Cement Industry Sees Mixed Trends in December 2024

According to data released by the All Pakistan Cement Manufacturers Association (APCMA), local cement despatches in December 2024 stood at 3.370 million tons, down 4.76% from 3.539 million tons in December 2023.

On the other hand, export despatches saw a sharp rise of 49.35%, climbing from 524,656 tons in December 2023 to 783,550 tons in December 2024. Overall, cement deliveries in December 2024 increased by 2.23%, totaling 4.154 million tons compared to 4.063 million tons in the same month last year.

North-based mills dispatched 2.9 million tons of cement in December 2024, marking a 3.71% decline from 3.012 million tons in December 2023. South-based mills dispatched 1.254 million tons, reflecting a 19.25% increase over the 1.052 million tons dispatched during the same period last year.

Domestic deliveries from North-based mills in December 2024 fell by 5.11% to 2.786 million tons from 2.936 million tons in December 2023. South-based mills also saw a slight decline of 3.04%, dispatching 584,684 tons locally compared to 603,010 tons in December 2023.

Export volumes showed notable growth. North-based mills saw a 50.18% increase, with exports rising from 75,967 tons in December 2023 to 114,089 tons in December 2024. Exports from South-based mills increased by 49.20%, reaching 669,461 tons compared to 448,689 tons last year.

For the first half of the current fiscal year, total cement despatches (domestic and exports) were 22.933 million tons, 3.97% lower than the 23.881 million tons dispatched in the same period last year.

Domestic despatches dropped by 10.41%, with 18.122 million tons compared to 20.228 million tons in the corresponding period last year. Export volumes, however, rose by 31.69%, reaching 4.810 million tons compared to 3.653 million tons last year.

An APCMA spokesman expressed concern over declining local demand, stressing the critical role of local off-take in the industry's economic growth.

He emphasized, “Reducing duties and taxes can lower cement costs, boost sales, and help the sector utilize its idle capacity”