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Semen Indonesia to have new packing plant
Cement producer Semen Indonesia (SMGR) is looking to operate a new packaging plant in Banjarmasin, South Kalimantan, in the fourth quarter of this year
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ement producer Semen Indonesia (SMGR) is looking to operate a new packaging plant in Banjarmasin, South Kalimantan, in the fourth quarter of this year.
The Rp 120 billion (US$10.48 billion) plant is expected to help the company to meet growing cement demands in the province and its surrounding areas.
So far, the construction of the plant has reached 90 percent, according to the company. When completed, it will have a silo, with an annual capacity of 600,000 tons; two lines of rotary packers, with a capacity of 2,200 bags per hour; one bulk line, with a capacity of 120 tons per hour; and a dock, which will be able to facilitate ships of up to 5,000 dead weight tons.
'The plant aims at serving our markets in South Kalimantan and its surroundings. We are also working on the construction of other packaging plants to reduce logistics costs,' Semen Indonesia president director Dwi Soetjipto said.
Earlier this year, the company announced it would build at least three packaging plants in East Kalimantan, South Kalimantan and West Kalimantan, and several other facilities in the eastern part of the country.
Meanwhile, based on data from the Indonesian Cement Association (ASI), Kalimantan has shown positive growth during the year. Cement sales volume between January and August reached 2.76 million tons, up 7 percent from the same period a year before.
The growth in Kalimantan was higher compared to those in other regions. ASI reported Sumatra booked a 1.8 percent rise, Sulawesi posted a 4.7 percent increase, while Maluku and Papua recorded 0.1 percent growth.
