Government should slash duties and taxes to increase domestic off-take
Cement despatches increased by 5.58% in November 2024. Total Cement despatches during November 2024 were 4.146 million tons against 3.927 Million Tons despatched during the same month of last fiscal year.
According to the data released by All Pakistan Cement Manufacturers Association, local cement despatches by the industry during the month of November 2024 were 3.342 million tons compared to 3.264 million tons in November 2023, showing a slight increase of 2.39%. Exports despatches also increased by 21.27% as the volumes increased from 662,374 tons in November 2023 to 803,258 tons in November 2024.
In November 2024, North based cement mills despatched 2.925 million tons cement showing an increase of 2.01% against 2.867 million tons despatches in November 2023. South based mills despatched 1.220 million tons cement during November 2024 that was 15.21% more compared to the despatches of 1.060 million tons during November 2023.
North based cement mills despatched 2.757 million tons cement in domestic markets in November 2024 showing an increase of 1.23% against 2.723 million tons despatches in November 2023. South based mills despatched 585,689 tons cement in local markets during November 2024 that was 8.24% more compared to the despatches of 541,079 during November 2023.
Exports from North based mills increased by 16.90% as the quantities increased from 143,942 tons in November 2023 to 168,265 tons in November 2024. Exports from South also increased by 22.48% to 634,993 tons in November 2024 from 518,432 tons during the same month last year.
During the first five months of current fiscal year, total cement despatches (domestic and exports) were 18.779 million tons that is 5.24% lower than 19.818 million tons despatched during the corresponding period of last fiscal year. Domestic despatches during this period were 14.752 million tons against 16.690 million tons during same period last year showing a reduction of 11.61%. Export despatches rose by 28.73% as the volumes jumped to 4.027 million tons during the first five months of current fiscal year compared to 3.128 million tons exports done during same period of last fiscal year.
North based Mills despatched 12.399 million tons cement domestically during the first five months of current fiscal year showing a substantial reduction of 10.39% than cement despatches of 13.836 million tons during July-November 2023. Exports from North increased by 26.47% percent to 878,324 tons during July-November 2024 compared with 694,503 tons exported during the same period last year. Total despatches by North based Mills reduced by 8.62% to 13.278 million tons during first five months of current financial year from 14.531 million tons during same period of last financial year.
Domestic despatches by South based Mills during July-November 2024 were 2.353 million tons showing massive reduction of 17.55% over 2.853 million tons cement despatched during the same period of last fiscal year. Exports from South also increased by 29.38% to 3.148 million tons during July-November 2024 compared with 2.433 million tons exported during the same period last year. Total despatches by South based Mills increased by 4.05% to 5.501 million tons during first five months of current financial year from 5.287 million tons during same period of last financial year.
A spokesman of the All Pakistan Cement Manufacturers Association mentioned that cement sales specially the domestic off-take can be increased if the government slashes duties and taxes thereby reducing the cost to end consumer. It will boost demand thereby enabling the sector to use its idle capacity, he added.
Also Read: DWP Technologies wins Huawei’s technology integration recognition award at GITEX 2024
