Anticipating uptick in construction, Pakistan's cement manufacturer plans expansion
- The company seeks to take advantage of the recent government-announced construction package, which aims to uplift the economic activity and aid the economy to recover during Covid-19.
Expecting a surge in construction activity and a rise in demand for construction materials, one of Pakistan’s leading manufacturers of cement Maple Leaf Cement Factory Limited is planning to increase its capacity.
As per Bloomberg, the company is considering enhancing its production capacity by 7,000 tons a day, and the proposal is in the final stages.
Maple Leaf Cement Factory Limited set up in 1960 as a public limited company. It is part of the Kohinoor Maple Leaf Group, with Kohinoor Textile Mills Limited as its holding company. The company seeks to take advantage of the recent government-announced construction package, which aims to uplift the economic activity and aid the economy to recover during Covid-19.
Just days ago, a number of cement manufacturers announced to increase their cement production, Kohat Cement Company Limited (KOHC) announced that it would be setting a multi-billion rupees cement manufacturing plant in Punjab.
As per the company statement, the Board of Directors of the company has approved the setting up of 7000-10000 TPD Cement Manufacturing Plant.
Furthermore, Fauji Cement Company Limited (FCCL) also informed that it has decided to invest in additional cement capacity.
The company has approved the setting up of Greenfield Cement Manufacturing Plant of 2.05 million tonnes per annum at Dera Ghazi Khan, Punjab.
It is pertinent to inform that Maple Leaf Cement saw a 5 percent increase in sales revenue during 1QFY21 year on year. This was a direct result of increase in sales price as a result of growing demand; the latter in turn was a result of growth in the construction sector.
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