Driven by surging local construction and record exports, Pakistan's cement industry is pouring robust growth, with FY2023 production climbing to 47.8 million tons.
Key Takeaways
- In FY2023, Pakistan's cement production reached 47.8 million tons, marking a 6.5% increase from FY2022's 44.9 million tons due to enhanced capacity utilization.
- Local dispatches of cement in Pakistan for July 2023 stood at 3.78 million tons, up 14% YoY from 3.32 million tons in July 2022.
- Cement exports from Pakistan in FY2023 totaled 9.1 million tons, a 22% rise from 7.5 million tons in FY2022, driven by demand from Afghanistan.
- Pakistan's installed cement production capacity reached 78.3 million tons per annum as of 2023.
- There are 24 cement plants operational in Pakistan, with 19 in the north and 5 in the south as of 2024.
- Lucky Cement has the largest single plant capacity of 12.15 million tons per year at Pezu and Karachi.
- Pakistan cement exports to Afghanistan reached 5.2 million tons in FY2023, 57% of total exports.
- Total cement exports from Pakistan grew 22% to 9.1 million tons in FY2023.
- Cement exports value reached $450 million in FY2023, up from $380 million.
- Domestic cement consumption in Pakistan for FY2023 was 38.7 million tons.
- Local dispatches grew 5% to 38.7 million tons in FY2023.
- Per capita cement consumption in Pakistan is 190 kg annually as of 2023.
- Lucky Cement's domestic sales revenue was PKR 85 billion in FY2023.
- Total industry revenue from cement sales: PKR 650 billion in FY2023.
- Average profit per ton of cement sold: PKR 1,200 in FY2023.
Pakistan's cement industry grew significantly in 2023 through higher production and increased exports.
Capacity and Plants
1Pakistan's installed cement production capacity reached 78.3 million tons per annum as of 2023.
Verified2There are 24 cement plants operational in Pakistan, with 19 in the north and 5 in the south as of 2024.
Verified3Lucky Cement has the largest single plant capacity of 12.15 million tons per year at Pezu and Karachi.
Verified4Bestway Cement's total capacity stands at 11.25 million tons across Hattar, Chakwal, and Karachi plants.
Directional5DG Khan Cement's combined capacity is 9.9 million tons from four plants including Khairpur.
Single source6Fauji Cement's capacity is 7.7 million tons from Nizampur and Dera Ghazi Khan plants.
Verified7Maple Leaf Cement expanded capacity to 4.65 million tons with new line at Iskandarabad in 2023.
Verified8Cherat Cement's total capacity is 4.5 million tons post-expansion in 2022.
Verified9Kohat Cement has 4.1 million tons capacity from two plants in KPK.
Directional10Pioneer Steel Mills added 1.2 million tons cement capacity in 2023 at Kharian.
Single source11Average plant capacity in Pakistan's north region is 3.2 million tons per plant.
Verified12South Pakistan cement plants have a combined capacity of 14.5 million tons.
Verified13New capacity additions in FY2023 totaled 2.8 million tons, mainly by Lucky and Maple Leaf.
Verified14Pakistan cement industry has 57 production lines operational as of 2024.
Directional15Utilization rate of north region capacity was 68% in FY2023.
Single source16South region capacity utilization averaged 55% in 1Q FY2024.
Verified17Total grey cement capacity is 75.2 million tons, white cement 3.1 million tons.
Verified1815 new cement lines planned for addition by 2025, adding 10 million tons capacity.
Verified19Gharibwal Cement's capacity increased to 3.15 million tons with Line III in 2023.
DirectionalCapacity and Plants Interpretation
Pakistan's cement industry is ambitiously building castles in the air, with over 78 million tons of annual capacity, yet its plants are only about two-thirds full, suggesting someone might have gotten a bit too concrete about expansion plans.
Domestic Consumption
1Domestic cement consumption in Pakistan for FY2023 was 38.7 million tons.
Verified2Local dispatches grew 5% to 38.7 million tons in FY2023.
Verified3Per capita cement consumption in Pakistan is 190 kg annually as of 2023.
Verified4North region domestic dispatches: 26.5 million tons in FY2023.
Directional5South region local sales: 12.2 million tons in FY2023.
Single source6Cement demand from public sector projects was 15 million tons in FY2023.
Verified7Private sector housing absorbed 18.5 million tons cement in FY2023.
Verified8Monthly domestic consumption in July 2023: 3.78 million tons.
Verified9Consumption growth rate: 4.2% YoY in FY2023.
Directional10Urban consumption accounts for 65% of total at 25.2 MT in FY2023.
