Cement sales, capacity on the rise

cement factory

Cement sales are set to continue to increase this year, matching the expectations of manufacturers who tried to keep up with demands by opening new plants last year. Among the new facilities opened in 2012 were a new PT Semen Indonesia Tbk. plant in Tuban, East Java, and another in Pangkep, South Sulawesi, belonging to PT Semen Tonasa, which is still affiliated with Semen Indonesia.

Industry association spokesperson Widodo Santoso estimated sales volume to reach 60 million tons this year, an increase over 54.9 million tons in 2012. According to him, February sales showed 8.1% growth over the same period last year, and sales for the first two months of 2013 grew 11.3% compared to 2012, benefiting from strong property growth, especially on the island of Java.

Manufacturers continue to set up new production facilities this year. For example, PT Indocement Tunggal Prakarsa Tbk. has signed an agreement with Tianjin Cement Industry Design and Research Institute Co. Ltd. to set up a new plant in Citeureup, West Java. Swiss manufacturer PT Holcim will also build their second factory near Tuban, East Java, after completing the first facility last year. PT Semen Bosowa is also planning to start operating its new facility in Banyuwangi, East Java, this year.

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