Cement prices surge by Rs201 per bag in a year

Summary

• Topline Securities reported on Thursday that cement prices rose by Rs100 to Rs150 per bag during the first quarter of fiscal year 2026-27 compared with the same period last year, largely due to higher fuel costs, particularly international coal and diesel prices.
• According to Adeel Ashraf of Topline Securities, Richards Bay coal prices averaged $113.93 per tonne in the first quarter of FY27, against $113.20 in the previous quarter and $90.30 in the same quarter last year.
• The increase in coal costs added at least Rs20 to the production cost of each cement bag, while higher diesel prices contributed approximately Rs15 more per bag, the sources estimated.

AI Generated Summary

Cement prices in Pakistan have climbed by as much as Rs201 per 50kg bag over the past year, adding to construction costs and making home ownership increasingly difficult for ordinary citizens, according to official data.

The Pakistan Bureau of Statistics (PBS) reported that the average price of a 50kg cement bag reached Rs1,596 in the week ending October 8, compared with Rs1,395 in the corresponding week last year. The increase of Rs201 represents a year-on-year rise of 14.38 per cent.