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New Cement Factory Built to Fulfill E. Kalimantan Supply Needs

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27 November 2015 11:30 WIB

Location for the new Semen Indonesia factory in Rembang, Central Java. Tempo/Budi Purwanto

TEMPO.CO, Balikpapan - PT Semen Indonesia has prepared a cement factory in Rembang, Central Java, to meet cement supply needs in East Kalimantan.  The factory is scheduled to be in production early next year with a production capacity of 3 million ton per year.

The factory has reserves of large raw material limestones, says Semen Indonesia Commercial Director Mukhamad Saifuddin.   The factory’s age is estimated to be around 100 years with an estimated production of 3 million ton per year with an investment value of Rp 3 trillion.

Saifuddin said East Kalimantan will become a potential cement industry market in the future with several giant projects that requires cement supply including in Balikpapan-Samarinda toll road, Russian Railways railroad, and Balang Island bridge.

Gresik cement, said Saifuddin, tried to seize the opportunity by opening a cement packaging industry with a capacity of 1,700 ton per year. Balikpapan’s cement packaging industry is currently manufacturing 300-400 ton per day.  “According to the demand, the production can be boosted,” said Saifuddin.

Head of Sales Department PT Semen Indonesia Bambang Djoko says cement market domination in the East Kalimantan region is still relativey small compared to its rivals of just 7 percent.  Cement market in the area is still dominated by old brands such as Tonasa, 3 Roda, and Conch.  “But in the future, we will strive to snatch the market in East Kalimantan,” said Bambang.

Semen Indonesia is still developing market in the vicinity of cement packaging area including Balikpapan, North Penajam Paser, and Paser. The company will aim for new market in Samarinda, Bontang, Tenggarong and North Kalimantan.

S.G. WIBISONO




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