JIIPE Gresik Belongs To AKR Corporindo This Soegiarto Adikoesoemo Conglomerate Company Officially Becomes Manufacturing Technology SEZ

Illustration. (Photo: Doc. AKR Corporindo)

JAKARTA - The JIIPE Gresik Special Economic Zone owned by PT AKR Corporindo Tbk (AKRA) and Pelindo III has been officially ratified as a Technology and Manufacturing SEZ through Government Regulation (PP) No. 71 of 2021 dated June 28, 2021, signed by the President of the Republic of Indonesia, Joko Widodo.

The appointment of JIIPE as a Technology & Manufacturing SEZ makes it one of the most competitive Industrial Estates and is in demand by industry players in this region. SEZ Gresik JIIPE is a National Strategic Object for Industry 4.0 which provides superior connectivity with multimodal transportation, connected deep sea ports, 1-door complete utilities, environmental permits with 1-door AMDAL, and fast construction permits through the Klik facility.

SEZ status will provide additional incentives to investors. Among them are fiscal incentives including Income Tax, Customs and Excise. Non-Fiscal incentives include approval of 1-door permits and licenses, ease of traffic of goods, and flexibility in employment.

The combination of JIIPE facilities, strategic location, and SEZ status will encourage the achievement of the government's target to reduce logistics and other operational costs, and make Indonesia an attractive investment destination.

The President Director of AKRA, Haryanto Adikoesoemo, expressed his gratitude to the Government of the Republic of Indonesia, the Government of Gresik Regency and East Java Province as well as various parties who have supported the establishment of the JIIPE SEZ.

"We are grateful and proud to be part of the government's program in increasing industrial competitiveness in Indonesia. With the establishment of the Gresik JIIPE SEZ, we believe we can provide convenience in doing business and help industry players to reduce logistics costs and achieve efficiency, so that Indonesia, especially Java The East can be an attractive investment destination in the eyes of the world," said Haryanto in a written statement, quoted Friday, July 2.

SEZ Gresik JIIPE is the first National Strategic Project in Indonesia that combines a modern industrial area, deep sea port, with high quality infrastructure and an international standard independent city. JIIPE was built with a total area of 3,000 ha which is divided into an industrial area of 1,761 ha, a deep sea port of 400 ha, and a modern residential area of 800 ha.

The availability of utilities needed by industry such as power plants, clean water and waste management, gas supply, telecommunication networks, and multimodal transport makes the Gresik JIIPE SEZ become part of the development of industry 4.0.

Where industry 4.0 puts forward the incorporation of information technology with industry. JIIPE has become a major investment destination in East Java and provides solutions for increasing industrial competitiveness in Indonesia. An environmentally friendly industrial area of 1,761 hectares grouped by type of industry.

Currently, SEZ Gresik JIIPE has 13 tenants from the chemical processing, food, construction, and smelter industries. With the status of the Technology & Manufacturing SEZ, the cluster will be organized with the following settings:

1. Production & Processing

2. Logistics & Distribution

3. Research, Digital Economy, and Technology Development

4. Energy Development

The Gresik JIIPE SEZ is equipped with 400 hectares (ha) of a deep sea port area strategically located in the Madura Strait and part of the Surabaya Port Area. With a total pier length of 6,200 m, seawater depth of 16 m LWS, the Gresik JIIPE SEZ can serve ships up to 150,000 DWT.

This port has been operating since 2015, and is targeted to handle cargo up to 6 million MT per year. Currently the port has entered the 2nd phase of development, in which the Jetty is expanded from 30x250 m to 50x500 m.

JIIPE is designed as a Green Project with zero run off that has complete utility facilities. This facility answers the needs of the industry in generating efficiency, as well as being a source of JIIPE's recurring income.

The location of JIIPE which is connected by sea, Krian Legundi Bunder Manyar Toll Road, and trains provides convenience in the traffic of export and import goods in East Java