Karachi: According to data from the All Pakistan Cement Manufacturers Association, cement sales in July 2024 experienced a notable decrease of 6.81%.
Total cement sales amounted to 3.010 million tons, compared to 3.230 million tons in July of the previous year.
The association reported that local cement sales in July 2024 were 2.463 million tons, marking an 11.41% decline from the 2.779 million tons sold in July 2023.
In contrast, cement exports saw a 21.65% increase in July 2024, reaching 547,162 tons, compared to 449,792 tons in July 2023.
Sales from cement factories in northern regions totaled 2.192 million tons in July 2024, down 11.40% from the 2.474 million tons sold in July 2023.
Southern region cement factories reported an 8.20% increase in sales, reaching 817,799 tons in July 2024, compared to 755,824 tons in July 2023.
Northern region factories sold 2.093 million tons of cement locally in July 2024, a decrease of 11.01% from the 2.352 million tons sold in July 2023.
Southern region factories sold 369,557 tons of cement locally in July 2024, down 13.62% from the 427,847 tons sold in July 2023.
Northern region cement exports declined by 18.79% in July 2024 to 98,920 tons, compared to 121,814 tons in July 2023.
Exports from southern regions in July 2024 increased by 36.67% to 448,242 tons, compared to 327,977 tons in July 2023.
A spokesperson for the All Pakistan Cement Manufacturers Association stated that high taxes and rising input costs are severely affecting the cement sector.
This marks the 11th consecutive month of declining local demand due to slow economic activity.
The spokesperson urged the government to review its tax policies to alleviate the heavy tax burden on this critical sector.
They also supported the government’s efforts to document the economy but criticized the imposition of complex sales tax systems and POS requirements on small retailers, suggesting it is unlikely to generate additional sales tax revenue.
They noted that cement is a third-schedule item and that the sales tax included in retail prices is already being paid by manufacturers.