According to the data released by the All Pakistan Cement Manufacturers Association, local cement sales by the industry during July 2023 were 2.776 million tons compared to 1.887 million tons in July 2022, showing an increase of 47.11 percent.

Exports also increased by a massive 184 percent as the volumes increased from 153,517 tons in July 2022 to 435,854 tons in July 2023. This took overall sales to 3.21 million tons, up 57 percent over the same month of the previous year.

In July 2023, North-based cement mills despatched 2.473 million tons cement showing an increase of 46.54 percent against 1.688 million tons despatches in July 2022. South-based mills despatched 739,376 tons cement during July 2023 which was 109.61 percent more compared to the despatches of 352,747 tons during July 2022.

North-based cement mills despatched 2.351 million tons cement in domestic markets in July 2023 showing an increase of 45.37 percent against 1.617 million tons despatches in July 2022. South-based mills despatched 425,336 tons cement in local markets during July 2023 which was 57.84 percent more compared to the despatches of 269,477 during July 2022.

Exports from North-based mills increased by 73.41 percent as the quantities increased from 70,247 tons in July 2022 to 121,814 tons in July 2023. Exports from the South also increased by 277.13 percent to 314,040 tons in July 2023 from 83,270 tons during the same month last year.

Sales fall on monthly basis

A spokesman of All Pakistan Cement Manufacturers Association said that although compared to last year, the start of the current fiscal year looks good but in fact, the domestic despatches in July 2023 were almost 20 percent less than June 2023. So compared to last month, there was a decline.

He also expressed concerns over the rising cost of production. The provincial government has increased the rate of royalty from Rs. 115 per ton to Rs. 250 per ton. The rate of electricity has also been increased by almost Rs. 7.5 per unit and the recent increase in fuel cost by around Rs. 20 per liter has impacted the freight cost, he added. He was positive that this fiscal year would be a better year for the sector due to expected investments in large-scale projects.

Source: Pro Pakistani