Bosowo plans US$120m expansion, Indonesia

Bosowo plans US$120m expansion, Indonesia
Published: 07 October 2011

Bosowa Corporation plans to spend US$120m expanding its cement production and distribution capacity as it looks to capitalise on a planned infrastructure spending spree by the government and a rapidly developing property market. 

Combined production at its two cement units, Semen Bosowa Maros and Semen Bosowa Batam, is expected to reach 3.5Mt this year, said Erwin Aksa, president director of Bosowa, the largest business group in eastern Indonesia. 

Between January and September, the company sold 3Mt of cement, or 86 per cent of its production goal.

“We are bullish our target is achievable as demand for cement remains stable, supported by the growth in the property and infrastructure sectors,” Erwin said on Wednesday.


Bosowa will spend US$70m to build another cement unit in Maros, South Sulawesi, said Erwin, the eldest son of Bosowa founder HM Aksa Mahmud. After the factory is completed next year, he said, the group’s annual cement production capacity should reach 4.5Mt.