Karachi: Pakistan's local cement dispatches are projected to increase by 3 percent year-on-year in February 2026, totaling approximately 3.29 million tons. This growth occurs despite a month-on-month decline attributed to the fewer days in February and the onset of Ramadan, which has historically slowed construction activities.
According to JS Global, the analysis is grounded in actual figures from the first 15 days of February, where local sales reached 1.57 million tons. Channel checks indicated sales of approximately 2.44 million tons over 20 days. The northern region witnessed an increase in average daily domestic sales, starting at 91,000 tons per day in the first week and climbing to 106,000 tons in the second week, before moderating in the third week due to Ramadan. In contrast, the southern region maintained an average of 21,000 tons per day over the same period.
While local sales are expected to decline by 9 percent month-on-month, exports are anticipated to rise by 34 percent year-on-year, primarily driven by sea-based shipments from southern players. Exports from the northern region remain suspended due to ongoing border disruptions. This brings the total cement sales in Pakistan to around 4.00 million tons for February 2026, marking a 7 percent year-on-year increase but a 12 percent decline month-on-month.
For the eight-month period of the fiscal year 2026, total cement sales are projected to reach 34.55 million tons, reflecting a 10 percent year-on-year growth. This is largely attributed to a 12 percent increase in local sales, while exports are forecasted to grow by 6 percent year-on-year. Cement capacity utilization in February is estimated at 57 percent, a decrease from 64 percent in January but an improvement from 53 percent in February 2025.
Average retail cement prices in the northern region experienced a slight increase of 2 percent, rising to Rs 1,407 per bag in February, compared to Rs 1,378 per bag in January, as per the Pakistan Bureau of Statistics' weekly data. The report maintains a base case assumption of 8 percent year-on-year growth in local dispatches, driven by a resurgence in construction activities and monetary easing.
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