Delayed Government Projects Cause Slowdown in Indonesia's Cement Sales
Although Indonesia's January cement sales showed robust growth of 15 percent to 4.65 million metric tons (year-on-year), the country's cement sales in February slowed to 8.2 percent (4.39 million metric tons) compared to a year earlier; The slowest pace of growth in six months. Strong annual GDP growth has caused a rise in property and infrastructure projects but a delay in some government projects might be behind the slower cement sales growth in February.
Development in Indonesia's housing and property sectors is still strong, thus it is assumed that the current slowdown is only temporary.
Per capita cement consumption in Indonesia - which currently stands at around 200 kilogram per year - is still one of the lowest in Asia.
(in million metric tons)
|Largest Indonesian Cement
|Indocement Tunggal Prakarsa||33%|
¹ private company