Cement consumption rises in Indonesia in February



Source: CEMNET

Domestic cement consumption in Indonesia rose 5.2 per cent YoY to 4.79Mt in February 2018, supported by an increase in cement demand on the islands of Sumatra and Kalimantan, according to Indonesia Investments.

Kalimantan recorded a 16.4 per cent YoY uptick in cement demand, with sales volumes reaching 345,000t. This has been attributed to the construction of the Samarinda-Balikpapan toll road, as well as strategic power plant and port projects.

Cement sales in the country reached 10.48Mt in the first two months of 2018, a 7.7 per cent rise compared to the year-ago period. However, while Indonesia’s production capacity exceeds 100Mta, actual demand is expected to hit just 70Mt for the full-year period.

Meanwhile, a government-led infrastructure push may keep cement demand rising at the necessary pace.

Source: CEMNET