Unprecedented Slump: Cement Sales Plummet by 22.8% in June 2023

In June 2023, cement despatches in Pakistan experienced a significant setback, with a decline of 22.8%. The All Pakistan Cement Manufacturers Association (APCMA) released data indicating that total cement despatches in June 2023 amounted to 4.063 million tonnes, compared to 5.264 million tonnes in the same period the previous year.

The data further revealed that local cement despatches in June 2023 stood at 3.487 million tonnes, indicating a substantial decline of 29.97% from 4.979 million tonnes in June 2022. However, there was a positive aspect in terms of export despatches, which saw a significant increase of 102.59%. The volume of exports rose from 284,471 tonnes in June 2022 to 576,309 tonnes in June 2023.

Regionally, cement mills based in the northern part of the country witnessed a decline of 30.08% in despatches, with 2.950 million tonnes in June 2023 compared to 4.220 million tonnes in June 2022. On the other hand, mills in the southern region experienced a 6.60% increase in despatches in June 2023.

For the overall fiscal year 2022-23, total cement despatches, including domestic and exports, amounted to 44.579 million tonnes, reflecting a decrease of 15.71% compared to the previous fiscal year. Domestic despatches accounted for 40.013 million tonnes, marking a reduction of 16.00%, while export despatches declined by 13.13%.

A spokesperson from the APCMA emphasized the importance of government support for export-oriented industries to revive the economy. They highlighted the need to utilize domestic resources to build a stronger Pakistan and viewed the International Monetary Fund (IMF) agreement as only an interim solution.