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The Pakistani cement industry records slight growth

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World Cement,

Data released by the All Pakistan Cement Manufacturers’ Association (APCMA) revealed that the cement industry has witnessed slight growth y/y in the first five months of 2013. November 2013 saw an increase in sales but a decrease in exports y/y.

First five months of the current fiscal year

  • During the first five months of the current fiscal year, beginning July 2013, the cement industry posted a small 0.3% growth y/y compared to the same period in the last fiscal year.
  • Dispatches during the first five months increased slightly y/y to 13.167 million t compared to 13.127 million t.
  • Capacity utilisation stood at 70.79%, the lowest recorded in the last five years. This is predominantly due to sluggish economic growth in Pakistan.

November 2013

  • In November 2013, local sales of cement saw an increase of 8.61% y/y compared to the same month in 2012.
  • Total sales of cement increased to 2.731 million t from 2.65 million t in November 2012.
  • Domestic sales rose to 2.13 million t during November 2013 from 1.96 million t in the same month in 2012. The increase in domestic cement consumption was offset by a reduction in exports.
  • Exports in the country decreased by 12.84%, from 689 000 t in November 2012 to 600 000 t in November 2013.
  • An overall marginal growth of 3.03% y/y was recorded.


Looking forward, the year ahead holds potential difficulty for cement manufacturers. Production costs are rising due to an increase in prices for transport and power, the devaluation of the rupee and higher interest rates, resulting in lower profit margins. Additional taxes imposed upon the cement sector have also forced producers to increase the price per bag of cement. However, Pakistan’s cement sector is attempting to expand into different trade markets to counteract the decrease in exports.

Edited from various sources by Rosalie Starling

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