Cement export price reduced for India – Alfalah Securities Limited

Karachi, July 10, 2012 (PPI-OT): Pakistani cement manufacturers have lowered the cement prices for export to India by USD 9 per ton or 13% in order to compete well in the Indian markets.

According to Alfalah Securities Limited, the steep devaluation of Pak Rupee against dollar has created room for bringing down the cement prices which the local producers have resorted to extend the gain in margins to Indian markets to capture a larger market share. Cement is now being exported to India at an average price of USD 60 per ton as compared to USD 69 previously. Cement exports to India witnessed growth of ~3% to 605,543 tons during FY12 compared to export of 590,102 tons in FY11. With any increase in the cement exports to India, the local manufacturers would benefit from being able to utilize the excess production capacity and improve profitability.