PT Indocement - May 2016
Government spending on infrastructure is expected to drive up cement demand in Indonesia in 2016, according to PT Indocement. Following consumption growth of 3.4 per cent in 2015, the company says that it forecasts sales to rise by 3-5 per cent this year. Along with a fall in interest rates, the government has pledged an infrastructure spend of IDR313.5trn (US$23.51bn) this year, up by eight per cent compared to 2015. In anticipation of the rise, PT Indocement is building a new 4.4Mta integrated plant in Citeureup and intends to expand its exports to 0.7Mt, primarily to Bangladesh, Malaysia, South Korea and Taiwan.