The All Pakistan Cement Manufacturers Association (APCMA) has released data revealing a remarkable 37.04% increase in cement despatches, totaling 4.518 million tons in August 2023.
Domestic cement shipments by the industry during August 2023 reached 3.793 million tons, marking a 30.38% increase compared to the 2.909 million tons recorded in August 2022.
Export despatches also witnessed robust growth, surging by 87% as volumes escalated from 387,440 tons in August 2022 to 724,777 tons in August 2023.
In August 2023, North-based cement mills dispatched 3.252 million tons of cement, marking a 25.28% increase from the 2.596 million tons dispatched in August 2022. South-based mills despatched 1.265 million tons of cement during August 2023, an impressive 80.63% rise from the 700,436 tons dispatched in August 2022.
In the domestic market, North-based cement mills dispatched 3.088 million tons of cement in August 2023, reflecting a 23.32% increase from the 2.504 million tons dispatched in August 2022. South-based mills despatched 704,582 tons of cement in local markets during August 2023, marking a substantial 73.99% growth from the 404,959 tons despatched in August 2022.
Also Read: Car Sales Crash by Over Half Compared to 2022
Exports from North-based mills increased by 78.54%, with quantities rising from 91,963 tons in August 2022 to 164,195 tons in August 2023. Exports from the South also surged by 89.72%, reaching 560,582 tons in August 2023 compared to 295,477 tons in the same month of the previous year.
For the first two months of the current fiscal year, total cement despatches (domestic and exports) reached 7.747 million tons, a substantial 45.17% increase compared to the 5.337 million tons despatched during the corresponding period of the last fiscal year.
Domestic despatches during this period reached 6.573 million tons, up 37.05% from the 4.796 million tons during the same period last year. Export despatches also experienced a significant boost, rising by 117.13% to 1.175 million tons during the first two months of the current fiscal year compared to 540,957 tons during the same period last fiscal year.
North-based mills despatched 5.440 million tons of cement domestically during the first two months of the current fiscal year, a 32% increase from the 4.121 million tons during July-August 2022. Exports from the North surged by 76.32% to 286,009 tons during July-August 2023, compared to 162,210 tons exported during the same period last year. Total despatches by North-based mills grew by 33.68% to 5.726 million tons during the first two months of the current financial year from 4.284 million tons during the same period of the last financial year.
In the South, domestic despatches by South-based Mills during July-August 2023 were 1.132 million tons, reflecting a 67.91% increase over the 674,436 tons of cement despatched during the same period last fiscal year. Exports from the South also surged by 134.61% to 888,559 tons during July-August 2023 compared to 378,747 tons exported during the same period last year. Total despatches by South-based Mills increased by 91.89% to 2.021 million tons during the first two months of the current financial year from 1.053 million tons during the same period of the last financial year.
A spokesman for APCMA noted that the rapid depreciation of the currency against the dollar, historically high petroleum prices, and rising electricity tariffs have collectively increased production costs and goods transportation expenses. This situation may ultimately impact end consumer prices. The spokesman emphasized the need for the government to consider these issues seriously to help the industry navigate this challenging situation.
