by Dr. Sudarto Overview of Construction Services & Industry in Indonesia Chairman of Indonesian Contractors Association (ICA) President of International Federation of Asian and Western Pacific Contractors Association (IFAWPCA)
Presentation will cover: Short brief about ICA (Indonesian Contractors Association) Capability of ICA members Construction Condition in Indonesia
ICA Indonesian Contractors Association Established in 1973. ICA members now has become one of Indonesia main player in constructions industry. Currently ICA members are all big scale contractors in Indonesia.
Vision: ICA is to promote and encourages a highly reliable, independent, productive, accountable and competitive National construction industry either in National or International market.
Membership Regular Members: Private Companies, State-Owned Companies, and Foreign Companies that already have a legal entity in Indonesia Associate Members: Foreign Companies that have foreign legal entities and have representatives in Indonesia, Companies that are not contractors who have relationships with contractors (specialist contractors), Contractors Companies who do not meet the requirements of regular membership
ICA s Members 8% 23% Private Company Foreign Company State Owned 69%
International Organization Membership: IFAWPCA (International Federation of Asian and Western Pacific Contractors Association). IFAWPCA Members : Indonesia, Japan, Korea, Malaysia, Maldives, Nepal, New Zealand, Philippine, Singapore, Sri Lanka, Thailand, Australia, Bangladesh, Taiwan (China), Hong Kong, India. ACF (ASEAN Construction Federation). ACF Members : Indonesia, Malaysia, Singapore, Thailand, Philippine, Vietnamese and Cambodia.
Capability of ICA s Member Some of ICA members not only working as contractors but also as: Investors, especially for infrastructure projects (electricity, toll road, and drinking water) through PPP program, and; as Direct investment for commercial buildings such as, office tower, apartment, hotel, and properties (real estate).
ICA members also have partnerships experience with international construction companies to do construction project for either national projects or overseas projects.
Recommended Partnership There are 15 Top Indonesian Constructors that recommended to work together with investors to do construction in Indonesia as: Partner for investment Join venture contractor or join operation Contractor
No LIST OF THE TOP 15 INDONESIAN CONTRACTORS Companies Sales 2011 (in Million USD) Sales 2012 (in Million USD) 1 PT WIJAYA KARYA (Persero) Tbk 976.6 1234.2 2 PT WASKITA KARYA(Persero) Tbk 799.4 917.5 3 PT PP (Persero) Tbk 620.0 800.0 4 PT ADHI KARYA (Persero) Tbk 735.7 794.5 5 PT HUTAMA KARYA (Persero) 375.2 524.8 6 PT TOTAL BANGUN PERSADA Tbk 390.0 430.0 7 PT JAYA KONSTRUKSI MANGGALA PRATAMA, Tbk 353.0 412.0 8 PT MULTI STRUCTURE 217.0 260.0 9 PT NUSA RAYA CIPTA 173.8 210.9 10 PT BRANTAS ABIPRAYA (Persero) 124.7 171.7 11 PT BANGUN CIPTA KONTRAKTOR 101.1 170.0 12 PT NINDYA KARYA (Persero) 94.2 167.9 13 PT NUSA KONSTRUKSI ENJINIRING 120.8 126.7 14 PT WIJAYA KUSUMA CONTRACTORS 83.8 116.3 15 PT TATAMULIA NUSANTARA INDAH < 100 < 110
Capability Example From 15 Top Contractor Indonesia: An example to illustrate the capability of the companies are as follows: State owned company, PT. Wijaya Karya Tbk. (WIKA) Private company, PT. Total Bangun Perkasa Tbk. The above companies are publicly listed on the Jakarta Stock Exchange.
PT. Wijaya Karya Tbk. - Wika
PT TOTAL BANGUN PERSADA Tbk Pride & Excellent in Construction Established in 1971. A Public company since July 2006 Indonesia s largest building construction company, known for integrity, respect, fair dealing, good quality, excellent customer service Focus on premium high-rise and commercial buildings, with experiences in Design & Build Services Received accreditation from International Standard Organization : ISO 9001 : 2008 (2011) OHSAS 18001 : 2007 (2012) ISO 14001 : 2004 (2013) Corporate Founder of Green Building Council Indonesia
PORTFOLIO MIXED USES CENTRAL PARK, JAKARTA Construction of Mall, Office, Apartment & Pullman Hotel Total Gross Floor Area (GFA) = 675,000 SQM Year of Construction : 2007-2010
PORTFOLIO CONDOMINIUM REGATTA, JAKARTA Construction of Apartment THE REGATTA Total Gross Floor Area (GFA) = 126.327 SQM Year of Construction : 2006-2008
ON-GOING PROJECT AUSTRALIAN EMBASSY Construction of NEW AUSTRALIAN EMBASSY COMPOUND, JAKARTA Total Gross Floor Area (GFA) = 48,000 SQM Year of Construction : 2012-2015 (LEIGHTON - TOTAL J.O.)
ON-GOING PROJECT INDONESIA INTERNATIONAL EXPO Construction of INDONESIA INTERNATIONAL EXPO BSD CITY Total Gross Floor Area (GFA) = 185,600 SQM Year of Construction : 2012-2014
Construction Condition in Indonesia
Construction sector contribution to GDP
Construction Market Value 45 40 35 30 25 20 15 10 5 0 in Billion US$ 2011 2012 2013
Human Resources As a country with large number of productive age, Indonesia has many engineers, architects, interior designers, landscapers, and other professionals support. We also have specialist contractors such as, mechanic electrical, substructure and others.
Materials Support Materials such as cement, steel bar, concrete pile, glass, asphalt are available from local production and some import. The supply is increasing to support the construction growth.
Cement Capacity 120 100 80 60 In million ton 40 20 0 2012 2013 2014 2015 2016 2017 2018
Major Materials Supplies in 2012 No Material Amount Supply 1 Steel 18.9 million ton 2 Asphalt 890 thousand ton Note: the all above materials should be increase as per demand. It predicted for significant increment.
Machine Support Heavy equipment such as cranes, tractors, bulldozers, concrete pumps, excavators, etc. are available with various brand selection.
Financial Support Many overseas banks such as: Deutsche Bank, Bank of Tokyo; ANZ, The Bank of China, Commonwealth Bank, Citibank, HSBC, UOB, etc. are opening their branch in Indonesia.
We open up greater opportunities and invite you to come to invest in Indonesia, where you can find a lot of opportunity to explore construction industry especially infrastructure as well as commercial project. Please do not hesitate to contact ICA for further Information.. Contact Address: ICA Indonesian Contractors Association Wijaya Graha Puri Blok D-1 Jl. Darmawangsa Raya No. 2 Jakarta Phone: +62 21 7200794, 72790672 Fax: +62 21 7206805 Website: www.aki.or.id Email: akinet@aki.or.id