Local Pakistan cement manufacturers on Thursday raised the prices of cement by Rs 10 per 50-kg bag in the wake of its rising local demand and export orders, dealers said. They said that cement manufacturers have raised cement price by Rs 5-10 per bag in the southern zone (Sindh and Balochistan) and Rs 5 per 50kg bag in the Northern zone (Punjab and NWFP).
After this recent upsurge, average quality cement is being sold at Rs 240-245 per 50kg bag as was previously sold at Rs 230-235 per 50kg bag in the domestic markets of southern zone (Sindh and Balochistan). Similarly prices in the northern zone has reached Rs 220-230 per 50kg bag as compared to Rs 215-220 per 50kg bag previously.
Dealers said that cement exporters are looking for new opportunities to export cement, as a result local market is being effected and its prices have gone up. They said that cement export is increasing gradually and now it has reached new peaks of 2.4Mt during first 10 months of the current fiscal.
Manufacturers/exporters are still focusing on cement export and trying to explore more market to operate their factories on 100 per cent capacity and earn more profit, as they have faced some decline in their profits during first quarter of 2007, market sources said.
They said that on Thursday some local manufacturers have announced to move up cement price by Rs 200 per ton to Rs 4,550/t ex-factory price, which previously stood at Rs 4,350/t. Some cement manufacturing companies have officially announced the new rates, while some companies have just informed us over the phone, they added.