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Indonesia revokes new cabotage rules

Indonesia’s government will revoke cabotage rules due to come into force in May, Reuters reports citing comments from the country’s coordinating minister for maritime and investment affairs, Luhut Pandjaitan.

The new law stated that certain commodities can only be transported for import or export by national maritime transport companies. The commodities that were set to be affected were coal, crude palm oil, rice and goods for government procurement.

The government has since concluded that the rule would be disruptive for exports and President Joko Widodo has ordered it to be revoked, Pandjaitan said.

Indonesia had come under fire over the ruling from various shipping entities including the European Community Shipowners’ Association and the International Chamber of Shipping.

Grant Rowles

Grant spent nine years at Informa Group based in London, Sydney, Hong Kong and Singapore. He gained strong management experience in publishing, conferences and awards schemes in the shipping and legal areas, working on a number of titles including Lloyd's List. In 2009 Grant joined Seatrade responsible for the commercial development of Seatrade’s Asia products. In 2012, with Sam Chambers, he co-founded Asia Shipping Media.
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