State coal miner Bukit Asam (PTBA), subsidiary of state mining giant INALUM, booked a net profit of Rp1.15 trillion in the first quarter (Q1) of 2019, declined 21.9% from Rp1.47 trillion in the corresponding period of 2018, as revenues fell 7.1% to Rp5.3 trillion from previous Rp5.75 trillion. Cost of revenue also declined by 12.4% to Rp3.56 trillion from earlier Rp3.16 trillion.

Bank Tabungan Negara (BBTN) booked a net profit of Rp723 billion in the first quarter (Q1) of 2019, grew 5.67% from Rp684 billion in the corresponding period of 2018, supported by the growth of interest income.

The Toll Road Authority (BPJT) said President Joko ‘Jokowi’ Widodo has set a record of completing construction of 949 KM of toll road during his presidency (4.5 years), longer than his predecessors combined (784.7 KM in 1974-2014). It is a big disappointment, however, that Jokowi lost with big margin in South Sumatra and Riau, where two of the longest toll roads are being built.

Some listed firms engaging in mining claimed that they realized an improved business in the first quarter (Q1) of 2019 inline with the improving production and sales operations. State tin producer Timah (TINS) produced around 21,600 tons of stannum (sn) in Q1 this year, jumped 389% year on year (y/y) supported by the reduced illegal mining since last year.

The campaign team of Prabowo Subianto-Sandiaga Uno continues to criticize infrastructure development by President Jokowi. They mainly pointed to low utilization of Kertajati international airport in Majalengka, West Java. Jokowi’s camp, however, defends the project, which actually started by his predecessor SBY.

After years of fights against illegal, unregulated, and unreported fishing (IUUF), Indonesia might have started to harvesting. Indonesia’s total export of fisheries reached US$4.89 billion last year, an increase of 8.18% from 2017, and is set to grow further, double-digit, this year onwards. Indonesia exported 113,156 tons of tuna fish in 2014, but by 2017 export volume already reached 198,100 tons, according to data from ministry of fisheries. 

After spending huge resources in the development of infrastructure, the next administration is believed to pay more attention in the development of processing industries. Other than mineral processing, we expect more investment stories from agricultural processing (agroindustry) going forward. Some major business groups have initiated investments in cocoa processing and sugar milling. 

Nickel processing into nickel pig iron (NPI), ferronickel (FeNi), nickel-to-stainless steel, and intermediates for electric vehicle battery dominates investments in mineral processing, but there are interesting stories in the smelting of other minerals, including gold, zinc, lead, and manganese.

After four years of development, President Joko ‘Jokowi’ Widodo has on Monday (Apr 8) inaugurated new terminal at Tjilik Riwut airport in Palangka Raya, the capital city of Central Kalimantan province. Built with Rp700 billion of investment, the airport can now handle 2,200 passengers per day, way above the previous terminal (600 pax).