by Table of Contents
- Executive Summary
- Recent Export Performance
- December 2025 Export Data
- Monthly Export Trend
- Domestic vs Export Markets
- Reasons Behind Export Decline
- Economic and Industry Impact
- Industry Recommendations
- Future Outlook
- Conclusion
1. Executive Summary
Pakistan’s cement industry has been facing a challenging period as exports have declined for the fourth consecutive month. Despite steady domestic demand, international shipments have consistently dropped, affecting foreign exchange earnings and signaling deeper issues in the export sector.
2. Recent Export Performance
The All Pakistan Cement Manufacturers Association reports that cement exports have been on a downward trajectory since September 2025. While domestic consumption remains relatively stable, export volumes have fallen below the levels recorded in the same months last year.
3. December 2025 Export Data
In December 2025, total cement dispatches were 4.347 million tonnes, showing a 1.47% increase compared to the previous year.
- Domestic dispatches: 3.725 million tonnes (+6.42%)
- Exports: 621,685 tonnes (−20.66%)
The data highlights a significant contrast: domestic markets remain strong, while exports continue to face challenges
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4. Monthly Export Trend
The decline in exports has been consistent over the last four months:
- September 2025: notable drop in exports
- October 2025: further decline
- November 2025: exports decreased by over 25% compared to last year
- December 2025: exports fell by more than 20%
This trend indicates structural challenges rather than seasonal fluctuations.
5. Domestic vs Export Markets
| Market Type | Dec 2024 | Dec 2025 | % Change |
|---|---|---|---|
| Domestic Dispatches | 3.50 million tonnes | 3.725 million tonnes | +6.42% |
| Export Dispatches | 783,550 tonnes | 621,685 tonnes | −20.66% |
| Total Dispatches | 4.284 million tonnes | 4.347 million tonnes | +1.47% |
The data shows that while domestic consumption remains resilient, exports are under severe pressure.
6. Reasons Behind Export Decline
Several factors contribute to the continued slump in cement exports:
A. Trade Route Disruptions: Border closures and logistical challenges, especially in northern trade routes, have limited shipments.
B. Weak International Demand: Global cement markets have seen reduced demand, affecting Pakistani exports.
C. Competition: Other regional suppliers with lower costs have increased competition in international markets.
D. Rising Costs: Higher shipping, packaging, and transportation costs reduce export competitiveness.
E. Policy Gaps: Insufficient export incentives and trade facilitation have made exports less attractive.
7. Economic and Industry Impact
The declining exports affect the economy and the cement industry in multiple ways:
- Reduced foreign exchange earnings
- Lower profitability for cement manufacturers
- Potential slowdown in related sectors like construction
- Increased inventory and lower production efficiency for exporters
8. Industry Recommendations
To revive exports, the industry suggests:
- Implementing export-friendly policies and incentives
- Improving logistics and customs processes
- Exploring new international markets
- Offering specialized cement products for high-value markets
Such measures could help reverse the current decline and stabilize export volumes.
9. Future Outlook
If structural issues are addressed, the cement industry can recover its export growth. Focusing on market diversification, reducing trade barriers, and cost efficiency will be key strategies for 2026 and beyond.
For detailed export statistics, refer to the official report by the Pakistan Bureau of Statistics.
10. Conclusion
Pakistan’s cement exports have faced a four-month consecutive decline, highlighting challenges in competitiveness, logistics, and global demand. While domestic consumption continues to grow modestly, targeted government policies and strategic industry actions are essential to restore export performance and secure foreign exchange revenues.
