Cement Sale Falls by 19 Per cent in February 2024

KARACHI: The total cement despatches (domestic and export) decreased by 19.22% to 3.259 million tonnes in February compared to 4.035 million tonnes in the same month the previous year. The All Pakistan Cement Manufacturers Association (APCMA) issued data showing a 20.33 per cent decrease in domestic cement sales in February 2023 to 2.863 million tonnes from 3.590 million tonnes in February 2023. Additionally, export dispatches decreased by 11% from 444,962 tonnes in February 2023 to 395,935.

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Topline Securities' Fahad  Hussain Khan ascribed the decline in local cement sales to fewer working days in January and a subsequent slowdown in building activity, which typically dwindles in the final days leading up to and around the general elections.

According to him, a decline in pricing in February caused a decrease in exports, which rendered overseas sales unprofitable. The axle load regime is causing problems for the manufacturers when it comes to cement transportation. According to him, the average retail price of cement increased by Rs6 in the southern region in February to Rs1,195 per 50 kg bag, and by Rs9 in the northern region to Rs1,245.

 The APCMA spokesman called on the newly elected government to begin long-overdue public sector development projects to help the construction industry and the hundreds of thousands of labourers who work in it, both skilled and unskilled.