea and TSP, Tk950 for DAP and Tk900 for MOP. Dealers receive Tk100 per sack as transportation costs, he said.

Asadul Islam of Ujulpur village in Meherpur said a sack officially priced at Tk1,350 was being sold for Tk1,800 to Tk2,000.