Strong Property Development Supports Growth of Indonesian Ceramic Industry
Growth of the Indonesian property sector, estimated at 10 to 15 percent in 2014, boosts sales of ceramics. Similarly, the nation's construction sector - which grew 7 percent per year on average between 2009 and 2013 - stimulates the ceramic industry. This year, revenue in the Indonesian ceramic industry is projected at IDR 34 trillion (USD $3.0 billion). About 85 percent of total revenue in the country's ceramic industry is forecast to be generated through domestic sales, the remainder through exports abroad.
Chairman of the Indonesian Ceramic Industry Association (ASAKI) Elisa Sinaga stated that there is a large co-relation between growth of the Indonesian property sector and expansion of the nation's ceramic industry as almost every house uses some sort of ceramic product.
Indonesia is the world's sixth largest ceramics producing country after China, Italy, Spain, Turkey and Brazil. Currently, there are 35 ceramics producers in Indonesia with a total of 80 factories, providing employment opportunities to about 200,000 people. In 2013, Indonesia had a ceramic production capacity of 1.4 million m2 per day.
Indonesian Ceramic Industry 2009-2014:
| 2009 |
2010 |
2011 | 2012 | 2013 | 2014 | |
| Revenue (IDR trillion) | 13 | 17 | 17 | 24 | 30 | 34¹ |
| Growth YoY (%) | -20 | 30 | 0 | 41 | 25 | 13¹ |
¹ indicates a forecast
Source: ASAKI