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Holcim Looks to Cement Its Share of Bali Market With E. Java Factory
February 19, 2012

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GadjahMada
8:06pm Feb 19, 2012

Wohow, it is Gresik's territory. Be ware, Indonesian consumers have strong loyalty to products. East Javanese is proud of their Gresik city.


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Cement manufacturer Holcim Indonesia says its new plant in Tuban, East Java, will increase the company’s total production capacity by about 20 percent.

“We’re projecting production capacity in Tuban of up to 1.7 million tons a year,” Holcim’s relationship management director, Rusli Setiawan, said on Saturday.

Holcim’s cement production from its existing plants in Cilacap, Central Java, and Narogong, West Java, reaches 8.3 million tons a year.

Production at the new plant in Tuban will bring that total to about 10 million tons.

Holcim’s $450 million cement production plant at Tuban was announced in December 2010.

“It is hoped the plant will be operational in the fourth quarter [of 2012] so we can expand our share of the market in Bali,” Rusli said on the sidelines of the launch of a concrete tile plant in Gianyar, Bali.

He said cement demand in Bali was at 1.5 million tons a year.

Holcim holds 16 percent of the market on the island, with supply from the company’s Cilacap facility.

“Cement demand in Bali is strong,” he said. “We offer not only cement in bags but also other products like concrete tiles, concrete materials and other ready-to-use construction materials.”

Derek Williamson, president director of Holcim subsidiary Holcim Beton, earlier officiated at the opening of a batching plant in Denpasar. The plant is able to produce up to 60 cubic meters of concrete material per hour.

Holcim has also opened a Rumah Solusi (Housing Solution) outlet in the Bali capital to help people build low-cost homes.

The company ranks third nationally for cement sales after Semen Gresik and Indocement Tunggal Prakarsa.

In December, Holcim forecast a 3 percent increase in sales in 2012, following from estimated sales of 7.3 million tons last year.

About 77 percent of the company’s shares are held and managed by a subsidiary of Switzerland-based Holcim.

Antara