Govt sets up team to boost cargo-handling in Batam<\/p>\n
Urip Hudiono, The Jakarta Post\/Jakarta<\/p>\n
As a follow-up to the recent upgrading of the status of Batam's
\nIndustrial Bonded Zone into a \"Bonded Zone Plus\", the government
\nis setting out to develop the island into an integrated cargo-
\nhandling hub to meet the same international standards as
\nneighboring Singapore.<\/p>\n
Therefore, Coordinating Minister for the Economy Aburizal
\nBakrie said on Friday, the government has formed a special
\nassistance team on Batam, to speed up its plan of transforming
\nthe island's seaports and airport so that they are world class.<\/p>\n
\"The government is considering whether to develop Batam into a
\nfree port that will compete head-to-head with Singapore, or
\nwhether it will complement the city state's port,\" he said after
\na meeting on the establishment of the assistance team.<\/p>\n
The team -- consisting of Minister of Trade Mari E. Pangestu,
\nMinister of Transportation Hatta Radjasa, Minister of Industry
\nAndung Nitimihardja and Minister of Public Works Djoko Kirmanto
\n-- is tasked with helping out the Batam Authority Agency and the
\nmunicipal administration in laying out the future blueprint of
\nthe island's development.<\/p>\n
Batam, a part of Riau Islands province, is located some 20
\nkilometers from Singapore, the world's busiest port in the key
\nStrait of Malacca shipping lane.<\/p>\n
Batam has become one of the most attractive manufacturing and
\nindustrial locations in Southeast Asia, hosting some 600 foreign
\ncompanies and absorbing over US$3 billion in foreign investment.<\/p>\n
Hatta said the government had completed its registration of
\nBatam's Nipah Island -- which directly borders Singapore -- with
\nthe International Maritime Organization (IMO) as a transit port
\nfor passing ships to stop before entering Singapore, as well as
\nto provide them with food, water and other supplies.<\/p>\n
The transit port will be developed by PT Maxteer Dyrynusa
\nPerdana, a joint venture between PT Pelabuhan Indonesia I and the
\nNavy's western fleet.<\/p>\n
Aburizal said the government would also set up a cargo-
\nhandling industry at Batam's Hang Nadim International Airport, in
\nline with its plan to transform the island into an integrated
\nsea- and air-based cargo services hub.<\/p>\n
\"The airport has potential for such an industry, as it has the
\nbest facilities in the country as well as the longest airstrip,\"
\nhe said.<\/p>\n
Concerning Batam's Free Trade Zone (FTZ) status, Mari said the
\ngovernment would continue implementing its Bonded Zone Plus
\nconcept, including toward Batam's Rempang and Galang islands.<\/p>\n
\"The islands are suitable for development into industrial
\nareas under the scheme, as they are inhabited, so it will not
\ncause problems with Batam's FTZ status,\" she said.<\/p>\n
The government has upgraded the status of the Batam Industrial
\nBonded Zone, Bintan Industrial Estate and Karimun Industrial
\nEstate through a governmental regulation and three ministerial
\ndecrees known as the July Package.<\/p>\n
The package allows manufacturers in the areas to import used
\ncapital goods for industrial purposes without official permits
\nand surveyor inspections, as long as they are an inseparable part
\nof relocating businesses to the zones.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/govt-sets-up-team-to-boost-cargo-handling-in-batam-1447893297",
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"sponsor": "Okusi Associates",
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