Semen Indonesia's Ambition to Control 50% Market Share and Spread Benefits

The President Director of PT Semen Indonesia (Persero) Tbk (SIG), Indrieffouny Indra, has unveiled three business transformation strategies to address the challenges of overcapacity and stagnant growth in the cement industry. SIG’s business transformation includes increasing retail sales to reach a wider market, lowering production costs, and developing non-cement businesses. One of SIG’s non-cement ventures is green cement, a low-carbon emission product that utilises up to 38% more natural substitute materials. This move is expected to position SIG as a game changer in the green industry and support sustainable development. SIG’s green cement has successfully entered the export market to Reunion Island, having obtained CE (Conformité Européenne) certification, meeting the European Union’s safety and environmental standards. This green cement innovation is part of SIG’s efforts to increase new revenue sources for the company by up to 49% while improving energy efficiency. Additionally, SIG is ensuring the company implements Environmental, Social, and Governance (ESG) principles, carried out through the achievement of CSR programmes benefiting 9.8 million people by 2025 in the sectors of economic empowerment, education, health, culture, and infrastructure. SIG is targeting to become the largest building solutions provider in the region by 2030, with a national market share reaching 50%, up from the current 46.3%. This will be achieved through a focus on the retail and bulk cement markets.