Shares of fertilisers companies are in limelight on the bourses in otherwise subdued market ahead of the Cabinet Committee on Economic Affairs (CCEA) meeting today to discuss the urea price hike issue.
“The Fertilizer Ministry is looking at increasing retail price of urea by at least 10 per cent to Rs 5,841 per tonne to bring down its subsidy burden,” the report suggests.
Urea is the only fertilizer that remains under full price control. Currently, subsidised urea is sold at Rs 5,310 a tonne for agricultural use.
Among the individual stocks, Rashtriya Chemicals and Fertilisers, Chambal Fertilisers and Chemicals, Tata Chemicals and Coromendel International are trading higher by 2-5% on the Bombay Stock Exchange compared to a marginal 0.25% fall in the benchmark index Sensex at 1045 hours.
