Jakarta: Hatta Rajasa, the coordinating minister for the economy, has laid out government plans to slash the cost of logistics in the nation.
The aim is to cut the average logistics portion of the cost of goods in the country from the current 14.8% to 10%. The Indonesian Logistics Association reckons the government figures are incorrect suggesting logistics costs are around 20% Infrastructure build up is deemed crucial including expansion of Jakarta’s Tanjung Priok Port and Surabaya’s Tanjung Perak Port, as well as the development of ports in Sorong, West Papua, and Bitung, North Sulawesi.
“These are all concrete steps that we’re taking to cut logistics costs in a bid to become more competitive,” Hatta said yesterday.
“This is a huge opportunity, and for that we need to develop greater connectivity. As a big country, Indonesia should become an industrial hub, not just a market, so the key lies with how we develop our human resources,” Hatta said. [14/05/13]
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