Indonesia is expected to benefit from the rise in global container shipping traffic, but the country’s infrastructure will need to catch up, according to Maersk Line. “There’s obviously plenty of room for greater growth in Indonesia, if it can be supported by more foreign direct investment. The economy is relatively
Indonesia is expected to benefit from the rise in global container shipping traffic, but the country's infrastructure will need to catch up, according to Maersk Line.
“There's obviously plenty of room for greater growth in Indonesia, if it can be supported by more foreign direct investment. The economy is relatively stable and there has been no major disruption to business. Overall the outlook for Indonesia over the medium to long term remains positive,” said Jakob Frils Sorensen, president director, Maersk Line Indonesia.
Infrastructure development remains the key to the country's continued growth. Plans are underfoot to build a new integrated port and industrial estate in Surabaya as well as a new container port in Jakarta to help ease the congestion at Tanjung Priok, Indonesia's main port.
“The new port will enable shipping lines to do direct calls at Jakarta, so customers in Indonesia can benefit from faster transit times and reduced logistics costs. This however needs to be supported by better inter-coastal connectivity so Jakarta can act as a main transshipment port, and offer more competitive costs to shipping lines,” Sorensen said.
“With better infrastructure you will see more investments. The cycle needs to be reignited and the Indonesian government can focus on this to drive future trade growth.”