Amid The Pandemic: INKA Can Still Export Trains To The Philippines And Bangladesh, Also Get Orders From Congo

Illustration of a train locomotive. (Photo: PT INKA)

JAKARTA - PT Industri Kereta Api (Persero) has succeeded in exporting its products to the Philippines during the COVID-19 pandemic. The Ministry of Industry gave an appreciation for this achievement, because it shows that the products of the national industry are able to be competitive in meeting the needs of the foreign market.

Minister of Industry Agus Gumiwang Kartasasmita said, PT INKA has produced locomotives and passenger trains that have tough and quality performance, and carry a variety of interesting and functional features.

"This advantage is possessed by PT INKA, so that it is in demand and has become a special attraction for foreign customers and has succeeded in entering the export market," he said, in Jakarta, Monday, December 14.

A total of three locomotives and 15 passenger cars produced by PT INKA were sent to the Philippine National Railways (PNR) from Jamrud Pier, Tanjung Perak Port, Surabaya on Saturday, December 12. Also present to represent the Minister of Industry at that time, namely the Director General of the Metal, Machinery, Transportation and Electronics Industry (ILMATE) of the Ministry of Industry, Taufiek Bawazier.

The transportation equipment industry, said Agus, is one of the sectors that gets development priority based on the 2015-2035 National Industrial Development Master Plan (RIPIN).

"The focus of developing the railroad industry until 2035 is the development of electric trains to meet domestic needs and the export market," he said.

Therefore, various strategic policies have been implemented by the government, including those related to the use of domestic products, development of supporting components, enhancing human resource competencies, including in terms of design and engineering development, and providing incentives.

"There are various incentive facilities that can be utilized in the development of the railway industry, including tax holidays, mini tax holidays, tax allowances, exemption from import duties, ease of import for export destinations (KITE), National Interest Account (NIA) facilities, and super tax deduction , "he explained.

Furthermore, Agus said, in realizing the independence of the national railway industry, his party also encouraged the implementation of industry 4.0 to build a manufacturing sector that was globally competitive.

Through the implementation of Industry 4.0, it is hoped that the production process will become more efficient, productivity and competitiveness will increase, and the value of exports will also increase, with the target of Indonesia being able to reach the top 10 of the global economy by 2030.

Meanwhile, the Director General of ILMATE at the Ministry of Industry, Taufiek Bawazier said, the domestic railway industry has currently grown and developed both in terms of technology and business capabilities. So that currently Indonesia has the largest railroad manufacturing industry in Southeast Asia.

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PT INKA has proven various achievements, both on a domestic and international scale. PT INKA made a brilliant performance, for example, the export of 2 Trainset Diesel Multiple Units Trains to the Philippines in December 2019.

Then, the export of 4 Multiple Unit Diesel Trainset Trains to the Philippines in January 2020, the completion of the export contract for 250 Passenger Trains to Bangladesh in September 2020, and gradually completing 31 Jabodebek LRT Trainset owned by PT Kereta Api Indonesia.

Taufiek said, in meeting the needs of domestic and foreign railways, PT INKA has set sustainable development milestones, such as a joint venture with a railway manufacturer from Switzerland, Stadler Rail. This cooperation has resulted in investment in factory construction in Banyuwangi and the development of modern railway technology with a total budget of Rp1.63 trillion.

Next, a joint agreement between PT INKA and TSG Global Holdings of the United States and the Government of the Democratic Republic of the Congo for investment in infrastructure development and development of means of transportation in the DRC country (Congo).

"In addition, PT INKA's commitment to Perusda Bali is supported by the Islamic Development Bank for the development of electric power transportation in the tourist areas of Bali," he explained.

Interesting African Market

On the same occasion, President Director of PT INKA (Persero) Budi Noviantoro said that the shipment of three locomotives and 15 passenger trains was the last export to the Philippines. Prior to that, PT INKA completed the shipment of six diesel railroad trains (KRD).

Budi explained that the six trains that were sent earlier were already operating in Manila. INKA sends a trainset for long-distance passenger trains.

"The export of trains made by the nation's children is not the first time. This year, we have completed the shipment of a number of passenger trains to Bangladesh," said Budi.

Budi said, PT INKA is also targeting to penetrate the market to Africa. This is because the potential for the African market is very large considering that in the near future there will be an African Belt Economy Development (ABED) which connects northern to southern Africa.