Indonesian Political, Business & Finance News

Batu Ampar Container Terminal Modernisation Cuts Batam Export Logistics Costs

| Source: ANTARA_ID Translated from Indonesian | Infrastructure
Batu Ampar Container Terminal Modernisation Cuts Batam Export Logistics Costs
Image: ANTARA_ID

The Batam Concession Agency (BP Batam) has assessed that the Batu Ampar Container Terminal (TPK) is capable of reducing Batam-Shanghai export logistics costs by up to 300 US dollars per container through infrastructure modernisation and strengthened operational systems. BP Batam Deputy for Concession Affairs Denny Tondano affirmed that the reorganisation of TPK Batu Ampar is part of the BP Batam leadership’s strategic plan to build a competitive logistics ecosystem in Southeast Asia. “The development of TPK Batu Ampar will continue to be accelerated as a commitment to realising a modern and efficient logistics system, while enhancing Batam’s competitiveness as a free trade zone, industrial area, and prime investment destination,” Denny stated in an official release received in Batam on Tuesday. This modernisation project is supported by an investment injection of approximately 85 million US dollars, allocated specifically for updating loading and unloading equipment, expanding the container stacking yard, increasing terminal capacity, and digitalising port services to create efficient operations. He noted that the expansion of the direct shipping network brings tangible economic benefits to business operators. “For example, logistics shipping costs for the Batam-Shanghai route can now be reduced to 650-800 US dollars per 20-foot container,” he said. Previously, he explained, the old scheme required using feeder vessels and transshipment via Singapore, with costs reaching 950-1,100 US dollars per container. “This new scheme offers potential shipping cost savings of up to 300 US dollars per container, representing 30-50 per cent efficiency, while simultaneously cutting travel time to just eight days,” he said. The improvement in port service quality is also accompanied by strengthened international shipping connectivity through a direct call scheme. In addition to physical improvements, the TPK Batu Ampar management is preparing to strengthen system digitalisation through the implementation of Direct Billing. This real-time payment system will be fully enforced once all service users are ready. Through this system, service users can pay terminal service charges directly to the operator without third-party intermediaries. This measure is designed to cut bureaucracy, increase transparency, accelerate administrative processes, and contribute to reducing container dwelling time. BP Batam Director of Port Management and Concession Benny Syahroni stated that these positive indicators show the TPK Batu Ampar development roadmap is on the right track. “Going forward, BP Batam is committed to increasing the terminal’s capacity to respond to global cargo flow growth and strengthen Batam’s position as a regional logistics hub,” he said. PT Batam Terminal Peti Kemas Director Capt. Basori Alwi confirmed his commitment, together with Batu Ampar Container Terminal (BACT), to maintaining port productivity sustainability through consistent adoption of digital technology. The next strategic agenda includes continuing terminal expansion, dredging the port basin to accommodate larger vessels with deeper drafts, and fully integrating the digital port ecosystem. “BP Batam, together with Batam Terminal Peti Kemas (BTP) and Batu Ampar Container Terminal (BACT), will continue various strategic programmes to support investment growth and the national economy,” Basori stated.

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