State port operator PT Pelindo II will spend up to US$342 million in capital expenditures to boost the capacity of container terminals at the company's Tanjung Priok Port in North Jakarta, Cargonewsasia reports.
Tanjung Priok Port general manager Cipto Pramono said that his company would allocate around $310.26 milllion of the total expenditures to purchase 47 units of heavy equipment, such as cranes, to support faster loading and unloading activities, reported the Jakarta Post.
"With the new equipment we can speed up our loading and unloading capacity by two to three times and cut a ship's waiting time by 60 percent," he said.
According to Pelindo data, Tanjung Priok Port, which has three container terminals – Terminal I and II of Jakarta International Container Terminal (JICT) and Koja Container Terminal – can load nine to 10 containers an hour, while ships in the port have to wait at least four days to load or unload their containers.
The Indonesian Logistics Association (ALI) recently said that the logistical costs in Indonesia were among the highest in ASEAN at around 25 to 30 percent of the nation's gross domestic product (GDP).
The survey of World Bank's Logistics Performance Index (LPI) for 2010 also placed Indonesia in 75th rank of 155 countries surveyed, below Malaysia (29th), Thailand (35th), the Philippines (44th) and Vietnam (53rd).
The index examined the logistical performance of the countries based on several factors, including Customs clearance efficiency and the period of shipment deliveries, which partly depended on port operation efficiency.
Cipto said that Tanjung Priok terminals would be the priority of its capacity improvement plan because they handled around 65 percent of exports as well as import activities in the country.
According to Pelindo data, the port handled around 4.61 million TEUs in 2010, a 21.31 percent increase from 3.8 million TEUs in 2009.
Cipto said that in anticipation of a surge in the number of containers stored at the port in the future, his company would also spend $13.23 million to expand container piling yards by transforming 13 warehouses into yards. It would also allocate $9.53 million to strengthen the construction of six piers covering a 20 hectare area, he said.
Pelindo II spokesman Hambar Wiyadi said that apart from the expansion plan, his company expected to start the construction of Kalibaru Utara container terminal as part of the long-term development of Tanjung Priok Port. The construction, he said, would take around $2.53 billion in investment.
He said the terminal, which was 3,500 km in length, would be allocated for oil and gas cargoes.
Ambar said his company would also build three container terminals in Palembang, Pontianak and Bengkulu ports with a total investment of $172.36 million next year.
Tanjung Priok Port general manager Cipto Pramono said that his company would allocate around $310.26 milllion of the total expenditures to purchase 47 units of heavy equipment, such as cranes, to support faster loading and unloading activities, reported the Jakarta Post.
"With the new equipment we can speed up our loading and unloading capacity by two to three times and cut a ship's waiting time by 60 percent," he said.
According to Pelindo data, Tanjung Priok Port, which has three container terminals – Terminal I and II of Jakarta International Container Terminal (JICT) and Koja Container Terminal – can load nine to 10 containers an hour, while ships in the port have to wait at least four days to load or unload their containers.
The Indonesian Logistics Association (ALI) recently said that the logistical costs in Indonesia were among the highest in ASEAN at around 25 to 30 percent of the nation's gross domestic product (GDP).
The survey of World Bank's Logistics Performance Index (LPI) for 2010 also placed Indonesia in 75th rank of 155 countries surveyed, below Malaysia (29th), Thailand (35th), the Philippines (44th) and Vietnam (53rd).
The index examined the logistical performance of the countries based on several factors, including Customs clearance efficiency and the period of shipment deliveries, which partly depended on port operation efficiency.
Cipto said that Tanjung Priok terminals would be the priority of its capacity improvement plan because they handled around 65 percent of exports as well as import activities in the country.
According to Pelindo data, the port handled around 4.61 million TEUs in 2010, a 21.31 percent increase from 3.8 million TEUs in 2009.
Cipto said that in anticipation of a surge in the number of containers stored at the port in the future, his company would also spend $13.23 million to expand container piling yards by transforming 13 warehouses into yards. It would also allocate $9.53 million to strengthen the construction of six piers covering a 20 hectare area, he said.
Pelindo II spokesman Hambar Wiyadi said that apart from the expansion plan, his company expected to start the construction of Kalibaru Utara container terminal as part of the long-term development of Tanjung Priok Port. The construction, he said, would take around $2.53 billion in investment.
He said the terminal, which was 3,500 km in length, would be allocated for oil and gas cargoes.
Ambar said his company would also build three container terminals in Palembang, Pontianak and Bengkulu ports with a total investment of $172.36 million next year.