The total sales of Pakistani cement in domestic and export markets is expected to increase by 14 per cent to 35Mt during fiscal year ended on June 30, a brokerage house said.
“As per our discussions with the industry experts, the total sales of the commodity are expected to come at 35Mt in the fiscal year 2010, which will include 24Mt sales in the national markets and 11Mt in the international markets,” said Atif Zafar, analyst at JS Research.
Sales of around 24Mt of cement in the local market would be an all-time high, registering 24 per cent on a yearly basis, while export sales are likely to remain flat at 11Mt against last year, he said.
An increase in cement prices in the northern parts of the country during the fourth quarter of the fiscal year 2010 and the granting of a subsidy on exports from March 26 to June 30 helped producers achieve total sales of 35Mt.
Exports are expected to be higher by 33 per cent on QoQ basis in the fourth quarter as manufacturers look to avail the inland freight subsidy effective from March 26. Hence, the total off-take for the industry is anticipated to be higher by 11 per cent during the fourth quarter against the third quarter, he said.