Domestic demand strengthens while southern region drives export growth.
AKD Research sees cement sector benefiting from economic recovery and lower interest rates.
Karachi: Pakistan’s cement industry posted strong growth in February 2026, with total dispatches rising 12.53% year-on-year to 4.199 million tons, reflecting improving construction activity and a sharp increase in exports.
According to data released by the All Pakistan Cement Manufacturers Association (APCMA), domestic cement sales reached 3.467 million tons, up 8.35% compared to 3.2 million tons in February 2025. Export volumes recorded a stronger expansion, rising 37.72% to 732,333 tons from 531,736 tons a year earlier.
Regional data showed cement mills in the northern region sold 2.856 million tons, up 7.66% from last year, supported by higher domestic demand. The southern region recorded faster growth, with dispatches increasing 24.5% to 1.34 million tons, mainly driven by export markets.
Exports were entirely led by southern-based manufacturers, which shipped 732,333 tons during February, up 51.95% from 481,956 tons last year. No exports were recorded from northern mills during the month.
During the first eight months of FY2026 (July–February), total cement dispatches increased 10.86% to 34.798 million tons, compared to 31.388 million tons in the same period last year. Domestic sales rose 11.93% to 28.503 million tons, while exports increased 6.27% to 6.295 million tons.
Northern mills recorded domestic sales growth of 13.15% during the period but exports declined 27.07%, while southern mills benefited from a 13.89% rise in exports, supporting overall sector growth.
Industry officials have urged the government to introduce incentives for the cement sector in the upcoming federal budget to stimulate demand and allow manufacturers to utilize idle production capacity.
Brokerage house AKD Securities expects Pakistan’s cement sector to benefit from improving macroeconomic conditions, including moderating inflation, declining interest rates and GDP growth of around 3–4%. Lower borrowing costs and infrastructure activity are expected to support cement demand and corporate earnings.
Analysts view the cement sector as a key beneficiary of Pakistan’s economic stabilisation, alongside banking, fertilizers and energy companies.
[…] Pakistan Cement Sales Rise 12.5% in February as Exports Surge. […]