Indonesia’s February cement consumption down 4.5% yoy

Indonesia’s domestic cement consumption fell 4.5% in February to 2.86 million tonnes from a year ago, data from the country’s cement industry association showed on Monday.

However, the country’s biggest cement producer, PT Semen Gresik Tbk, recorded a 5.2% rise in total cement sales to 1.32 million tonnes in February, the data showed.

The firm, which has market capitalisation of about US$1.8 billion, previously said it expected Indonesia’s cement demand would fall this year due to the global economic crisis and a slowdown in Indonesia’s economic growth.

The data from the Indonesian Cement Association also showed cement consumption in Southeast Asia’s top economy dropped by 7.8% to 6.03 million tonnes in the January-February period.

Indonesian authorities have earmarked spending on infrastructure as part of its 73.3 trillion rupiah (US$6.24 billion) fiscal stimulus package intended to create jobs and lift economic growth this year.

The government expects economic growth to slow to 4.5% this year, from 6.1% in 2008.

 

Category: Indonesia