Kadin Lauds Maritime Vision of Jokowi-JK Government

Jakarta (Antara) - The Indonesian Chamber of Commerce and Industry (Kadin) has hailed the maritime vision of the next Joko Widodo (Jokowi)-Jusuf Kalla (JK) government saying that it will reduce logistical costs that have so far burdened businessmen. "The maritime vision of the next government of Jokowi-JK will provide an investment opportunity to national private businessmen operating in logistics businesses," Kadin's Deputy Chairman of the Committee of Logistics Service Suppliers and Businessmen, Zaldi Masita, stated here on Tuesday. He affirmed that the implementation of the vision will be a starting point for realizing efficient, effective, and competitive maritime logistics services. He noted that the vision can be realized by reducing the domination of state-owned companies that carry out port operations. He revealed that several private companies have shown interest to invest in the port logistics infrastructure sector if the government of Jokowi-JK will cooperate with national private companies to develop strategic ports in the country. "A number of private port businesses in Indonesia have been ready to invest up to US$6 billion to support the port logistics infrastructure development acceleration project in Indonesia during the term of the new government to reduce national logistics costs," he revealed. He believed that private investment will be cheaper than the estimates of the state-owned port operations company PT Pelindo, and the project can be realized earlier than the five-year set target even without a government guarantee if an opportunity is offered to manage the ports that have so far been monopolized by Pelindo. Zaldi reiterated that the logistics costs in Indonesia were inefficient, reaching up to 24 percent of the Gross Domestic Product. "The port sector still remains one of the causes of inefficiency due to poor infrastructure while tariffs and port costs tend to rise," he added. (*)