Cement sales decline by 7%

Exports, on the other hand, were up by 10.96% to 449,940 tonnes in February

LAHORE:

Cement sales across the country witnessed a steep decline in the month of February as political and economic instability led to serious operational issues in the sector.

According to data released by the All-Pakistan Cement Manufacturers Association (APCMA), cement dispatches declined by 7.10% in February 2023, with total sales standing at 4.040 million tonnes (MT) during the month against 4.348 million tonnes dispatched during the same month last year.

“We are facing serious operational problems. Without the timely supply of spare parts and consumable items, we cannot ensure the stable operation of our plants,” said an APCMA spokesperson, urging the government to come-up with industry friendly policies to help the industry stabilitate.

According to the data, domestic cement sales stood at 3.590MT compared to 3.943MT in the same month last year – down by 8.96%.

Export dispatches, on the other hand, were up by 10.96% as volumes increased from 405,489 tonnes in February 2022 to 449,940 tonnes in February 2023.

The North-based cement mills dispatched 3.014MT of cement showing a decline of 7.42% against 3.255 MT dispatches from last year. Total sales at the South-based mills witnessed a decline of 6.13%, selling only 1.025MT cement during the month compared to 1.093MT sold last year.

Domestic sales from the Northern mills fell by 8.26%, dispatching only 2.949MT of cement against 3.215MT in February 2022. Similarly, the mills in the south sold only 640,645MT of cement in the domestic markets in February 2023, 12.04% less compared to 728,30MT sold in February 2022.

Exports from the North rose by 58.22% as the volume increased from 40,902 tonnes in February 2022 to 64,717 tonnes in February 2023. The south witnessed an increase of 5.66% to 385,223 tonnes in February 2023 from 364,587 tonnes during the same month last year.

During the first eight months of the current fiscal year, total cement dispatches (domestic and exports) stood at 29.81MT, 16.65% lower than 35.763MT dispatched during FY2022.

Published in The Express Tribune, March 4^th, 2023.

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