Cement sales surge 15% in October

November 04, 2025 (MLN): Pakistan’s cement industry recorded a notable recovery in domestic demand during October 2025, with total sales reaching 3.93m tons, up 15.17% from 3.41m tons in October 2024, according to data released by the All Pakistan Cement Manufacturers Association (APCMA).

However, the export segment continued to struggle, witnessing a steep 23.44% decline to 0.83m tons, compared to 1.08m tons in the same month last year.

As a result, total cement despatches (local and exports combined) stood at 4.75m tons during October 2025 a modest 5.87% increase from 4.49m tons in October 2024.

The North-based cement mills led the domestic recovery, despatching 3.52m tons during October 2025, up 15.03% from 3.06m tons last year.

Local despatches from the northern region surged 18.07% to 3.38m tons, showing improved construction activity and infrastructure demand.

In contrast, the South-based mills reported weaker performance, despatching 1.23m tons, a 13.81% drop from 1.42m tons in October 2024.

Domestic sales in the South remained stagnant at around 547,000 tons, while exports dropped 22.43% to 680,903 tons from 877,833 tons a year earlier.

Exports from North-based mills fell 27.79%, declining from 202,858 tons in October 2024 to 146,478 tons in October 2025, while South-based mills’ exports also suffered, down 22.43%.

Industry officials attribute this persistent decline to reduced regional competitiveness, high shipping costs, and weaker global demand, especially from traditional markets in Africa and the Middle East.

Despite the October export setback, the cumulative performance of the cement sector for the first four months of FY26 (July–October 2025) remained encouraging.

Total cement despatches rose 15.48% year-on-year to 17.265m tons, up from 14.951m tons in the same period last year. Domestic sales jumped 18.09% to 13.85m tons, while exports improved 5.97% to 3.42m tons.

The North region continued to dominate, posting 18.15% growth in total despatches to 12.55m tons. Domestic despatches increased 18.46% to 11.74m tons, while exports climbed 13.84% to 808,344 tons.

In the South, total despatches rose 8.92% to 4.72m tons, supported by 16.07% growth in domestic sales (2.11m tons) and a 3.75% rise in exports (2.61m tons).

An APCMA spokesperson voiced concern over the back-to-back decline in cement exports, warning that if the trend persists, it could undermine the sector’s recovery momentum.

“The decline in exports during the last two months is alarming. If this trend continues, it may dent our hopes of cement sector revival,” the spokesperson said, urging the government to introduce export-friendly measures to enhance competitiveness in international markets.

Industry analysts believe that strong domestic demand, supported by ongoing infrastructure projects and private sector construction, will continue to underpin growth.

However, currency fluctuations, rising energy costs, and logistics challenges may continue to pressure export margins in the coming months.

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