JAKARTA - President Joko Widodo (Jokowi) said the merger of Pelindo I, II, III, and IV would reduce logistics costs in the country. Because, currently, logistics costs in Indonesia are still high, even far behind compared to neighboring countries.
"We know that our country's logistics costs compared to our neighboring countries are still far behind, we are behind. Their logistics costs are only 12 percent or less, we are still 23 percent. This means that there are inefficient in our country," he said at the Inauguration of the Merger of Pelindo and Terminal Multifunction Wae Kelambu, quoted from the Setpres YouTube, Thursday, October 14.
As is known, Indonesia's logistics costs, which are at the level of 23.5 percent, are different from Malaysia, which only reaches 13 percent of the GDP of the local country. Meanwhile, the amount of logistics costs greatly affects the ease of doing business index which has been the concern of potential investors to invest in a country.
Therefore, Jokowi said the construction of various infrastructures carried out by the government was aimed at reducing logistics costs. In this way, Indonesia's competitiveness will increase.
"This means that our competitiveness, our competitiveness will be better," he said.
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