Pakistan Cement: South exports amplified industry utilization – By Foundation Research
Feb 4 2026
Foundation Securities
- Cement sector dispatches rose by 12.4% YoY in Jan’26 to 4.5Mn tons, resulting in enhanced capacity utilization of 60.7% vs. 55.6% in the SPLY. Despite peak winter season, local sales continued their growth momentum exhibiting a jump of 4.2% YoY to 3.6Mn tons, portraying demand recovery trend amid improved macros. Similarly, exports spiked to 0.9Mn tons with a remarkable growth of 61.1% YoY. Resurgence in exports were on account of low base effect from South exports, even in the absence of North exports due to Afghan border closure and also compensating for weakness in domestic demand in the South region.
- Seasonality witnessed on a MoM bases where local demand fell by 3.4% given fewer day light hours, fog etc. This decline was driven by North sales exhibiting a decline of 6.5% MoM which was compensated by uptick in South sales of 13.8% MoM. However, exports in North region were significantly impacted owing to Afghan border closure. Increase in both local dispatches and exports of South region MoM resulted in overall industry dispatches reaching 4.5Mn tons, maintaining growth of 4.4% MoM.
