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Friday, 21 June 2019 11:50

President Asked to Promote Maritime Trilogy

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President Joko Widodo (Jokowi) was asked to promote the ideas of the maritime trilogy, including port standardization, shipping alliances, and industries that are easily accessible via ports.

"The government needs to be more active in encouraging synergies and collaborations between the three elements, and promoting the concept of maritime trilogy, namely port standardization, shipping alliances, and industries that are easily accessible via ports," a maritime expert from Surabaya Institute Technology (ITS), Saut Gurning said in Jakarta on Thursday.

According to Saut, participation and encouragement in terms of government budget and finance need to be maximized.

For non-commercial service, government should provide capital costs for dock infrastructures, loading and unloading equipment and human resources development.

"In the future, efforts to stimulate regional funding through local administration-owned enterprises and local banks are needed to explore interests by providing direct benefits for the development of port services," Saut said.

The idea of the maritime trilogy will also reduce national logistics costs, allowing for more competition with neighboring countries.

"Actually, there is nothing new about the three parameters. However, because these three factors become one proposal package, the three proposed variables, namely, standardization including port performance and facilities, shipping collbaoration, and accessibility for industrial estates, are interesting," he said.

According to Saut, port standardization has been initiated by the government, particularly in relation to the performance of port operations.

Regarding shipping collaboration, there are many docks and terminals has been operating under shipping companies, known as "dedicated" terminals.

Saut said he was optimistic that the maritime trilogy would at least provide triple effects, namely for the port itself, the shipping and industry, as well as economic activities to the people living near the ports.

Even so, he said, the application of maritime trilogy was facing several challenges, one of which was because some port operators tend to focus only on the interests of their entity.

"I think, efforts to collaborate among  port operators, including stevedoring services and shipping, should be established by various state-owned enterprises and private businesses, as well as local administration-owned enterprises," he explained.

Some shipping industry players positively welcomed the idea of the maritime trilogy. Corporate Secretary of the National Shipping Company (PT Pelni) Yahya Kuncoro said the implementation of the maritime trilogy would also provide great benefits for the company.

"As a shipping company, we have an interest in providing service faster and faster. Of course, collaboration among the three parties would impact on reducing operational costs," he said. (ant)

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