RI will import cement

RI will import cement

JAKARTA (JP): Indonesia plans to import 800,000 tons of cement next year because demand is expected to grow by 15 percent to 27.9 million tons while total domestic production is only 27.2 million tons, the chairman of the Indonesian Cement Association, Soeparjo, said yesterday.

Soeparjo, who is also the personnel director of PT Indocement Tunggal Prakarsa, Indonesia's largest cement manufacturer, said Indonesia currently has a total capacity of 27.1 million tons a year.

"We will import from 800,000 tons to 1.1 million tons next year," he was quoted by Antara as saying in Citeurup, West Java.

He added that three domestic cement producers will build new plants. PT Semen Gresik in East Java will increase its capacity by 2.3 million tons, PT Semen Tonasa in South Sulawesi by 2.3 million tons and Indocement in West Java by 1.3 million tons.

"But the expansion projects will be realized only later next year. So, Indonesia will still suffer a cement deficit," he said.

He said Indocement, which has an annual capacity of 9.4 million tons, plans to import 350,000 tons of cement next year.

Indocement, a member of the Salim Group controlled by tycoon Liem Sioe Liong is the country's largest cement producer, followed by the state company PT Semen Gresik with an annual capacity of 8.9 million tons and PT Semen Cibinong with three million tons.

The three companies, which are listed on the Jakarta Stock Exchange, account for 74 percent of the Indonesia's total cement production.(04)