Indonesia vows to hike pulp and paper production
Indonesia vows to hike pulp and paper production
JAKARTA (JP): Indonesia plans to hike the annual production
capacity of pulp by 200 percent to 3.9 million tons and paper
production by 10.2 percent to 4.3 million tons in the coming five
years, an official says.
"We project that the prices for pulp will keep rising until
the end of this century. This is the time to invest in pulp
plants," the director for pulp and paper industries at the
Ministry of Industry, Gatot Ibnusantosa, said in a seminar here
yesterday.
"In the near future, Indonesia will be a major pulp and paper
producer in Asia," he added.
The country produced 1.3 million tons of pulp and 2.5 million
tons of paper last year, while its pulp exports reached about
120,000 tons worth US$39.04 million and paper exports 680,000
tons valued at $413.64 million.
Gatot explained that the pulp capacity expansion in the coming
five years will be supported by the construction of six new pulp
projects and one expansion project.
PT Riau Andalan Pulp & Paper will set up a pulp plant in Riau
with an annual production capacity of 600,000 tons, PT Intan
Prima Cellulose in Riau with a capacity of 200,000 tons, PT
Wirakarya Sakti in Jambi with a capacity of 330,000 tons, PT
Tanjung Enim/Barito Pacific in South Sumatra with a capacity of
350,000 tons, PT Tanjung Redep in East Kalimantan with a capacity
of 350,000 tons and PT Fajar Surya Swadaya in East Kalimantan
with a capacity of 300,000 tons.
The expansion project is expected to be carried out by PT
Indah Kiat in Riau, which will increase its annual capacity by
400,000 to 870,000 tons.
Utilization
Gatot also said the country's annual per capita utilization of
paper is expected to increase from nine kilograms at present to
about 16 kilograms in the next five years.
"We expect that paper demand will grow by 10 percent every
year," he said.
This is why the government has approved the completion of five
new paper mills to produce cultural paper this year, he said.
The mills will be constructed by PT Triguna Pratama Abadi in
West Java with an annual capacity of 3,600 tons, by PT
Indohafidzco in West Java with a capacity of 3,000 tons, by PT
Gede Karang in West Java with a capacity of 54,000 tons by PT
Java Paper Industries in East Java with a capacity of 63,000 tons
and by PT West Kalindo in West Kalimantan with a capacity of
3,000 tons.
On top of those new mills, the government also expects four
paper plant expansion projects to be completed in the coming four
years.
Gatot explained that PT Indah Kiat will expand the annual
capacity of its industrial paper plant to 800,000 tons by 1996
from 300,000 tons, PT Sinar Hoperindo its tissue plant in West
Java to 30,000 tons by 1996 from 3000 tons, PT Kertas Kraft its
cement paper bag plant in Aceh to 165,000 tons by 1997 from
135,000 and PT Kertas Padalarang its print paper plant in West
Java to 13.600 tons by 1998 from 7,900 tons. (hdj)