Pakistan sees the highest capacity utilisation in 20 years

A spokesman for the All Pakistan Cement Manufacturers Association (APCMA) has stated that the nation’s cement industry utilised over 93 per cent of installed capacity over the July-October period.

Although a capacity of 1.08Mt remained idle, this was still the highest capacity utilisation for the last 20 years. The spokesperson added that the idle capacity could have been used if the government adopted export-friendly policies. 

Whilst total cement despatches rose by 16.5 per cent in the first four months of the year, exports fell by 16 per cent over the same period. According to Dawn, the spokesperson commented on how the decline in exports is alarming because of the idle capacity yet to be used.

"Weak border control and lax customs vigilance allow the entry of cement from across the border at unfair valuations, hurting the local cement industry" he said.

The spokesperson suggested that the government could lower the excise duty on cement in order to solve the issue.