According to the All Pakistan Cement Manufacturers Association (APCMA), local cement sales reached 3.065 million tons in February 2025, a 6.82% increase from 2.869 million tons in February 2024. This growth marks a positive shift for the industry, which had been struggling with negative momentum in previous months. However, the increase fell short of expectations despite a promising start earlier in the year.
Domestic Sales Show Mixed Trends
Domestic cement sales had shown an 11.64% month-over-month (MoM) increase in January 2025, raising hopes for a stronger recovery. However, the momentum slowed in February, with growth not meeting projections. Despite this, the overall domestic market remained resilient, contributing significantly to the industry’s performance during the month.
Exports Surge by 34.30%
Export dispatches saw a remarkable 34.30% increase, rising from 395,935 tons in February 2024 to 531,736 tons in February 2025. This surge in exports played a crucial role in boosting the industry’s total dispatches, which reached 3.596 million tons, a 10.15% increase compared to the same month last year.
North-Based Mills Lead Domestic Growth
North-based cement mills dispatched 2.556 million tons in February 2025, a 5.06% increase from February 2024. Domestic dispatches from these mills rose by 7.22%, reaching 2.507 million tons. However, exports from the North suffered a significant 47.82% decline, dropping to 49,780 tons from 95,393 tons in the previous year.
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South-Based Mills Show Strong Export Performance
South-based mills dispatched 1.04 million tons of cement in February 2025, a 25.04% increase from February 2024. While domestic dispatches grew modestly by 5.06%, exports surged by 60.36%, reaching 481,956 tons. This strong export performance highlights the South’s growing role in the global cement market.
Eight-Month Overview: Domestic Decline, Export Growth
During the first eight months of the fiscal year, total cement dispatches were 30.423 million tons, a slight 0.45% decrease from the previous year. Domestic dispatches fell by 6.00% to 24.5 million tons, while exports grew by 31.78% to 5.924 million tons. This shift underscores the industry’s increasing reliance on export markets.
North-Based Mills Face Challenges
North-based mills dispatched 20.36 million tons domestically during the eight-month period, a 5.28% decline from the previous year. Exports from the North increased by 20.42%, but total dispatches fell by 4.23% to 21.462 million tons. These figures reflect the challenges faced by the region’s cement industry.
South-Based Mills Excel in Exports
South-based mills saw a 9.42% decline in domestic dispatches, totaling 4.139 million tons. However, exports surged by 34.68% to 4.822 million tons, driving a 9.96% increase in total dispatches to 8.962 million tons. This performance highlights the South’s growing dominance in the export market.
Industry Calls for Government Support
An APCMA spokesperson emphasized the need for industry-friendly measures in the upcoming budget to boost capacity utilization. The cement sector plays a vital role in the economy, supporting numerous allied industries and contributing to national development. Government support is crucial to sustaining this growth and addressing ongoing challenges.
Conclusion: A Promising Yet Challenging Outlook
The cement industry’s performance in February 2025 reflects a mix of growth and challenges. While domestic sales showed modest improvement, exports emerged as a key driver of growth. With strategic government support, the sector can overcome current hurdles and continue to play a pivotal role in Pakistan’s economic development.
