Asia

Indonesian logistics costs spiral

 

Jakarta: The latest port fees hike in the country makes Indonesia’s logistics costs among the highest in the region, a local supply chain body has claimed.
 
The Indonesian Logistics Association (ALI) reckons logistics costs in the country will increase by about 3% this year thanks to the decision by ports to raise fees.
 
ALI chairman Zaldy Masita said that logistics costs, which account for 17% of the price of most products at the moment, would rise to 20%. Average logistics costs in Southeast Asia stand at around 10%, Zaldy said.
 
 “This is an irony. Better port services are supposed to help boost efficiencies that will eventually push down logistics costs. It appears that Indonesia lags behind countries in the region in the logistics sector,” Zaldy told The Jakarta Post.   [28/01/13]
 
 
RELATED STORY:  (click on headline to read)

Splash

Splash is Asia Shipping Media’s flagship title offering timely, informed and global news from the maritime industry 24/7.
Back to top button