Pakistan 10-month dispatches rise 4.09%

Pakistan cement dispatches rose by 4.09 per cent in the first 10 months of the current fiscal, the latest data from the All Pakistan Cement Manufacturers Association (APCMA) shows.

Dispatches for the 10 months to April 2013 reached 27.664Mt compared to 26.576Mt during the same period of the previous year. Domestic sales accounted for 21Mt, representing a 6.03 per cent YoY increase.

In April 2013 alone, the industry dispatched 3.123Mt, 3.8 per cent higher than April 2012 dispatches. However, last month’s exports of 0.755Mt were 2.28 per cent less than exports achieved during the corresponding period of last year.

Exports to India have declined as a result of improved supply dynamics in the neighbouring company (eg, the commissioning of HeidelbergCement’s new capacities in Central India). Exports to other destinations have been stagnant with MoM sales to Afghanistan dropping by 2.6 per cent.

The APCMA has appealed to the government to relax the load limit of up to 10 per cent of the maximum cargo weight on national highways for the transportation of cement and raw materials. After the implementation of axle load restrictions, timely supply of raw materials and finished goods to destinations is being delayed.

He said that APCMA is of the view that this decision of axle load restrictions on highways has been taken without any serious thinking. It argues that to keep the wheels of industry running, twice the number of trucks are now required to transport the same volumes of goods which were earlier transported, but at double the freight cost.