Pakistan's cement industry began the new fiscal year on a strong footing, with total cement dispatches increasing by 6.02% year-on-year in July 2026. The growth was primarily driven by a significant surge in domestic demand, which helped offset a sharp decline in exports. According to data released by the All Pakistan Cement Manufacturers Association (APCMA), improving construction and infrastructure activity across the country continues to support the sector despite challenges in international markets.
During July 2026, total cement dispatches reached 4.476 million tons, compared to 4.222 million tons recorded in the same month last year. The strong performance reflects growing momentum in Pakistan's construction sector, fueled by increased development activity and higher local consumption.
Domestic cement sales recorded an impressive 17.28% increase, rising to 3.771 million tons from 3.215 million tons in July 2025. The substantial growth highlights robust demand from housing, commercial construction, and infrastructure projects, making the local market the primary driver of the industry's expansion.
North-based cement manufacturers posted a 9.46% increase in total dispatches, reaching 3.092 million tons during the month. Their domestic sales also recorded remarkable growth of 19.25%, climbing from 2.593 million tons in July last year to 3.092 million tons, reflecting strong construction activity across northern Pakistan.
In contrast, south-based cement mills experienced a slight decline in total dispatches, which fell 0.95% to 1.383 million tons. However, local demand in the southern region remained positive, with domestic sales increasing by 9.07% to 678,147 tons, indicating improving consumption despite weaker export performance.
While domestic demand remained strong, Pakistan's cement exports witnessed a significant decline during the month. Total exports dropped 29.95% year-on-year to 705,341 tons, compared with 1.007 million tons in July 2025. North-based cement mills recorded no exports during the month, a sharp contrast to the 231,985 tons exported in the corresponding period last year. Meanwhile, exports from south-based mills declined 8.98%, totaling 705,341 tons.
Commenting on the industry's performance, the All Pakistan Cement Manufacturers Association urged the government to reduce duties and taxes on cement to make the commodity more affordable for consumers. The association believes that lower taxes would stimulate demand, support the construction sector, encourage housing development, and contribute to broader economic growth.
The APCMA also called on the government to introduce relief and rehabilitation measures in flood-affected areas, emphasizing that cement will play a vital role in rebuilding damaged homes, public infrastructure, and essential facilities.
Despite the decline in exports, the latest industry figures demonstrate the resilience of Pakistan's cement sector, with strong domestic demand continuing to compensate for weaker international sales. Industry stakeholders believe that supportive government policies, tax relief, and construction-focused initiatives could further accelerate cement consumption, strengthen the housing market, and provide a significant boost to Pakistan's overall economic recovery.
