Export of clinker from Pakistan on the rise

The Pakistan cement industry experts predict a greater clinker export potential for export since excess capacities in China have been curtailed substantially over environmental concerns, while demand from Bangladesh and other countries are also growing. India and Vietnam as well as east Africa (and particularly Uganda and Tanzania) remain viable export destinations for Pakistani cement producers, said Irfan Chawala, finance director and CFO at Lucky Cement Ltd and Irfan Amanullah, general manager of Attock Cement Pakistan Ltd during a seminar by a local research house.
 
Pakistan has recently resumed export of clinker and a further cargo of 48,660t of clinker, laden by a foreign vessel, sailed from Pakistan International Bulk Terminal on 9 April 2018. Pakistan has a total clinker production capacity of 47.08Mta.
 
In the next 10-15 years, India may become a blue chip market for Pakistan cements as its reserves of limestone are dwindling fast. Moreover, inter-state Indian tax issue and logistics make it difficult for various states to buy cements from each other, therefore allowing them to prefer importing cement from Pakistan. Low transportation costs also make India an attractive market for Pakistani exports.
 
Recently, Lucky Cement and Attock Cement have exported clinker from the south zone and looked into exporting Pakistani clinker. Attock Cement recently inked a deal for the export of approximately 150,000t of clinker at US$34/t FOB, Karachi.