The More Shipping Shipping Sub-dept., RI Flooded 363 Orders This Year

Illustration (Photo: Doc. Presidential Secretariat)

JAKARTA The existence of the domestic shipping industry is increasingly contributing significantly to the national economy.

Minister of Industry (Menperin) Agus Gumiwang Kartasasmita said the strategic role of the shipping industry can be seen from its characteristics as one of the labor-intensive, capital-intensive, and technologically dense sectors.

"In addition, the shipping industry sector has a long background linkage and forward linkage," he said when meeting maritime sector business actors, quoted Friday, October 7.

According to the Minister of Industry, based on the calculation of input-output in 2021, the transaction of goods and services in the ship sector and its repair services reached IDR 27.65 trillion.

"Currently, Indonesia has more than 250 shipyards spread from Sabang to Merauke, and 127 supporting industries that produce raw materials and components according to marine use standards.

"Indonesian ships have experience in building various types of ships, ranging from passenger ships, cargo ships, to special destination ships with the largest gratification dock facilities, namely 300,000 Dead Weight Tonnage (DWT)," he said.

To note, during the 2019-2021 period, there were 473 domestically built ships with the largest proportion being tackles (274 units) and tugs (100 units).

"Then for January-August 2022, there have been 363 requests for the construction of new ships at the shipyard in the country," he said.

The Minister of Industry assessed that this figure shows that ship owners or shipowners, both from ministries and institutions, SOEs, and the private sector, trust domestic shipyards more.

However, as an effort to develop a globally competitive domestic shipping industry, it is necessary to reduce raw materials and imported components, competitive financing support, as well as efficient shipbuilding procedures and stages.

"In order to increase competitiveness, we have issued Minister of Industry Regulation Number 19 of 2020 concerning the Utilization of Special Schemes for the Provision of Goods and Materials for Shipyard Industry Companies," he said.

"Through this policy, shipbuilding industry companies that build new ships can take advantage of 0 percent of import duty facilities for raw materials and ship components listed in Chapter 98 of the Indonesian Customs Tariff Book (BTKI)," concluded Minister of Industry Agus Gumiwang.