July 02, 2024 (MLN): Total cement despatches edged 1.6% higher to 45.29m tons during fiscal year 2023-24 as against 44.58m tons despatched during last fiscal year. 

According to the data released by All Pakistan Cement Manufacturers Association, domestic despatches in this period were 38.18m tons against 40m tons during last year showing a reduction of 4.58%.

Export despatches showed massive increase by 55.71% as the volumes jumped to 7.11m tons during the fiscal year ended June 30, 2024 compared to 4.57m tons exports done during last fiscal year.

North based Mills despatched 31.55m tons cement domestically during the fiscal year ended June 30, 2024 showing a reduction of 3.76% than cement despatches of 32.78m tons during July-June 2023.

Exports from North increased by 36.23% percent to 1.457 million tons during July-June 2024 compared with 1.07m tons exported during the same period last year.

Total despatches by North based Mills reduced by 2.49% to 33m tons during FY24 from 33.85m tons during last fiscal year.

Domestic despatches by South based Mills during FY24 were 6.64m tons showing reduction of 8.30% over 7.24m tons cement despatched during the same period of last fiscal year.

Exports from South massively increased by 61.67% to 5.65n tons during FY24 compared with 3.5m tons exported during the same period last year.

Total despatches by South based Mills increased by 14.49% to 12.29m tons during FY24 from 10.73m tons during last fiscal year.

A spokesperson for the All Pakistan Cement Manufacturers Association emphasized that domestic market is pivotal for cement industry and decline in its uptake during the fiscal year ended June 30, 2024 calls for serious attention from policy makers.

He said that the situation calls for lowering duties and taxes on cement, but on the contrary, the government has increased excise duty from Rs2,000 per ton to Rs4,000 per ton in budget 2024-25 that is likely to dampen the demand further.

Cement is not a luxury item but is a basic necessity and government must take measures to reduce the construction cost, to make it affordable for the masses, he further added.

Monthly

Meanwhile, during the month of June alone, cement despatches declined by 12.58% to 3.552 million tons in June 2024 against 4.06m tons despatched during the same month of last fiscal year.

Local cement despatches by the industry during the month of June 2024 were 3.08m tons compared to 3.49m tons in June 2023, showing a decline of 11.69%.

Exports despatches also declined by 17.95% as the volumes reduced from 576,309 tons in June 2023 to 472,865 tons in June 2024.

In June 2024, North based cement mills despatched 2.72m tons cement showing a decline of 7.71% against 2.95m tons despatches in June 2023. South based mills despatched 829,582 tons cement during June 2024 that was 25.47% less compared to the despatches of 1.11m tons during June 2023.

North based cement mills despatched 2.61m tons cement in domestic markets in June 2024 showing a decline of 8.45% against 2.86m tons despatches in June 2023.

South based mills despatched 465,578 tons cement in local markets during June 2024 that was 26.34% less compared to the despatches of 632,093 during June 2023. 

Exports from North based mills increased by 14.19% as the quantities increased from 95,333 tons in June 2023 to 108,861 tons in June 2024.

Exports from South reduced by 24.32% to 364,004 tons in June 2024 from 480,976 tons during same month last year.

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Posted on: 2024-07-02T20:11:13+05:00