Pakistan’s cement industry has experienced positive growth, driven by a strong export performance. Cement exports from Pakistan’s southern region are gaining momentum, with recent trends indicating improved pricing, particularly in the African market.
Several factors are driving this shift. According to AHL Research, export rebates previously offered by countries exporting cement to Africa have been discontinued. With these incentives removed, exporters have adjusted their pricing, making Pakistani cement more competitively priced in key export markets.
Additionally, supply constraints in Algeria have increased the demand for imported cement in Africa. The revival of construction activity in Syria has also contributed to the overall rise in cement demand across the region. These evolving dynamics have benefited Pakistan’s cement industry, especially for manufacturers in the southern region.
During the 9MFY24-25, Pakistan’s total cement exports surged by 28 per cent yearly, reaching 6.5Mt. The southern region led this growth, recording a 33 per cent YoY increase to 5.4Mt.
Exports from the south now account for 54 per cent of total cement sales, a significant rise from the 10-year average of 34 per cent. Cement plants in the southern region are expected to see positive impacts on their earnings in the upcoming quarters.
By Abdul Rab Siddiqi, Pakistan