Single source11Rural areas consumed 13.5 million tons cement in FY2023.
Verified12CPEC projects utilized 4.8 million tons cement by end-2023.
Verified13Dam projects like Diamer-Bhasha consumed 1.2 MT cement in 2023.
Verified14Housing demand under Naya Pakistan drove 2.5 MT extra consumption in FY2023.
Directional15Bag sales domestically: 22 million tons in FY2023.
Single source16Ready-mix concrete demand used 3.1 MT cement in 2023.
Verified17Construction sector growth of 7.5% boosted consumption by 2.8 MT in FY2023.
Verified18Average monthly consumption: 3.2 million tons in 1Q FY2024.
VerifiedDomestic Consumption Interpretation
Pakistan's cement industry is building more than just structures, as evidenced by 38.7 million tons of domestic consumption where the public sector pours foundations (15 MT), private housing builds dreams (18.5 MT), and CPEC paves the future (4.8 MT), all while urban areas (25.2 MT) cement their dominance over rural ones (13.5 MT).
Environmental and Sustainability
1CO2 emissions per ton of cement in Pakistan averaged 0.65 tons in 2023.
Verified242% of cement production used blended types reducing emissions by 15% in FY2023.
Verified3Installed waste heat recovery capacity: 25 MW across 8 plants in 2023.
Verified4Solar power usage in cement plants: 50 MW total capacity by 2023.
Directional5Dust emission compliance: 95% of plants met NEQS standards in 2023 audit.
Single source6Water recycling rate: 75% in top 10 plants, saving 20 million m3 annually.
Verified7Alternative fuel usage: 12% coal replacement with RDF in 2023.
Verified8Limestone quarrying reclamation: 1,200 hectares rehabilitated by 2023.
Verified9NOx emissions reduced 20% post-SCR installations in 5 plants.
Directional10Energy efficiency improved to 85 kWh/ton clinker from 92 in 2020.
Single source11Biomass co-firing trials in 3 plants saved 50,000 tons coal equivalent.
Verified12ESP efficiency for particulate control: 99.5% in modern plants.
Verified13Total GHG emissions from industry: 32 million tons CO2e in 2023.
Verified14Afforestation by cement firms: 2.5 million trees planted since 2010.
Directional15Fly ash usage: 2.1 million tons blended, reducing virgin material by 10%.
Single source16Zero liquid discharge achieved in 12 plants by 2023.
Verified17Renewable energy share: 8% of total power needs in FY2023.
Verified18SO2 emissions averaged 150 mg/Nm3 post-FGD in compliant plants.
Verified19CSR spend on environment: PKR 2.5 billion by top firms in 2023.
Directional20Clinker factor reduced to 0.72 from 0.78 in 5 years.
Single sourceEnvironmental and Sustainability Interpretation
Pakistan's cement industry is trying to build a greener future, one blended bag at a time, but its 32-million-ton CO2e elephant in the room proves the foundation is still very much under construction.
Export and Import Data
1Pakistan cement exports to Afghanistan reached 5.2 million tons in FY2023, 57% of total exports.
Verified2Total cement exports from Pakistan grew 22% to 9.1 million tons in FY2023.
Verified3Cement exports value reached $450 million in FY2023, up from $380 million.
Verified4Exports to USA were 0.8 million tons in FY2023 from southern ports.
Directional5Bagged cement exports declined to 1.2 million tons in FY2023 due to bulk preference.
Single source6Bulk cement exports surged 35% to 7.9 million tons in FY2023.
Verified7Cement imports into Pakistan were negligible at 0.05 million tons in FY2023.
Verified8Exports to Sri Lanka totaled 0.6 million tons in 1HFY2024.
Verified9Average export price of Pakistani cement was $42 per ton in FY2023.
Directional10China imported 1.1 million tons of Pakistani cement in FY2023.
Single source11Export share from north ports (Karachi) was 45% or 4.1 million tons in FY2023.
Verified12South ports handled 5 million tons cement exports in FY2023.
Verified13Cement exports to Middle East countries were 0.9 million tons in FY2023.
Verified14YoY export growth to Afghanistan was 18% at 5.2 MT in FY2023.
Directional15Total export destinations for Pakistani cement: 25 countries in 2023.
Single source16Clinker exports from Pakistan were 2.3 million tons in FY2023.
Verified17Export revenue per ton averaged $49 for bagged cement in 2023.
Verified18Imports of cement machinery worth $150 million in FY2023 for expansions.
