Cement Market in West Java Significantly Dropped

 

The weakening of the market in July caused the total cumulative sales of 7-month cement in 2016 also recorded negative in the three provinces. Cement market in Jakarta Capital City from January to July 2016 decreased 11.9 percent to 2.63 million tons compared to the same period last year with 2.98 million tons. The cement market in Banten tumbled 10.1% to 1.61 million tons during the 7 months of 2016, and the cement market in West Java fell 0.5% to 4.72 million tons.

The three provinces, DKI Jakarta, Banten and West Java contributed 43.6% of the total cement market in Java Island, or 21.7% of the total cement sales in Indonesia.

In July 2016, cement sales in Java fell 3.7% to 1.8 million tons from 1.87 million tons previously. Meanwhile, sales of cement in Indonesia in July this year still increased 2.5% to 3.6 million tons from 3.52 million tons previously, supported by strengthening in the markets of Sumatra, Sulawesi and Nusa Tenggara.

In contrast, the cement market in Sulawesi continues to surprise by showing a positive trend throughout 2016. Cement sales in Sulawesi in the first half of 2016 grew the highest compared to other regions in Indonesia. Cement sales in Sulawesi rose 24.8 percent to 2.54 million tons in the first half of 2016 compared to the same period last year 2.03 million tons, according to data from the Indonesian Cement Association (ASI).

The contribution of cement sales in Sulawesi to the total national cement market also grew to 8.6% in the first half of 2016 compared to the same period of the previous year of 7.1%.

In July 2016, cement sales in Sulawesi grew 10.6 percent to 374,982 tons from 338,963 tons. Thus, in the period of January-July 2016, the cement market in Sulawesi grew 22.7% to 2.92 million tons, leading the growth of the cement market by region.

The significant contribution of the cement market in Sulawesi makes the total market in Indonesia still grow positively in 7 months 2016. Total sales of cement in Indonesia period from January to July 2016 grew 3% to 33.09 million tons from the previous 32.12 million tons. 02 editorial team)