Indonesian Political, Business & Finance News

Government Launches New Palembang Port Project in Banyuasin

| | Source: KOMPAS Translated from Indonesian | Infrastructure
Government Launches New Palembang Port Project in Banyuasin
Image: KOMPAS

The government has launched the construction of the New Palembang Port in Tanjung Carat, Banyuasin Regency, South Sumatra. The project was introduced by Transport Minister Dudy Purwagandhi on Thursday (9/4/2026).

This launch marks the readiness for building a new port in southern Sumatra. The project forms part of efforts to strengthen connectivity and the national logistics system.

“Today, we are entering a new threshold in the form of the Project Launching for the New Palembang Port in Tanjung Carat. This project holds an important position in the grand agenda of national development, particularly in improving logistics efficiency and Indonesia’s economic competitiveness on a global level,” said Dudy in an official statement.

“Indeed, South Sumatra Province is one of the key nodes of the national economy with vast natural resource wealth, such as coal, palm oil, and rubber,” Dudy continued.

These potentials require reliable logistics infrastructure support. The port’s development is directed towards smoothing distribution and increasing added value.

Currently, logistics services still rely on Boom Baru Port. The capacity of that port is deemed insufficient.

“These limitations include land capacity and navigation channel depth that are no longer adequate for large ships,” said Dudy.

Traffic of large-tonnage vehicles also causes congestion and accident risks around the port.

“The flow of large-tonnage vehicle traffic to and from the port also causes congestion and potential traffic accidents,” he added.

This project follows the handover of land management rights covering 59.5 hectares from the South Sumatra Provincial Government to the Ministry of Transport.

Plans for grants of Mozaik 5 and Mozaik 6 areas have also been agreed upon as supporting areas for the port.

“Going forward, the development of this port must be monitored together with the principles of on time, right quality, and right benefits,” he said.

“Not only completed physically, but also able to operate optimally, integrated with other transportation networks, and providing real impacts on the smooth flow of goods and regional economic growth,” Dudy stated.

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