Voksel needs higher supply of aluminum, copper next year

By Firmansyah Sembiring

IDX-listed cable maker PT Voksel Electric Tbk will need greater volume of aluminum and copper next year as raw materials for cable production.

Voksel Corporate Secretary Yogiawan told Petromindo.com on Wednesday that the company will need as much as 23,000 tons of aluminum, and 5,000 tons of copper next year.

This year, the company?s aluminum consumption is estimated at 20,000 tons, while copper at 3,000 tons, he said.

?Although price of aluminum and copper is expected to rise next year by 20 percent, we?ll still increase (cable) production to meet higher sales next year,? Yogiawan said.

He said that all of the company?s raw materials are sourced domestically. In terms of market, Voksel will sell about 90 percent of its cable production in the domestic market to meet demand from power plant projects by state-owned electricity firm PT PLN and private power producers. The remaining 10 percent will be export to Bangladesh and Sri Lanka.

Editing by Reiner Simanjuntak