AsiaNet-Pakistan Premier Editorial Content and Press Release Distribution Service
Karachi: Pakistan’s cement industry is witnessing a significant boost as fiscal year 2026 begins, with cement offtakes showing a substantial increase. According to a report from AKD Securities Limited, cement offtakes grew by 30 percent year-over-year in July 2025, reaching 4.0 million tons. This growth was propelled by an 18 percent rise in local demand and an 84 percent surge in exports.
The report highlights an industry-wide utilization increase, now at 57 percent, which marks a 12.7 percentage point rise compared to the same period last year when it stood at 44 percent. This uptick in utilization reflects the sector’s recovery and the rising demand for cement.
Economic analysts from AKD Securities project a 6 percent growth in domestic cement offtakes for fiscal year 2026. This growth is anticipated amid easing interest rates, increased government spending, and ongoing demand from the real estate sector. The government’s push through the Public Sector Development Program is expected to further drive demand.
Within the sector, AKD Securities has identified Fauji Cement Company Limited (FCCL) and Kohat Cement Company Limited (KOHC) as preferred companies. The report places a target price of PKR 61 per share for FCCL and PKR 537 per share for KOHC by December 2025.
The report underscores the potential for continued growth in the cement sector, driven by both local and international market dynamics. As the construction industry revives, the cement market is expected to play a pivotal role in Pakistan’s economic landscape.