KARACHI: Cement despatches soared to record 3.584 million tonnes in March 2016 as compared to 3m tonnes in the same month last year, thanks to a healthy growth in domestic consumption and turnaround in commodity’s exports.

The industry utilised more than 90pc of installed capacity during the month.

Local cement despatches increased by 19.14pc year-on-year to 3.05m tonnes from 2.56m tonnes. And its exports rose 20.58pc to 534,804 tonnes from 443,539 tonnes in March 2015.

Domestic sales in Northern area inclined by 18.61pc to 2.460m tonnes from 2.074m tonnes, while sales in South went up by 21.40pc to 588,898 tonnes from 485,088 tonnes a year ago.

In July-March 2015-16, total cement despatches rose 9.93pc to 28.34m tonnes from 25.78m tonnes in the same period last year.

During the period, the industry despatched 24m tonnes in local markets, an increase of 18pc as compared to 20.34m tonnes a year ago. While its exports declined by 19pc to 4.406m tonnes from 5.440m tonnes in July-March 2014-15.

A spokesman of All Pakistan Cement Manufacturers Association (APCMA) said that the industry is expected to enhance the capacity to around 26,000 tonnes per day after the expansions of DG Khan, Lucky, Cherat and Attock Cement.

Other major players were also working on expansion plans, he added.

The spokesman lamented that despite 90pc capacity utilisation, the industry is being accused of not using the idle capacity and of forming a cartel to keep the rates high.

He termed the accusations as baseless and said: “The industry is neither managing despatches nor the prices and is operating on the principles of free market economy.”

Published in Dawn, April 6th, 2016