Indonesian cement market expands 5% in 2018

Indonesia’s cement consumption advanced by 4.8 per cent YoY to 69,565,129t in 2018 from 66,349,944t, according to the preliminary data of the Indonesian Cement Association (ASI).

While cement demand declined 5.4 per cent to 4.632Mt in the Jakarta area and slipped by 0.6 per cent in East Java, other regional markets saw significant growth. Cement demand in Yogyakarta surged by 10.8 per cent to 1.214Mt, followed by Banten, where consumption advanced by nine per cent to 3.475Mt. In Central Java sales climbed 8.5 per cent to 9.899Mt while in West Java they were up 7.6 per cent to 10.348Mt.

In addition, domestic producers exported 1,530,384t of cement and 4,117,898t of clinker, up 35.3 and 129 per cent, respectively, when compared with cement and clinker exports in the previous year. As a whole, exports increased 92.8 per cent to 5,648,282t in 2018 from 2,929,285t in 2017.

Output from Indonesian cement plants increased by 8.6 per cent YoY to 75,213,411t.