In view of the continuous economic growth in Indonesia, the Board of Directors and the Executive Committee of Holcim Ltd have decided to build a new cement plant with an annual capacity of 1.6 million tonnes in the eastern part of the main island of Java, near the city of Tuban. The investment costs will amount to around 450 million US$. The new plant with open sea loading and unloading facilities will go into operation in the first half of 2013, providing all necessary local licenses are granted in due time.
After the Asian crisis in the 90s, the Indonesian economy has continuously recovered. In the years 2000 to 2009, the gross domestic product grew by an annual mean of 5 % and the cement consumption rose over-proportionately. The highest volume growth was recorded on the main island Java. According to forecasts, growth in the construction industry will further accelerate in coming years. In the business year 2009, Holcim Indonesia achieved a turnover of around 500 million US$ and currently employs a workforce of some 2500.