PT Indocement - October 2016
PT Indocement, along with Indonesia’s other cement producers, is waiting on new regulations from the country’s government designed to curb expansion of the cement sector. The number of cement producers in Indonesia has risen from nine in 2012 to 19 this year, causing total annual cement production to jump from 59.3Mt in 2012 to 92.7Mt in 2016, while demand remains around the 65Mt mark. According to Fitch Ratings, capacity utilisation, which was approximately 85 per cent over the last three to five years, is expected to fall to around 65-70 per cent as a result.