Indonesian Political, Business & Finance News

KAI Transports 1.17 Million Tonnes of Cement and Clinker, Strengthening Rail-Based Construction Logistics

| Source: ANTARA_ID Translated from Indonesian | Infrastructure
KAI Transports 1.17 Million Tonnes of Cement and Clinker, Strengthening Rail-Based Construction Logistics
Image: ANTARA_ID

Jakarta (ANTARA) - PT Kereta Api Indonesia (Persero) continues to strengthen the role of rail-based freight services in supporting the national supply chain. The supply chain is the series of processes enabling goods to travel from producers to distribution points and end users. One of the key commodities served by KAI is cement and clinker. Clinker is a semi-finished material that serves as the main ingredient in cement production. This commodity plays a vital role in infrastructure development, housing, public facilities, industrial estates, and various community construction needs. Throughout January to June, or the first semester of 2026, KAI transported 1,170,912 tonnes of cement and clinker. For an annual comparison, KAI’s cement and clinker services reached 2,851,615 tonnes throughout 2025. KAI Vice President of Corporate Communication, Anne Purba, stated that cement and clinker services are a crucial part of KAI’s contribution to supporting smooth development across various regions. “Every tonne of cement and clinker moving by train has meaning for the development supply chain. From factories to distribution points, this service helps maintain a more planned and stable material supply, benefiting both the business world and the community,” Anne said. Anne explained that trains possess strong characteristics for transporting large-volume goods over medium to long distances. In a single train set, a large quantity of cargo can be carried with a more measurable travel schedule. This helps the distribution of cement and clinker run more efficiently, especially for industrial and development needs requiring supply certainty. “For corporate customers, schedule certainty and large capacity help the distribution process run better. For the community, a smooth supply chain can support the availability of construction materials, maintain regional economic activity, and help businesses manage distribution costs,” Anne stated. The role of rail freight is increasingly relevant as logistics costs remain a major challenge for Indonesia’s competitiveness. Logistics costs are all costs incurred in the process of moving, storing, and distributing goods until they reach their destination. In the 2025–2029 National Medium-Term Development Plan (RPJMN), Indonesia’s logistics costs were recorded at 14.29% of Gross Domestic Product (GDP) using 2022 as the base year. Gross Domestic Product (GDP) is the value of all goods and services produced by a country in a specific period. The 2025–2029 RPJMN targets a reduction in Indonesia’s logistics costs to 13.52% and then 12.50% of GDP. Using Indonesia’s 2025 GDP at current prices of IDR 23,821.1 trillion based on data from Statistics Indonesia (BPS), reducing the logistics cost ratio from 14.29% to 12.50% of GDP equates to a potential efficiency gain of approximately IDR 426.40 trillion per year. This figure illustrates the potential efficiency of the national logistics system. The more efficient the distribution costs, the greater the economic space that can be utilised to strengthen industry, maintain supply fluidity, support regional development, and benefit the community. “Logistics touches many things. It involves production costs, material prices, development smoothness, employment, and people’s purchasing power. Therefore, strengthening rail-based freight services is important so that distribution becomes more efficient, scheduled, and adds value to the national economy,” Anne said. From a global perspective, the International Energy Agency (IEA) notes that railways serve about 6% of world freight transport based on tonne-kilometres but account for about 1% of transport emissions. A tonne-kilometre is a unit of freight transport measurement; for example, 1 tonne of goods shipped over 1 kilometre is counted as 1 tonne-kilometre. From a sustainability standpoint, shifting logistics from road to rail also has the potential to reduce emissions. Emissions are exhaust gases released into the air. CO₂, or carbon dioxide, is one of the main gases contributing to climate change. CO₂e, or carbon dioxide equivalent, is a measure used to calculate the impact of various types of greenhouse gases in a single unified unit. Referring to international references in the freight rail sector, shipping goods by train can reduce greenhouse gas emissions by up to approximately 75% compared to trucks for the same volume of goods. Using an estimation approach, KAI’s cement and clinker volume in the first semester of 2026 of 1,170,912 tonnes is equivalent to 117,091,200 tonne-kilometres for each 100-kilometre distance scenario. If using a global road emission comparison assumption of around 62 grams of CO₂e per tonne-kilometre, then using rail for this volume potentially avoids emissions of around 5,444 tonnes of CO₂e for every 100 kilometres of shipment. This figure is a scenario estimate based on international references and may change depending on actual distance, operational patterns, type of facilities, load factors, track conditions, and the emission calculation method used. Anne stated that the benefits of rail-based freight services do not stop at cost efficiency. This service can also help organise logistics traffic, reduce the pressure of heavy vehicles on roads, support travel safety, and strengthen the company’s sustainability agenda. “When goods can be shipped in large volumes, more scheduled, and with greater energy efficiency, businesses have better room to manage costs. In the long term, efficient logistics can help industrial competitiveness and support more stable goods prices for the community,” Anne said. KAI continues to optimise freight services through improved operational patterns, reliability of facilities and infrastructure, cooperation with corporate customers, and strengthening logistics services with partners. KAI also encourages rail-based freight services to be increasingly connected.

View JSON | Print