Cement sector sees 4.6% growth in dispatches
PHOTO: FILE
Cement dispatches, in December 2023, witnessed a robust increase of 4.63%, totalling 4.06 million tonnes compared to 3.881 million tonnes in the same period of the previous fiscal year. Data from the All Pakistan Cement Manufacturers Association (APCMA) revealed that local cement dispatches during the month reached 3.536 million tonnes, showing a decline of 3.81% compared to December 2022. However, exports surged significantly by 155.85%, reaching 524,656 tonnes, a massive increase from the 205,061 tonnes recorded in December 2022.
North-based cement mills demonstrated almost flat growth, dispatching 3.012 million tonnes in December 2023 compared to 3.01 million tonnes in the same month of the previous year. In contrast, south-based mills experienced a noteworthy increase of 20.50%, dispatching 1.048 million tonnes during December 2023, up from 0.87 million tonnes in December 2022.
Domestically, north-based mills dispatched 2.936 million tonnes of cement in December 2023, reflecting a modest decline of 0.69% from December 2022. Meanwhile, south-based mills sent 600,073 tonnes of cement to local markets during December 2023, marking a decrease of 16.62% compared to December 2022.
Read Cement sector posts mild growth of 1.15%
Exports from north-based mills rose by 39.58%, reaching 75,967 tonnes in December 2023, while south-based mills experienced a substantial 197.87% surge in exports, totalling 448,689 tonnes during the same period.
For the first six months of the current fiscal year, total cement dispatches, including domestic and exports, reached 23.876 million tonnes, a notable increase of 9.71% from the 21.764 million tonnes dispatched in the corresponding period of the previous fiscal year. Domestic dispatches during this period amounted to 20.223 million tonnes, showing a modest increase of 0.97%. However, exports surged significantly by 110.66%, totalling 3.653 million tonnes. Expressing concerns over the negative growth in domestic dispatches over the past four months, an APCMA spokesperson highlighted the industry’s optimism that the government would accelerate PSDP projects to boost cement demand.
Published in The Express Tribune, January 3rd, 2024.
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