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A Saga of Cement

Monday, January 8, 2001

West Sumatra-based Semen Padang is to split from its parent, the mighty Semen Gresik. But politics rather than economics seem to be behind the move, which could end up deterring foreign investors.

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In Padang they have always mourned the life and circumstances of PT Semen Padang, a home-grown cement firm the city-dwellers can spy from afar. In 1995 it was merged into might PT Semen Gresik Tbk, a state-owned cement firm based in distant East Java. Since then the fiercely proud Minangkabau people of West Sumatra feel they have never got a great deal out of it, apart maybe from the odd job.

Soon they will have reason to celebrate. In Jakarta l

...

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