Shipping sector to be revamped<\/p>\n
JAKARTA (JP): Minister of Finance Mar'ie Muhammad promised
\nlast week to make "structural deregulations" to the shipping
\nsector so it could contribute more to the country's economy.<\/p>\n
Mar'ie suggested that "structural deregulations" aimed at the
\nmost basic aspects in the shipping sector should be made in order
\nto increase the role of the sector's services in the economy.<\/p>\n
"I am confused as to why the shipping sector has continued to
\nburden the economy when in fact the government has provided
\nvarious tax facilities, including the exemption of value-added
\ntax on ship imports. What more tax facilities should we give?<\/p>\n
"Maybe what is needed is structural deregulation," he said,
\nadding that he suspected there were other reasons that curbed the
\nsector's development.<\/p>\n
He acknowledged that after discussing the issue with members
\nof the Indonesian National Shipowners Association, he had an idea
\nof ways the sector could be improved.<\/p>\n
Currently, shipping companies must spend more money each year
\nbecause almost 95 percent of the country's imports are
\ntransported by foreign fleets.<\/p>\n
Mar'ie predicted that national spending for foreign fleet
\nservices in the upcoming 1997\/1998 fiscal year would reach US$5.6
\nbillion.<\/p>\n
From this amount, $5.43 billion would be spent to transport
\nnon-oil and gas commodities, while $158 million and $27 million
\nwould be for transporting oil and gas, respectively.<\/p>\n
Mar'ie said tax exemptions have so far resulted in the
\nimportation of 139 ships during March to December last year.
\n(pwn\/rid)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/shipping-sector-to-be-revamped-1447893297",
"image": ""
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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