Quick action needed to head off SEZ competition

These included overlapping permits and regulations issued by the local and central governments, inadequate infrastructure in Bintan and Karimun, bureaucratic delays, lack of security, rampant piracy, harassment by officials, land-rights issues, lack of business incentives and labor problems.

"The labor issue is at the top of the list. As we have seen, it is the main reason why a number of factories have closed down in Batam."