Cemex will get no priority to develop works

Cemex will get no priority to develop works
Published: 17 January 2005

Indonesian government would not give any privilege for Cemex Asia to set up new cement manufacturing in Indonesia when the government invited investors to do business in this sector. The State Minister for State Owned Companies, Sugiharto, said that the government invited new investors to develop cement processing companies in Indonesia to deal with scarcity of cement in the country in 2007.   "We invite any investor, including Cemex and PT Semen Gresik, to develop new cement plant," he told journalist in Jakarta yesterday.  

He said that the most important thing in this process was that investor had to pay its attention to the position of Semen Gresik and its competency, market situation, and competition cost.  Today, he said, the government was discussing the detail of regulation on the structure of establishment new company developing cement manufacturing plant. "We have not got the report on the study yet," he said.  

Sugiharto admitted that the establishment of new cement manufacturing plan would be among the resolution for the dispute between the government and Cemex Asia.  So far, he said, Cemex was positive in responding to any effort of the government. The Mexico based company had cancelled its plan to go to arbitrage. The company was supposed to have brought this case to arbitrage on January 11 this year. (Abstracted from Bisnis Indonesia).