Indonesia saw cement demand advance by 1.9 per cent YoY to 7,326,461t in October 2019 from 7,187,897t in October 2018, as reported by Semen Indonesia.

Market expansion was largest in Sulawesi where volumes were up by 18.5 per cent to 661,453t YoY while Nusa Tenggara reported a 13.2 per cent increase in sales to 444,057t in October 2019. A smaller gain was noted in East Indonesia, the country’s smallest market, where sales rose by 6.2 per cent YoY to 177,649t. The key province of Java saw demand rise by 1.7 per cent to 4,154,900t. However, Kalimantan reported sales of 432,572t, down 4.2 per cent YoY, while Sumatra saw consumption fall, by five per cent to 1,455,830t.

While gains in the domestic market were largely modest, export sales in October 2019 increased by 43.2 per cent YoY to 659,513t, supported by a 83 per cent rise in clinker exports, which reached 587,218t. The advance in clinker exports offset a 48.2 per cent YoY decline in cement exports, which fell to 72,295t in October 2019.

January-October 2019
The Indonesian cement market contracted by 1.5 per cent YoY to 56.099Mt in January-October 2019 when compared with the 10M18, when a total volume of 56.969Mt was sold in the country.

In Indonesia’s largest market, Java, consumption declined by 1.9 per cent YoY to 31.461Mt in teh 10M19, while in Sumatra, the second-largest market, sales retreated by 5.7 per cent to 11.56Mt. Kalimantan reported a 0.9 per cent slippage to 3.579Mt between January-October 2019. Modest gains were made in Nusa Tenggara, where demand rose by 3.1 per cent YoY to 3.266Mt, and in Sulawesi, where sales were up 4.9 per cent to 4.813Mt when compared with the 10M18. In East Indonesia the market expanded 12.4 per cent YoY to 1.421Mt.

Exports advanced by 17 per cent to 5.394Mt in the 10-month period, from 4.61Mt in the 10M18. Clinker exports saw a 30.5 per cent increase to 4.367Mt while cement exports contracted by 18.7 per cent to 1.027Mt.