High demand of Pakistan’s cement in the Middle East and African countries has enhanced significantly country’s exports by 80 percent in the three quarters of the current fiscal year to stand at 2.632Mt.
According to the All Pakistan Cement Manufacturer Association (APCMA), the cement exports have registered 139 percent growth to reach at 5.1Mt so far in the fiscal year with the rising construction boom in Middle East, African countries, and India.
The cement exports to Middle East and African countries were recorded 1.463Mt in three quarters of previous fiscal year.
However, exports to Afghanistan have registered 34.7 per cent growth with 2.067Mt in the three quarters of the current fiscal year as compared to 1.72Mt during same period of last fiscal year.
Pakistani cement exports have surged to United Arab Emirates (UAE) after its government removed five per cent custom duty on cement to help the fast moving construction sector in Dubai, it is learnt.
As far as prices of foreign countries are concerned, the increasing regional cement price is benefiting Pakistani cement companies who are able to export cement at a price premium. Initially, cement was being exported to UAE at FOB price of $60 to $65 per tones, which has now jumped to $70 to $75 per tonne.
Cement demand has been rising as the construction season began in a full swing locally and in the exporting countries in March.