Jakarta, 17 January 2018 – Infrastructure, especially development of construction sector, is one of Joko Widodo’s prioritized programs in an effort to drive national economic growth because acceleration of infrastructure development will eventually drive the country’s economy. Indonesia’s competitiveness rank as listed in the “Global Competitiveness Index” improved from the 55th in 2008/2009 to 41st in 20126/2017, against all 138 countries. Such improvement thanks to the Indonesian government’s initiative to develop infrastructure, which made it possible to jump 14 ranks above (The Global Competitiveness Report 2016-2017).
A flurry of major infrastructure projects in Indonesia is set to boost the construction sector. Over the next four years the government aims to build 5,500 km of railways, 2,600 km of roads, 1,000 km of toll roads, 49 dams and 24 seaports as well as to construct power plants with a combined capacity of 35,000 MW (Oxford Business Group).
Indonesia’s construction will continue to thrive over the forecast period (2017-2021), driven by investment in infrastructure, energy, and residential projects. The construction industry’s output grew by 6.2% in the 2017 in real terms, following an average annual growth of 6.6% during the preceding four years.
Concrete construction accounts for 40 percent of building materials used in projects in Indonesia. Therefore, the government continues to push the capacity of the national precast concrete industry and prestressed to 50% by 2019 in order to create effectiveness, efficiency, and quality. The Ministry of Public Works and Housing targets the use of precast concrete materials to account for 30 percent of the total value of the national concrete work in 2019. The amount is equivalent to the production of 40 million tons per year, an increase from production in 2015, which reached 18.6 percent, or equivalent to 25.45 million tons per year.
The improvement of construction technology must be developed so that the acceleration of infrastructure development in Indonesia can be achieved and will accelerate the national economic growth rate. Concrete Show South East Asia is expected to be a means of construction where all major global players in the industry come together and interact. Domestic industry players can take advantage of this exhibition to update information, find solutions and adopt construction technologies that can improve the efficiency and quality of concrete products in Indonesia.
Concrete Show South East Asia provide the right platform for key industry players in concrete and construction industry to expand their network and develop their business. We also bring a solution to support a government program to increase the acceleration of infrastructure development throughout Indonesia.
