JAKARTA (TheInsiderStories) – Indonesia export 700 tons of steel to Sri Lanka and Australia, said the trade minister today (01/31). This is the first export of downstream steel products from the country.
Minister of Trade Enggartiasto Lukita, said PT Gunung Raja Paksi (GRP), a local steel producer located in West Cikarang, Bekasi in West Java, was the first steel exporter in Indonesia. The unit of Gunung Steel Group export steel structural and plate to global market.
“This can be a very important catalyst, to not only encourage the growth of the domestic industry, but also to continue to capture global market opportunities and increase national exports,” he said in a written statement.
Reported, the export of Indonesian iron and steel in 2018 rose sharply from US$3.33 billion in 2017 to $5.75 billion in 2018, up by 72.40 percent. Overall, Indonesia’ total exports in 2018 amounted to $180.06 billion, slightly up 6.65 percent from previous year worth of $168.82 billion.
Engaging in continuing, iron and steel are commodities that are very important for the development of a nation. This product is a staple used in various industries because of its varied and flexible properties, ranging from the construction and building industries, automotive, to kitchen and household appliances.
Recently, the government continues to improve the competitiveness and market share of Indonesian exports and looking non-traditional markets such as Africa, South Asia, the Middle East, Eurasia, and Latin America through negotiation and initiation of free trade agreements and promotional activities sustainable.
Therefore, the government continues to encourage GRP to increase its contribution to global trade by developing export destination markets to other countries, including the United States, especially after the signing of a memorandum of understanding (MoU) between Hanwa American Corp and Gunung Steel Group to export as many steel bars as 50,000 MT.
CEO of GRP Alouisius Maseimilian is optimistic that the company’ performance could continue to increase, mainly supported by the operation of the blast furnace facility in the second semester of 2019.
GRP has planned to list around 10 percent of the company shares at Indonesia Stock Exchange. The Gunung Steel Group’ subsidiary seeks Rp2 trillion from the initial public offering.
Formed at the end of 2001, the company produces steel sheets consisting of steel plates and rolls. The combined production capacity reaches 2,800,000 tons annually, generated from the large-scale hot-rolled steel sheet products.
Written by Daniel Deha, Email: email@example.com