11:28:28 AM | 21/7/2008
Phu My Fertilizer Co., the biggest fertilizer producer in Vietnam, decided to raises prices of its fertilizer to VND8,700 a kilo from VND8,500 a kilo from July 16, the Dau Tu (Investment) newspaper reported.
This is the eighth time since early 2008 the companies had increased the prices from VND5,500 a kilo late 2007.
Phan Dinh Thuc, general director of the company said high fertilizer material prices forced it to raise prices, but adding that its prices are still lower than imports, which are around VND11,500 a kilo.
The newspaper said the VND8,700 a kilo price is at work, but local farmers have to buy Phu My fertilizer at VND11,500-VND12,000 a kilo.
Phu My Fertilizer bought gas for only US$2.2 per million of British Thermal Unit (BTU), while the prices on the world market are from US$4 to US$6.5 per million of BTU.
Phu My Fertilizer Co., a PetroVietnam&rsquos subsidiary, had promised to set the uniform prices at a rate of 10 per cent-15 per cent lower than average prices at local markets.
In the first six months of this year, Phu My Fertilizer produced about 346,000 tons of fertilizer and imported another 153,000 tonnes to meet domestic demand and to stabilize the local market.
With a production capacity of around 750,000 tons of fertilizer per year, Phu My can satisfy over 30 per cent of local demand. (Investment)
Vietnamese
