Indonesian cement consumption hits 62Mt in 2016

Indonesia consumed 62Mt of cement in 2016, up three per cent on the previous year, but below the Indonesian Cement Association’s (ASI) target of 65Mt, the Jakarta Globe reports.

In a statement, ASI Chairman, Widodo Santoso,blamed delays in government infrastructure projects for the shortfall, noting that land disputes and financing problems had curtailed activity.

Cement sales in Java, which account for over half of the national total, declined by two per cent to 33.7Mt, while Kalimantan saw consumption fall by 12 per cent to 4.1Mt. Sumatra, Sulawesi, Bali and Nusa Tenggara and Maluku and Papua saw rising consumption.

Members of the ASI have called on the government to stop issuing permits for new plants as capacity – which stands at around 100Mta – has outpaced demand.