BYD and Wuling Among Importers Causing 10,000 Container Backlog at Tanjung Priok
Jakarta - Approximately 10,000 containers have reportedly piled up at Tanjung Priok port in North Jakarta. Director General of Customs and Excise Djaka Budhi Utama has explained the cause of the problem. He clarified that the issue is not due to customs administration processes. Rather, the container backlog is occurring because importing companies are leaving their goods at the port for extended periods. These companies have already completed all administrative procedures at the port. “When containers have been cleared for release, goods still pile up because the operators do not immediately remove them,” Djaka said during a working meeting with Commission XI of the House of Representatives in Jakarta on Monday. Companies are taking advantage of port facilities to avoid moving imported goods out of the port for three days. Some have even left containers for more than two weeks. “For example, BYD and Wuling are still utilising the facility provided by the port for three days after the Goods Release Approval Letter is issued, and even more than two weeks without being moved out. Yesterday there were nearly 10,000 containers at the port,” he stressed. To resolve this, the Directorate General of Customs and Excise has enforced measures to prevent goods from being left to pile up for long periods, as this disrupts dwelling time. Djaka explained that companies keep their goods at the port because it is cheaper than placing them outside the port. Going forward, Customs will encourage companies to place their shipped goods outside the port. “Because of difficulties finding space outside, and remembering the cost is cheaper than outside, they exploit this. We will likely soon push them to the second line, to locations outside the port,” he stated.