Pakistan ranked 5th cement exporter in World

Pakistan cement factories continue to make significant progress in cement exports. Now Pakistan is ranked 5th in the world’s cement exports after a huge increase of 47 percent in exports during last fiscal year.




According to the Global cement report, China maintained first position with 26 million tonnes in exports, while Japan got second position by exporting 12.6 million tonnes of cement. Third largest cement exporter in world is Thailand with around 12 million tonnes, followed by Turkey which exported 11.6 million tonnes of cement. Pakistan now at 5th position has left Germany behind by exporting 11 million tonnes of cement during last fiscal year. Germany now stands at 6th position with 9 million tonnes exports.







Cement market experts told that Pakistan secured 5th position because of high demand of cement in nearby countries and by capturing new markets such as African countries, Qatar & Iraq. Pakistan could achieve the mark of 13 to 14 million tonnes exports by the end of the fiscal year keeping in view Indian market which has once again started importing cement from Pakistan. The export of cement from Pakistan to india showed a sharp decline after Mumbai attacks.







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According to the All Pakistan Cement Manufacturers Association (APCMA), local dispatches were 19.3 million tonnes (down 14 percent YoY) however exports showed an encouraging increase of 47 percent (YoY to 11.3 million tonnes) during the last fiscal year.


According to experts, important factors contributing towards growth of cement sector are “Record Public Sector Development Programme allocation (Rs 621 billion) in the budget FY10, reduction in excise duty by Rs 10 per bag and declining interest rate scenario.







Local demand of cement in Pakistan will remain on high side due to the reconstruction activities of devastated homes, shops and schools in Swat and Malakand after Military operation. Overall Pakistan cement industry dispatches are likely to grow 7 percent in July 2009. The growth in cement dispatches is solely attributable to rising export volumes as domestic demand remained depressed on every comparable time period.







Overall cement plants of Pakistan operated at 80 percent capacity utilisation as compared with 81 percent utilisation in the same month of last year. Although Fauji Cement has claimed 100% utilization during last year. Cement exports of Pakistan continue to show healthy and positive growth trend and recorded 45 percent growth on Y-o-Y basis. However, on M-o-M basis, cement exports represented a decline of 3 percent.







Weight of sea based cement exports during the month was recorded at 68 percent in overall cement exports as compared to 63 percent in July 2008. It is important to note that cement exports to India during the month were recorded at 63,000 tonnes, which is lower when compared with the initial monthly average of 100,000 tonnes.