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Cement consumption up in Q1 over housing growth

24th June 2012 | 2.400 Views
Cement consumption up in Q1 over housing growth
Photo document of cement distribution. (ANTARA/Fikri Adin)
Jakarta (ANTARA News) - Cement consumption rose in the first quarter of 2012 to 26 million tons or 13 percent following growth in housing development compared to the same period last year.

"Until last month cement consumption had reached 21.52 million tons. It is expected it will surpass 26 million tons for the first semester," the director general of manufacturing industry basis of the ministry of industry, Panggah Susanto, said here on Sunday.

He said based on data of the Indonesia Cement Association Indonesia (ASI) from January to May national cement consumption rose 13.8 percent to 21.52 million tons from 18.91 million tons in the same period last year.

"It is estimated national cement consumption this year could reach 54 million tons rising by 12 percent from 48 million tons last year," he said.

He said consumption in the first semester usually represents 48 to 49 percent of total year-long consumption while the rest 51 to 52 percent comes from the second semester.

"It is predicted consumption in the second semester of this year may still grow minimally 14 to 15 percent. By the end of the year consumption will reach minimally 54 million tons," he said.

Panggah said a significant increase in cement demand had been recorded in the eastern region but in terms of consumption the region is still below Java and Sumatra.

"Fifty-five percent of cement consumption remains in Java while 23 percent in Sumatra and the remaining 22 percent is divided among islands in the eastern region," he said.