Asia

No change of policy in Indonesian cabotage

Jakarta: The Indonesian National Shipowners Association (INSA) is trumpeting the nation’s cabotage rulings that has seen the number of Indonesian flagged vessels double to more than 12,000 since the legislation was introduced eight years ago.

“The number of Indonesian-flagged ships has doubled to over 12,000 ships, which means that this policy has benefited local players and has increased investment in the country’s shipping industry,” INSA chairwoman Carmelita Hartoto told The Jakarta Post.

“This has encouraged old players to expand and new players to enter the industry,” she added.

Hartoto said the government should hold off changing the law. Foreign shipping lines are lobbying the government for access to the archipelago.

The Transportation Ministry’s sea transportation director general, Bobby Mamahit, guaranteed that the ministry would not change its position on cabotage.

“I can assure you that we will not compromise with any party who attempts to loosen the cabotage principles for their benefit,” Bobby said.  [23/09/13]

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