Indonesian Political, Business & Finance News

BP Batam Evaluates Logistics Costs for Container Services

| Source: ANTARA_ID Translated from Indonesian | Economy
BP Batam Evaluates Logistics Costs for Container Services
Image: ANTARA_ID

Batam (ANTARA) - The Batam Concession Agency (BP Batam) in the Riau Islands is conducting a comprehensive evaluation of the logistics cost structure at the Batu Ampar Container Terminal as part of efforts to maintain supply chain efficiency and strengthen the region’s competitiveness.

Anggota/Deputy for Concession Affairs at BP Batam, Denny Tondano, stated that the evaluation aims to ensure every port policy enhances service quality without undermining business competitiveness.

“This evaluation is being carried out to ensure that every policy truly benefits service users, improves service quality, and strengthens Batam’s competitiveness,” he said in an official statement received in Batam on Friday.

As part of this process, the implementation of adjusted container service tariffs at the Batu Ampar Container Terminal has been postponed until 31 August 2026. For service users who have already paid based on the new tariff, BP Batam will refund the difference.

This decision resulted from dialogue with business associations, terminal operators, logistics players, service users, and various other stakeholders. For context, BP Batam had previously issued Head of BP Batam Regulation Number 4 of 2026, which regulated the tariff adjustment, including an increase in the Container Handling Charge for foreign containers, such as a 20-foot container set at USD 87 per box.

Denny noted, however, that the transformation of the Batu Ampar Container Terminal has been carried out through facility modernisation, increased operational productivity, and expanded international shipping connectivity. These efforts are reflected in the terminal’s container throughput volume, which reached 222,131 twenty-foot equivalent units (TEUs) in the January-May 2026 period, representing 16 per cent growth, with loading and unloading productivity reaching 40 boxes per hour.

“The results of discussions with business players show that the service tariff at the BP Batam-managed Batu Ampar Container Terminal only contributes around 18 per cent to the total Batam-Singapore logistics costs,” he said. The remaining logistics costs originate from feeder and transshipment components.

Therefore, BP Batam will continue to strengthen dialogue with logistics players to openly examine the relationship between service standards, operational productivity, infrastructure investment, and logistics cost structures as a basis for future policy improvements.

“Our future target is to deliver more modern port services and increase investor confidence. For this reason, we will formulate every policy openly, based on data, and through dialogue with the business community,” Denny concluded.

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