JAKARTA. The Ministry of Public Works and Public Housing is optimistic that domestic steel production will rise 36.9% to 21.9 million tonnes per year with the implementation of the Indonesian National Standards (SNI) obligation.

The ministry's Director-General of Construction Syarif Burhanuddin said that the regulation will ensure the security and safety of construction works.

The regulation is also believed to be the solution for the widespread use of imported steel, which causes competition among local producers. According to Mr Burhanuddin, around 5.9 million tonnes of steel are imported every year. "We need a national standardisation in order to create more competitive prices," he said in an official statement.

In a letter dated September 10, 2019, Public Works and Public Housing Minister Basuki Hadimuljono explained that the standards use for reinforcing steel are SNI 2847:2013 and SNI 2052:2017. In order to validate the standards, Mr Hadimuljono asks that all reinforcing steel procurement activities must have factory test certificates issued by the producers. (KR/MS)