Indonesian Political, Business & Finance News

Indonesia Needs Strong Strategy to Attract Maritime Industry Investment, Says Deputy Minister

| Source: GALERT
Deputy Minister of Investment and Downstreaming/Vice Chairman of the Investment Coordinating Board (BKPM) Todotua Pasaribu has revealed that Indonesia requires a robust strategy to attract investment in the maritime industry sector.

"What we are currently discussing is how we can manage our logistics and supply chains, because this is extremely important," said Todotua at the Indonesia Maritime Week 2025 event at JCC Senayan, Jakarta, on Monday (26/5/2025).

He explained that maritime sector investment realisation reached Rp 136.3 trillion during the first quarter of 2025, contributing 29.3 per cent of total investment realisation.

"Based on Q1-2025, investment realisation reached Rp 460 trillion, and the maritime industry sector accounted for Rp 136 trillion of that," he said.

Todotua noted that interest in investing in Indonesia's maritime industry is very high, with two Chinese provinces expressing interest in investing and building an integrated upstream-to-downstream ecosystem worth between US$100 million and US$1 billion.

Furthermore, Australia's position in international trade is largely dependent on Indonesia's Archipelagic Sea Lane (ALKI) II, with Australian companies ready to invest in maritime industry development.

"We know that 60 per cent of Australia's trade passes through ALKI II, and since ALKI II runs through approximately 30-40 per cent of our territory, this is the strategy we are discussing with Australia," he explained.

ALKI II is the sea lane for shipping from the Sulawesi Sea, crossing the Makassar Strait, Flores Sea, and Lombok Strait to the Indian Ocean, and vice versa.
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