ISLAMABAD: The cement sector is in the driving seat this fiscal posting continuous growth, recording highest ever monthly dispatches in October 2020 as 5.735 million tons cement was dispatched during the month.
The local uptake of cement in October 2020 increased by 15.83 percent to 4.859 million tons from 4.195 million tons in October 2019 while exports registered an increase of 11.58 percent, increasing to 875,266 tons from 784,433 tons in the same month last year.
In the north region, domestic cement dispatches increased by 15.53 percent to 4.165 million tons during October 2020 from 3.605 million tons in October 2019. Exports from the north increased by 8.54 percent to 0.283 million tons in October 2020 from 0.261 million tons in October 2019.
There has been a positive growth in the southern region as well where the domestic cement dispatches increased by 17.70 percent to 695,221 tons from 590,690 tons in October 2019. Exports from the South continued to grow and increased by 13.09 percent to 591,877 tons in October this year from 523,353 tons in October 2019.
In the first four months of this fiscal year, 19.321 million tons of cement was dispatched, which is 19.89 percent higher than the first four months of last fiscal year.
Total cement dispatches during the first four months of current fiscal year increased by 19.89 percent to 19.321 million tons from 16.116 million tons in July-Oct 2019. Domestic dispatches registered a healthy increase of 17.94 percent, increasing from 13.315 million tons to 15.704 million tons. Exports also showed encouraging growth increasing by 29.15 percent from 2.8 million tons to 3.617 million tons.
In the South (Sindh-Baluchistan) the domestic growth remained healthy at 12.08 percent as consumption in the first four months increased from 1.860 million tons to 2.085 million tons this year. The exports from South posted a growth of 46.56 percent in the first four months of this fiscal which increased to 2.712 million tons from 1.85 million tons during Jul-Oct 19.
A spokesman of All Pakistan Cement Manufacturers Association said that the cement consumption could increase further if the government rationalizes duties and taxes and withdraw excise duty. He said the government would generate higher revenue even with reduced taxes when cement sales increases.