December 05, 2023 (MLN): Cement dispatches declined by 2.12% YoY in November 2023, as the total dispatches stood at 3.924 million tons against 4.009m tons dispatched during the same month of last fiscal year, said a press release issued by All Pakistan Cement Manufacturers Association (APCMA).

Local cement dispatches by the industry during the month of November 2023 were 3.262m tons compared to 3.862m tons in November 2022, showing a decline of 15.53% YoY.

Exports dispatches however increased by a massive 4.48x YoY as the volumes increased from 147,757 tons in November 2022 to 662,374 tons in November 2023.

In November 2023, north-based cement mills dispatched 2.867m tons of cement showing a decline of 12.24% YoY against 3.267m tons dispatches in November 2022.

South-based mills dispatched 1.057m tons of cement during November 2023 which was 42.44% YoY more compared to the dispatches of 0.742m tons during November 2022.

North-based cement mills dispatched 2.723m tons of cement in domestic markets in November 2023 showing a decline of 13.91% YoY against 3.163m tons dispatches in November 2022.

South-based mills dispatched 538,668 tons of cement in local markets during November 2023 which was 22.85% less compared to the dispatches of 698,225 during November 2022.

Exports from north-based mills increased by 38.64% YoY as the quantities increased from 103,824 tons in November 2022 to 143,942 tons in November 2023.

Exports from the south also massively increased to 518,432 tons in November 2023 from 43,933 tons during the same month last year.

During 5MFY24, total cement dispatches (domestic and exports) were 19.816m tons which is 10.81% YoY higher than the 17.883m tons dispatched during the corresponding period of the last fiscal year.

Domestic dispatches during this period were 16.688m tons against 16.354m tons during the same period last year showing an increase of 2.04% YoY.

Export dispatches were also 2.05x YoY more as the volumes increased to 3.129m tons during the 5MFY24 compared to 1.529m tons exports done during the same period of last fiscal year.

North-based Mills dispatched 13.836m tons of cement domestically during the first five months of the current fiscal year showing an increase of 2% YoY to cement dispatches of 13.566m tons during July-November 2022.

Exports from the North increased by 32.76% YoY to 695,206 tons during July-November 2023 compared with 523,647 tons exported during the same period last year.

Total dispatches by North-based Mills increased by 3.14% to 14.532m tons during 5MFY24 from 14.089m tons during 5MFY23.

Domestic dispatches by South-based Mills during July-November 2023 were 2.851m tons showing an increase of 2.26% YoY over 2.788m tons of cement dispatched during the same period of last fiscal year.

Exports from the South also increased by 2.42x YoY to 2.433m tons during July-November 2023 compared with 1.006m tons exported during the same period last year.

Total dispatches by South-based Mills increased by 39.30% to 5.284m tons during the first five months of the current financial year from 3.794m tons during the same period of the last financial year.

A spokesman of the All-Pakistan Cement Manufacturers Association mentioned that some sources have implemented an axle load regime since November 01, 2023, without any consultation with stakeholders.

There will be a massive increase in freight charges on cement, coal, and other raw materials. It will add unnecessary pressure on our inflation which can increase by double digits.

“We would like to suggest to the government to implement axle load in a phase-wise manner over the next two to three years,” he said.

“We also foresee a major shortage of trucks which will disturb the supply to the markets. Exports will also be affected by this axle load regime”, he further added.

Copyright Mettis Link News

Posted on: 2023-12-05T11:14:34+05:00