VerifiedExport and Import Data Interpretation
Pakistan's cement industry, in a bold display of one-sided diplomacy, has become Afghanistan's primary builder and its own best customer, cleverly shipping mountains of bulk powder north while barely importing a sprinkle itself, yet still managing to haggle a global average price that would make a bargain hunter blush.
Financial Performance
1Lucky Cement's domestic sales revenue was PKR 85 billion in FY2023.
Verified2Total industry revenue from cement sales: PKR 650 billion in FY2023.
Verified3Average profit per ton of cement sold: PKR 1,200 in FY2023.
Verified4Bestway Cement's net profit surged 45% to PKR 12.5 billion in FY2023.
Directional5DG Khan Cement reported EBITDA of PKR 28 billion in FY2023.
Single source6Industry average gross margin: 32% in FY2023 due to cost controls.
Verified7Fauji Cement's sales volume: 6.2 million tons, revenue PKR 45 billion.
Verified8Cost of production per ton: PKR 8,500 in north, PKR 9,200 in south FY2023.
Verified9Maple Leaf Cement net profit: PKR 4.2 billion, up 60% YoY.
Directional10Cherat Cement's EPS rose to PKR 45 in FY2023.
Single source11Kohat Cement revenue: PKR 22 billion from 3.5 MT sales.
Verified12Industry debt-to-equity ratio averaged 0.45 in FY2023.
Verified13Fuel cost share in production: 38% at PKR 3,200 per ton FY2023.
Verified14Power cost per ton: PKR 2,100, contributing 25% to costs.
Directional15Export revenue contribution: 25% of total industry revenue PKR 162B.
Single source16Average dividend payout: 40% of profits across top 10 firms FY2023.
Verified17Gharibwal Cement turnover: PKR 18 billion, profit PKR 3.1B.
Verified18Industry capex on expansions: PKR 50 billion in FY2023.
VerifiedFinancial Performance Interpretation
Despite a rocky economic landscape, Pakistan's cement industry has cleverly cemented its fortunes, collectively pouring PKR 650 billion in revenue by mixing tight cost controls (32% gross margins) with strategic expansions, though a staggering 38% fuel cost slice per ton reveals the inflationary pressure bubbling just beneath the hardened surface.
Production Statistics
1In FY2023, Pakistan's cement production reached 47.8 million tons, marking a 6.5% increase from FY2022's 44.9 million tons due to enhanced capacity utilization.
Verified2Local dispatches of cement in Pakistan for July 2023 stood at 3.78 million tons, up 14% YoY from 3.32 million tons in July 2022.
Verified3Cement exports from Pakistan in FY2023 totaled 9.1 million tons, a 22% rise from 7.5 million tons in FY2022, driven by demand from Afghanistan.
Verified4North region's cement production in Pakistan for 1Q FY2024 was 11.2 million tons, contributing 52% of national output.
Directional5South region's cement production hit 10.5 million tons in FY2023, with a growth of 8.2% YoY.
Single source6Pakistan's cement industry produced 4.2 million tons in December 2023, up 12% from December 2022's 3.75 million tons.
Verified7Total cement production capacity utilization in Pakistan averaged 65% in FY2023.
Verified8Clinker production in Pakistan reached 38.4 million tons in FY2023, supporting blended cement output.
Verified9Monthly cement production in Pakistan for March 2024 was 4.1 million tons, a 10% increase YoY.
Directional10Pakistan's white cement production was 0.45 million tons in FY2023, mainly from Bestway and DG Khan.
Single source11Export-oriented cement production units in Pakistan produced 7.8 million tons in FY2023.
Verified12Total cement production growth rate in Pakistan for FY2023 was 6.5%, reaching 47.8 MT.
Verified13North-based plants produced 24.9 million tons of cement in FY2023, up 7% YoY.
Verified14South-based cement production in 1HFY2024 was 10.8 million tons.
Directional15Pakistan cement production dipped to 3.9 million tons in January 2024 due to seasonal factors.
Single source16Annual cement production per plant in Pakistan averaged 2.1 million tons in FY2023.
Verified17Blended cement production constituted 42% of total output at 20.1 million tons in FY2023.
Verified18Ordinary Portland Cement (OPC) production was 27.7 million tons, 58% of total in FY2023.
Verified19Pakistan's cement production index rose by 5.8% in FY2023 per PBS data.
Directional20Record monthly production of 4.8 million tons achieved in June 2023.
Single sourceProduction Statistics Interpretation
Pakistan's cement industry is building a sturdy case for growth, laying a foundation of nearly 48 million tons, but it's still operating well below its potential, with a third of its capacity gathering dust.
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