ISLAMABAD: Cement despatches in Pakistan saw a mixed trend in December 2024, with local despatches dropping by 4.76% while exports surged significantly. Data from the All Pakistan Cement Manufacturers Association (APCMA) revealed that local despatches stood at 3.370 million tons in December 2024, down from 3.539 million tons in December 2023.
In contrast, exports grew by 49.35%, rising to 783,550 tons compared to 524,656 tons in December 2023. Total cement despatches for December 2024 reached 4.154 million tons, reflecting a modest 2.23% increase from the 4.063 million tons recorded in December 2023.
Regionally, North-based mills recorded a 3.71% decline in total despatches, distributing 2.9 million tons compared to 3.012 million tons in December 2023. Meanwhile, South-based mills increased their total despatches by 19.25%, reaching 1.254 million tons from 1.052 million tons in the previous year.
Domestic despatches in the North declined by 5.11% to 2.786 million tons from 2.936 million tons in December 2023. Similarly, South-based mills recorded a 3.04% decrease in local despatches, falling to 584,684 tons from 603,010 tons.
Export performance painted a brighter picture. North-based mills increased exports by 50.18%, shipping 114,089 tons compared to 75,967 tons in December 2023. South-based mills followed suit, with exports rising by 49.20% to 669,461 tons from 448,689 tons during the same period last year.
For the first half of the fiscal year, total cement despatches (domestic and exports) dropped by 3.97%, totaling 22.933 million tons compared to 23.881 million tons in the same period last year.
Domestic despatches fell sharply by 10.41% to 18.122 million tons from 20.228 million tons. However, exports rose significantly by 31.69%, reaching 4.810 million tons from 3.653 million tons in the same period last year.
North-based mills reported a 9.46% decline in domestic despatches during the six-month period, with volumes dropping to 15.185 million tons from 16.772 million tons. Their exports, however, grew by 28.81%, reaching 992,413 tons compared to 770,470 tons. Total despatches in the North fell by 7.78% to 16.177 million tons.
In the South, domestic despatches dropped by 15.02% to 2.937 million tons from 3.456 million tons. Exports from the South increased by 32.47%, reaching 3.817 million tons compared to 2.882 million tons. Overall despatches from South-based mills rose by 6.57% to 6.755 million tons.
A spokesman for APCMA expressed serious concern over the continuous decline in local cement demand. “Local offtake is crucial for both the industry’s and the economy’s growth,” he stated. He urged the government to reduce duties and taxes to lower production costs, stimulate demand, and allow the sector to utilize its idle capacity.
