Local cement dispatch faces barrier in Pakistan

Local cement dispatch faces barrier in Pakistan
01 August 2019

Pakistan cement industry is still persisting with the dispatch issue in the local market. The All Pakistan Cement Dealers Association (APCDA) is reluctant to lift the cement cargoes from cement plants across country on the pretext of intruding tax measures announced in federal budget 2019-20.

However, All Pakistan Cement Manufacturers Association (APCMA) neither highlighted this issue nor any companies intimated Pakistan Stock Exchange (PSX) whether this issue is impacting warehouse space issues or not.

According to statement issued by APCDA, an urgent important meeting of their members held in Lahore on 31 July to discuss tax issues introduced by Federal Board of Revenues (FBR) for cement purchase, sales and distribution and decided/proposed that cement manufacturers themselves ensure to transport all cement cargoes from their factories to cities across Pakistan.  

The cement declarers have pointed out that distributors would not collect tax from transporters and keep their account record in view of their limitation.

APCDA has further decided that from 1 August 2019 they will accept/facilitate only those dispatches, wherein manufacturers will include transport cost and taxes in their sales invoice in maximum retail prices (MRP), otherwise not.

Published under Cement News