Cement dispatches decline 19.22%
PHOTO: FILE
In February 2024, the cement sector witnessed a significant decline of 19.22%, with total dispatches amounting to 3.259 million tonnes (MT), compared to 4.035 MT in the same month of the previous fiscal year. This downturn, as reported by the All Pakistan Cement Manufacturers Association, reflects a notable contraction in both local and export markets.
Local cement dispatches in February 2024 stood at 2.863 MT, marking a substantial decrease of 20.23% from February 2023. Similarly, exports declined by 11.02%, with volumes dropping from 444,962 tonnes in February 2023 to 395,935 tonnes in February 2024.
North-based cement mills dispatched 2.433 MT in February 2024, representing a decline of 19.26% from February 2023, while South-based mills dispatched 826,085 tonnes, reflecting a 19.08% decrease compared to February 2023.
Domestic dispatches from North-based mills totalled 2.338 million tonnes in February 2024, showing a decline of 20.73% from February 2023, while South-based mills dispatched 525,543 tonnes, marking a 17.97% reduction compared to February 2023.
Despite the overall decline, exports from North-based mills increased by 47.40%, reaching 95,393 tonnes in February 2024. However, exports from South-based mills decreased by 20.96% to 300,542 tonnes during the same period.
Read Cement despatches witness decline of 14.79% in Jan
Over the first eight months of the current fiscal year, total cement dispatches reached 30.555 MT, a modest increase of 2.52% from the corresponding period last fiscal year. Domestic dispatches during this period were 26.059 MT, down by 4.22% from the same period last year. However, exports showed a significant increase of 73.10%, reaching 4.496 MT compared to 2.597 MT in the previous fiscal year.
North-based mills dispatched 21.495 MT domestically during the first eight months of the current fiscal year, representing a reduction of 3.73% from July-February 2023. Exports from the North increased by 35.02%, totaling 915,449 tons during July-February 2024. Conversely, domestic dispatches by South-based mills decreased by 6.47%, while exports surged by 86.55% during the same period.
A spokesperson for the All Pakistan Cement Manufacturers Association expressed hope that the new government would introduce industry-friendly policies and address critical issues promptly. The association urges the government to expedite pending public sector development projects to provide relief to the construction industry and the hundreds of thousands of skilled and unskilled labourers associated with the sector.
Published in The Express Tribune, March 5th, 2024.
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