Cement industry growth limits to local demand

Although cement sector displayed growth of 16.28 percent in January 2021 in comparison to the last year, yet the growth remained limited to local cement consumption. Around 4.03 million tons of cement was despatched in January 2021. The Exports have been dropped by 14.09 percent from 808,874 tons in January 2020 to 694,934 tons in January 2021. The whole cement despatches during January 2021 were 4.73 million tons against 4.07 million tons the same month of last fiscal year, as per the statistics of All Pakistan Cement Manufacturers Association (APCMA). During January 2021, the North-based factories despatched 3.31 million tons cement locally while 724,281 tons from the South-based mills. A constant decline in cement industry has been witnessed due to decline in exports in the last three months as the cement manufacturers are losing competitiveness due to high fuel and energy costs.