There should be major growth for the foreseeable future in Indonesia’s cement market, as the country ramps up an infrastructure-building drive, addresses a housing shortage and attempts to match demand in one of the world’s most populous countries. Per capita consumption was about 165 kg in 2010, which is low compared to other developing markets –...
Strong domestic market growth has been a boon to Indonesia’s logistics industry. Although the concept of “just-in-time” may seem inappropriate given congestion levels, the sector has grown on average 7.7% annually over the past seven years, showing its resilience to the recent global economic crisis. If the government is successful in improving the...
Real estate professionals in Indonesia are convinced that one of the biggest things the government could do to juice the market is to lift restrictions on foreign ownership. Several such limitations in existence have put a lid on market returns and growth potential, they say. It is a tough call. Foreign ownership of real estate assets, particularly...
With demand growing for all kinds of vehicles, Indonesia’s automotive sector is fast becoming a major international player. As economic expansion puts more money in people’s pockets and bank lending becomes open to an increasing numbers of citizens, vehicle sales look set to continue a rapid rise for many years to come. Meanwhile, Indonesia’s...
The year 2011 marks the implementation of the 2008 shipping law, a far-reaching reform of maritime transport that provides space for private sector participation in infrastructure development. Yet the rules also include a degree of protection in that they require domestically flagged vessels to ship goods across the archipelago. “There is a clear...
Both manufacturing and retail is growing in Indonesia, due to a burgeoning domestic market and increasing cost competitiveness. But to make the sector competitive with rivals from ASEAN and other Asian countries, the government needs to improve the investment regime. “The country’s overall atmosphere for investment is positive, garnering the...
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