Pakistan recorded a decline in cement dispatches during May 26. Total cement dispatches during May 26 were 3.84Mt, down from 4.86Mt in the same month of the last fiscal year, a decline of 21.02 per cent. According to data released by the All Pakistan Cement Manufacturers Association (APCMA), the industry's local cement dispatches in May 26 were 3.205Mt, down from 3.87Mt in May 25, a decline of 17.17 per cent. Exports dispatches also decreased by 36.06 per cent, with volumes falling from 989,434t in May 25 to 632,648t in May 26.
Northern cement mills dispatched 2.66Mt of cement, down 22 per cent from 3.41 Mt dispatched on May 25. South-based mills dispatched 1.180Mt of cement during May 26, which was 18.70 per cent lower than the 1.452Mt dispatched during May 25.
Northern cement mills dispatched 2.657Mt of cement in domestic markets in May 26, showing a decline of 16.05 per cent from 3.17Mt dispatched in May 25. Southern mills dispatched 547,528t of cement to local markets during May 26, which was 22.21 per cent lower than the dispatches of 703,827t during May 25.
There were no exports from North-based mills during May 26. Exports from South decreased by 15.41 per cent to 632,648t in May 26, down from 747,856 tons in the same month last year.
Cumulative dispatches
During the first eleven months of the current fiscal year, total cement dispatches (domestic and exports) were 46.26Mt, which is 6.44 per cent higher than the 43.46Mt dispatched during the corresponding period of the last fiscal year. Domestic dispatches during this period were 38.01 Mt, up from 35.11 Mt during the same period last year, an increase of 8.26 per cent. Export dispatches, however, declined by 1.21 per cent as volumes fell to 8.24Mt during the first eleven months of the current fiscal year, compared with 8.34Mt during the same period of the last fiscal year.
Northern based Mills dispatched 31.689Mt of cement domestically during the first eleven months of the current fiscal year, showing an increase of 9.49 per cent over cement dispatches of 28.943Mt during July 24 to May 25. Exports from North declined by 45.98 per cent percent to 797,431t during July 25 to May 26, compared with 1.48Mt exported during the same period last year. Total dispatches by North based Mills increased by 6.80 per cent to 32.49Mt during first eleven months of current financial year from 30.419Mt during same period of last financial year.
Domestic dispatches by South-based mills from July 25 to May 26 were 6.32Mt, an increase of 2.47 per cent over 6.17Mt dispatched during the same period of the last fiscal year. Exports from South increased by 8.41 per cent to 7.45Mt during July 25 to May 26 compared with 6.869Mt exported during the same period last year. Total dispatches by South-based mills increased by 5.60 per cent to 13.77Mt during the first eleven months of the current financial year from 13.04Mt during the same period of the last financial year.
APCMA suggestion
A spokesman for the APCMA Association appreciated Pakistan's continuous and untiring efforts to resolve geopolitical tensions and bring peace to the Middle East. He was also optimistic about the upcoming federal budget and expected good policies to support local industry and to resolve bottlenecks in its operations.
Expert comments
Additionally, Usama Rauf of AKD Research has stated that offtake declined annually mainly due to Eid holidays and a pause in new projects as escalating transport costs are stalling construction activity. Similarly, sea exports fell due to higher shipment freight costs post the Middle East conflict.
By Abdul Rab Siddiqi, Pakistan
