ISLAMABAD, AUGUST 16: In Punjab, Cement prices are expected to increase by Rs. 75 starting today or next Monday.
Cement producers in Punjab, according to Topline Securities, have been granted a court-issued stay order in exchange for providing bank guarantees.
The government set new raw material royalty rates earlier this month, setting them at 6% of the cement or clinker ex-factory sale price for Punjabi industrial facilities.
The royalty charge resulting from the ex-factory price will be recorded in the books as a non-cash item at first. Cement prices in are expected to rise by as much as Rs. 75 a bag in order to offset this.
Data from the All-Pakistan Cement Manufacturers Association (APCMA) indicates that Punjab accounts for around 48% of the North’s installed capacity.
Reason for the increase in cement prices is higher royalty rates. Explore more on why cement prices are expected to increase ?
