DG Khan Cement Company (DGKCC) has received an order to export 600,000 tons of low alkali cement to the United States per year, which will fetch approximately $360 million for the country.“Our second consignment of 37,500 tons loaded on vessel ABU AL ABYAD has left for Houston, Texas,” said Executive Director of DGKCC Farid Fazal, according to a press statement received by WealthPK.

He stated that the first consignment of 50,000 tons was dispatched in June 2022, making Pakistan one of the 25 countries exporting cement to the US.“This is the first time in the history of Pakistan that cement is being exported to the US market,” Farid said. He added that the third consignment will leave for the US next month, and considering the good quality of Pakistani cement, the country can achieve 10% to 15% share in the US market.

Besides, he added, the company is in talks with buyers from London, France, and Germany and soon it will be entering the European market after getting CE (Conformitè Europëenne) certification.“We have lots of surplus cement and as the supply is much greater than the demand, manufacturers are not utilising their full capacity, hence we need to explore new markets,” Farid said.

He added that the country needs to expand its exports to big markets like the US as its demand for construction material has increased manifold with buyers looking for new sources of supply following President Biden's $6 trillion infrastructure package. Under this package, all mega infrastructure projects including freeways, bridges and roads will be rebuilt or given facelifts as some of these were constructed almost a century ago.

“It took us 12 months to get the technical certifications for supply of cement to the markets in US,” Farid said.He added that the US is a huge market, and due to strict environmental laws, it is very difficult to put up a cement factory. The US meets its requirements of cement by imports from Mexico, Canada, Vietnam and Turkey.

“After the good response our cement received in Houston, I was invited to make a presentation at the International Cement Conference in Houston, which generated a great number of inquiries and prospective customers,” Farid said.He added that the local cement industry has the capacity of 65 million tons and domestic consumption is just 40 million tons, while exports are just 4 to 5 million tons.

Ziauddin, Deputy General Manager, said that DGKCC is the first to use innovative technologies in the cement industry.He said the DGKCC is focused on maintaining an eco-friendly environment by making a significant contribution to reducing carbon footprints by using renewable energy, waste heat recovery and alternate fuels.

The DGKCC is among the largest manufacturers of Pakistan with a production capacity of 25,000 tons cement per day (7.500 million tons/annum). The DGKCC has three cement plants located at Dera Ghazi Khan, Kalar Kahar and Hub. Plants and equipment are supplied by renowned European suppliers.

Credit : Independent News Pakistan-WealthPk