Local sales of the cement industry dropped 4.76% to 3.370 million tons in December 2024 as compared to 3.539 million tons in the corresponding month of previous year.
According to data released by the All Pakistan Cement Manufacturers Association (APCMA), exports, however, increased 49.35% as volumes soared from 524,656 tons in December 2023 to 783,550 tons in December 2024.
In the month under review, total cement dispatches reached 4.154 million tons against 4.063 million tons last year, showing an increase of 2.23%.
Among overall sales, north-based cement mills supplied 2.9 million tons, down 3.71% compared to sales of 3.012 million tons last year. On the other hand, southern mills dispatched 1.254 million tons during December 2024, higher by 19.25% compared to supplies of 1.052 million tons in December 2023.
North-based cement mills sold 2.786 million tons in domestic markets, lower by 5.11% against 2.936 million tons last year, while southern mills catered to demand for 584,684 tons in local markets, which was 3.04% less than dispatches of 603,010 tons in the previous year.
Exports from the north grew 50.18% as cement volumes increased from 75,967 tons in December 2023 to 114,089 tons in December 2024. Similarly, exports from the south rose 49.20% to 669,461 tons in December 2024 from 448,689 tons in the same month of last year.
During the first six months (July-December) of the current fiscal year, total cement dispatches, including domestic sales and exports, were calculated at 22.933 million tons, down 3.97% compared to 23.881 million tons in the corresponding period of last year.
Domestic sales during the first half reached 18.122 million tons against 20.228 million tons during the same period of last year, registering a decrease of 10.41%.
However, exports were 31.69% higher as volumes surged to 4.810 million tons in July-December 2024 compared to shipments of 3.653 million tons during the corresponding period of last year.
North-based mills dispatched 15.185 million tons of cement to domestic markets in six months, registering a reduction of 9.46% than dispatches of 16.772 million tons during July-December 2023.
Exports from the north soared 28.81% to 992,413 tons during July-December 2024 compared with 770,470 tons in the same period of last year.
Total dispatches by north-based mills decreased 7.78% to 16.177 million tons in the first six months of the current financial year against 17.542 million tons in the same period of last year.
Domestic sales of south-based mills during July-December 2024 stood at 2.937 million tons, down 15.02% over sales of 3.456 million tons during the corresponding period of last year.
Exports from the south rose 32.47% to 3.817 million tons in the six-month period under review compared with exports of 2.882 million tons in the same period of last year.
Total dispatches by southern mills went up 6.57% to 6.755 million tons during the first six months of FY25 from 6.339 million tons in the same period of last year.
In a statement, a spokesman for the APCMA expressed concern over the continuous decline in local cement demand. He emphasised that local offtake played a major role in the growth of the industry as well as the overall economy.
"Reduction in duties and taxes by the government can bring the cost of the commodity down, which can boost sales and enable the sector to utilise its idle capacity," he added.
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