PT Semen Indonesia - October 2018

In the opening eight months of 2018, Semen Indonesia saw its export sales advance by 42.7 per cent YoY to 1.99Mt. According to the company, it is targeting export sales of 3.2Mt for the year as a whole.

“The achievement of export sales from January to August 2018 proves that the quality of products produced by Semen Indonesia has been recognised and has high competitiveness,” said Hendi Prio Santoso, president director of Semen Indonesia.

To further boost its export sales, the company is also planning to strengthen its export network into new countries. Semen Indonesia currently exports to Sri Lanka, Tahiti, Timor-Leste, Tonga, UAE, Yemen, the Philippines, China, Australia, Austria, Maldives, India and Bangladesh.

According to the Indonesian Cement Association (ASI), cement and clinker exports for the country as a whole also grew in 8M18, advancing by 95.8 per cent YoY to 3.62Mt. A full-year target of 5Mt has now been set. The uptick is due to Indonesia’s cement production capacity soaring to over 100Mta, while demand remains below 70Mt. This has resulted in a severe supply glut, putting pressure on prices and creating fierce competition among producers, who have been forced to turn to exports in a bid to maintain utilisation rates.