Serang seaport work must start soon: Soeharto

Serang seaport work must start soon: Soeharto

JAKARTA (JP): President Soeharto called yesterday for the
immediate commencement of work on the construction of a
commercial seaport in Serang, West Java, to support the rapid
growth of industrial activity in the province.

"The immediate construction of the seaport in West Java is
vital to facilitate the rapid growth in the province's industrial
activities." the President was quoted as saying by Minister/State
Secretary Moerdiono.

Soeharto made the call during a special meeting with
Moerdiono, Minister of Transportation Haryanto Dhanutirto, State
Minister for Development Planning Ginandjar Kartasasmita, State
Minister of Investment Sanyoto Sastrowardoyo, Minister of Public
Works Radinal Moochtar, Minister of Agriculture Sjarifudin
Baharsjah, Minister of Forestry Djamaludin Suryohadikusumo and
State Minister of Agrarian Affairs Soni Harsono.

Moerdiono said that the planned seaport in Serang was intended
to support the projected rapid growth in exports from industrial
zones to the west of Jakarta, including Tangerang, Serang and
Cilegon, while Tanjung Priok port in Jakarta would serve exports
from industrial zones to the east of the capital, such as Bekasi
and Kerawang.

Exports from those industrial zones are expected to rapidly
grow in the next few years as a result of the massive growth in
foreign and domestic investment in the province.

Last year, foreign investment approvals exceeded US$23
billion, constituting almost half of the total foreign
investments approved during the last Fifth Five Year Development
Plan (Repelita V) period, which ended in March 1994.

Most foreign and domestic investors in Indonesia opt to base
their industrial operations in the industrial zones of West Java,
such as Bekasi, Kerawang, Tangerang, Serang and Cilegon.

Foreign investments are expected to continue growing on the
impact of the government's increasingly open investment policies.
By the end of the first quarter of this year, foreign investment
approvals had already reached $13 billion.

"If a new seaport is not immediately constructed, there will
be, not only massive traffic jams in the capital, but also a
stagnation of export activities," Moerdiono said, referring to
the President's views as expressed during the meeting.

Goh

Moerdiono said the President had discussed the seaport project
with Singaporean Prime Minister Goh Chok Tong during his recent
visit to Jakarta.

He did not say what the Singapore prime minister's response
had been. He did say that the President had instructed the
minister of transportation to immediately study the planned
seaport project.

Minister Radinal was also asked during the meeting to improve
the condition of the roads linking the capital with nearby
industrial zones and the planned seaport.

The seaport in Serang is one of the projects worth $2.01
billion being proposed by PT Pelabuhan Indonesia, the state-owned
firm which manages and operates seaports in the western part of
the country, for construction during the current five year
development plan (Repelita VI).

Amir Harbani, the company's president, told the House of
Representatives in a recent hearing that the construction of the
Serang port, which will be located in the Bojanegara district,
was likely to cost $500 million.

The other projects planned include an expansion of the Tanjung
Priok port and the reclamation of a 500-hectare strip of
coastline along Jakarta's north coast.

During yesterday's meeting, the President also instructed the
cabinet ministers to seek an immediate solution to the growing
need for clean water in the capital and its surroundings. (hen)