ISLAMABAD: Cement dispatches fell by 12.58% in June 2024, totaling 3.552 million tons compared to 4.063 million tons in June 2023, according to data from the All Pakistan Cement Manufacturers Association (APCMA).
Local cement dispatches in June 2024 were 3.079 million tons, down 11.69% from 3.487 million tons in June 2023. Export dispatches decreased by 17.95%, from 576,309 tons in June 2023 to 472,865 tons in June 2024.
North-based cement mills dispatched 2.723 million tons in June 2024, a decline of 7.71% from 2.950 million tons in June 2023. South-based mills dispatched 829,582 tons, 25.47% less than the 1.113 million tons dispatched in June 2023.
In domestic markets, North-based mills dispatched 2.614 million tons in June 2024, an 8.45% decline from 2.855 million tons in June 2023. South-based mills dispatched 465,578 tons, 26.34% less than the 632,093 tons in June 2023.
Exports from North-based mills increased by 14.19%, from 95,333 tons in June 2023 to 108,861 tons in June 2024. Exports from South-based mills fell by 24.32%, from 480,976 tons in June 2023 to 364,004 tons in June 2024.
For the fiscal year ending June 30, 2024, total cement dispatches (domestic and exports) were 45.291 million tons, a 1.60% increase from 44.579 million tons the previous fiscal year. Domestic dispatches were 38.181 million tons, a 4.58% decrease from 40.013 million tons. Export dispatches rose by 55.71%, from 4.566 million tons to 7.110 million tons.
North-based mills dispatched 31.545 million tons domestically in FY 2024, a 3.76% decline from 32.776 million tons in FY 2023. North-based export dispatches increased by 36.23%, from 1.069 million tons to 1.457 million tons. Total dispatches by North-based mills decreased by 2.49%, from 33.846 million tons to 33.002 million tons.
South-based mills dispatched 6.636 million tons domestically in FY 2024, an 8.30% decrease from 7.237 million tons in FY 2023. South-based export dispatches increased by 61.67%, from 3.496 million tons to 5.652 million tons. Total dispatches by South-based mills rose by 14.49%, from 10.734 million tons to 12.289 million tons.
A spokesperson for APCMA stressed the importance of the domestic market for the cement industry. According to him, a decline in domestic dispatches during FY 2024 calls for policy intervention. The spokesperson criticized the government’s decision to increase the excise duty from Rs. 2,000 to Rs. 4,000 per ton in the 2024-25 budget, warning it could further reduce demand. Cement is a basic necessity, not a luxury item, and the government should take measures to lower construction costs to make it affordable for the masses, he added.
