Islamabad, Aug 5: Cement despatches down 6.81% in July 2024, which was the 11th consecutive month of drop.According to specifics, the All Pakistan Cement Manufacturers Association’s statistics shows that, in July 2024, total cement despatches decreased to 3.010 million tons from 3.230 million tons in the same month the previous year.
Local cement dispatches experienced a sharp decline of 11.41%, from 2.780 million tons in July 2023 to 2.463 million tons. Nonetheless, there was a favorable change in exports, which went from 449,792 tons in July 2023 to 547,162 tons in July 2024, a 21.65% increase.
Regional performance presents a conflicting image: Cement mills in the north reported shipment amounts of 2.192 million tons, a 11.40% decrease from 2.474 million tons in July 2023. On the other hand, despatches from mills located in the South increased by 8.20% to 817,799 tons from 755,824 tons the year before. North-based mills shipped 2.093 million tons in July 2024, an 11.01% decrease from 2.352 million tons in July 2023, on the local market. Local despatches from mills located in the South decreased by 13.62% to 369,557 tons from 427,847 tons the previous year.
Export performance differed by region: from 121,814 tons in July 2023 to 98,920 tons in July 2024, exports from mills located in the North fell by 18.79%. By comparison, mills located in the South experienced a 36.67% surge in exports, which increased to 448,242 tons from 327,977 tons. A representative of the All Pakistan Cement Manufacturers Association blamed the slowdown in domestic despatches on a combination of increased levies and rising input costs. To lessen the financial burden on the industry, the group is pleading with the government to reevaluate its tax policies.
“We back the government’s documentation push, but we contend that burdening extremely small merchants with onerous sales tax regulations is not going to increase revenue. The representative said, “Manufacturers currently completely cover sales tax on cement because it is a 3rd Schedule item.
