Pakistan’s cement industry boosted by another bulk export order

By Masood Sattar Khan
(Pakistan News & Features Services) 

After having exported cement in bulk quantity to China, Pakistan has secured yet another export order, this time from the Philippines which will boost the country's cement industry.

The Advisor on Commerce, Abdul Razzak Dawood, tweeted on July 9 that DG Khan Cement Company Limited (DGKCC), one of the largest cement manufacturers in Pakistan, has earned orders for export of cement to the Philippines. 

“Congratulations to DGKCC on making a breakthrough in winning orders for export of cement to Philippines. This follows on their success in China,” Razzak Dawood was quoted as saying. 

“Exporters should follow this example of extending their market reach across the globe. Once market reach extends, then market share will increase. Increasing geographical diversification is an important part of our strategic trade policy," he added. 

After declining for three months, cement sales in Pakistan rose during the month June. It meant that the industry had started to rebound from the COVID-19 epidemic.

According to a report released by the All-Pakistan Cement Manufacturers Association (APCMA), cement sales rose 30% to 4.623m tonnes, with exports surging 124 % to 787,000 tonnes in June.

In 2014, the DGKCC had signed a cooperative EP Contract for 1×30 MW coal-fired power station with Sinoma Energy Conservation Limited of China. 

It was reported that the cooperation between Pakistan and China in cement sector covered several aspects. China is one of the biggest foreign markets for Pakistani cement. 

Meanwhile the Chinese enterprises such as CNBM have invested and provided technical support to Pakistan cement manufacturing. In 2019, China imported 2.33036 billion tons of cement, and the prices of cement kept going up. 

The volume of China's cement import continues to grow substantially. China imported cement clinker 22.74 million tons with an average CIF price of $44/ton. Therefore, under CPEC projects, Pakistan's cement export to China is expected as a positive tendency.