Karachi, Cement dispatches in Pakistan hit a nine-month high in May 2024, with a total of 4.3 million tons distributed across the domestic and export markets. This represents an 8% year-over-year growth and a 45% increase from the previous month. The significant rise in dispatches was mainly influenced by a substantial jump in exports.
According to JS Global, the surge in May's cement dispatches is part of an ongoing trend where exports have played a pivotal role. For the 11 months of fiscal year 2024, total dispatches reached 41.7 million tons, marking a 3% increase compared to the same period last year. Exports saw a remarkable 66% growth year-over-year, significantly contributing to the overall numbers. In contrast, domestic dispatches decreased by 4% year-over-year. Despite the boost in export volumes, profitability concerns remain as exported cement typically has lower margins due to higher logistics costs and competitive market pricing. This dynamic underscores a broader challenge within the industry as companies navigate the trade-offs between expanding revenue through exports and maintaining profitability.