Ministry of Investment/BKPM Pushes Development of Tanjung Carat Port for National Logistics Efficiency
The Ministry of Investment and Downstreaming/BKPM is vigorously promoting the development of the New Palembang Port at Tanjung Carat, Banyuasin Regency, South Sumatra. This strategic initiative aims to significantly improve national logistics efficiency. The project is expected to provide a concrete solution to infrastructure challenges in the region.
Deputy Minister of Investment and Downstreaming/Deputy Head of BKPM, Todotua Pasaribu, stated that this project is part of the government’s strategy. The strategy focuses on strengthening integrated logistics infrastructure connected to industrial zones and transportation networks. The project launch took place on Thursday (9 April 2026), reaffirming the government’s commitment.
The Tanjung Carat Port will not only serve as basic infrastructure but also address logistics efficiency issues. Particularly in South Sumatra, which is rich in natural resources but has not optimally utilised them. This development is key to enhancing trade capacity and regional competitiveness.
Strengthening Logistics Efficiency and National Competitiveness
Deputy Minister of Investment/Deputy Head of BKPM, Todotua Pasaribu, emphasised that the main problem is not the abundance of resources. Rather, it lies in the ability to commercialise them and improve existing logistics efficiency. The Tanjung Carat Port emerges as an answer to boost trade capacity and Indonesia’s overall competitiveness.
South Sumatra possesses vast natural resources, including coal, oil and gas, as well as plantation commodities. However, this potential has not been fully optimised due to limitations in efficient logistics infrastructure. Adequate infrastructure is the primary key to increasing the value added from these resources.
Todotua added that without strong competitiveness, the wealth of natural resources will not mean much for public welfare. Ultimately, the impact of this inefficiency will be borne by the public at large. Therefore, infrastructure development such as the Tanjung Carat Port is vital for economic progress.
Integrated Port and Downstreaming Industrial Special Economic Zone
As an integrated port, the Tanjung Carat Port is designed to connect with various important supporting infrastructures. This includes toll roads, railway lines, and industrial zones within a single development cluster. This integrated concept will ensure smooth flow of goods and services from upstream to downstream.
The area around the Tanjung Carat Port has also been proposed as a Special Economic Zone (SEZ) based on industrial downstreaming. Designation as an SEZ is expected to attract more investments. The goal is to optimise local natural resource potential through further processing.
Todotua Pasaribu explained that this consolidation is part of a larger national strategic project. He revealed that the Tanjung Carat Port is planned to become an SEZ for downstreaming industries, making it the first with such a focus. This demonstrates the government’s commitment to economic transformation.
Investment Potential and Full Government Support
Investment realisation in South Sumatra in 2025 reached Rp62.66 trillion, dominated by the manufacturing sector, particularly paper and printing, as well as mining and energy. This figure indicates a sustainable economic transformation towards higher value-added industries. This transformation requires support from an efficient logistics system.
Todotua emphasised that the investment potential in South Sumatra is already very significant. However, that potential must be supported by efficient infrastructure to maximise value added. This also aims to sustainably enhance the competitiveness of local products in the global market.
The central government has expressed full commitment to supporting the Tanjung Carat Port project. This support includes accelerating land acquisition and integration of necessary supporting infrastructure. “All support is already available,” said Todotua, “If we do not move quickly, we will lose the momentum.”
The success of this project now depends heavily on collective commitment to carry out the development. Collaboration between the central government, local government, and related parties is the key. This ensures that the Tanjung Carat Port can soon operate and provide positive impacts on the national economy.