The Ministry of Industry Supports the Development of the Shipyard Industry

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ILLUSTRATION. PT. Afta Tehnik Mandiri completed the Ro-Ro Cargo Ferry Boat 1,395 GT KMP New Rose.

Source: Kontan.co.id
Date: 11 February 2020

KONTAN.CO.ID - JAKARTA. The shipyard industry in the country is considered to have high competitiveness because of its ability to produce quality products. This is inseparable from the expertise of human resources and the use of modern technology.

"The development of the shipyard industry is in line with the government's determination to realize the sea highway, so it is expected to create a more efficient logistics flow, especially for the industrial sector. It can efficiently reduce logistics costs," said Industry Minister Agus Gumiwang Kartasasmita during a working visit at the PT. Afta Tehnik Mandiri, in its official statement on Tuesday (11/2).

The Minister of Industry revealed that the shipyard industry human resources in Indonesia are already competitive with technicians or experts from abroad. This capability, for example, is shown by PT. Afta Tehnik Mandiri which completed the construction of the Ro-Ro Cargo Ferry Boat 1.395 GT "KMP New Rose".

"Of course, we are very proud of this achievement, and we will continue to encourage its competence. In fact, they can make the production costs far cheaper than similar type vessels from imports," he explained.

The completion of the New Rose KMP takes about 1.5 years involving 40 workers. KMP New Rose is designed and built to perfect the needs that did not exist in the company's fleet previously owned. Agus added that his party, along with relevant stakeholders, was always proactive to support the progress of the shipyard industry in the country by issuing strategic programs and policies.

"For example, one that needs attention from the government, one of which is assistance with funding the production process," he said. Because, besides being labour-intensive and technology-intensive, shipyard industry characteristics are also capital intensive. "In building ships, they require enormous costs, while the bank cannot guarantee the project. Per the mandate of the Industrial Law, the government needs to make the financial institution itself, "he explained.

Also, another policy that will continue to be driven for the development of the shipyard industry is the provision of fiscal incentives. "This policy is considered important because it can provide flexibility in the shipbuilding industry in increasing the ability and competitiveness," he added.

The Ministry of Industry noted that the national shipping industry had made some progress, including increasing the number of shipyards to more than 250 companies with a production capacity of around 1 million DWT per year for new buildings and up to 12 million DWT per year for ship repairs.

In the future, we hope that the production capacity for new buildings and ship repairs can continue to be increased, said the Minister of Industry. Moreover, the shipping industry or shipyard is one of the strategic sectors and has a vital role in the national economy. In addition, to realize the vision of Indonesia as the world's maritime axis.

"Therefore, the government continues to encourage the growth of the shipyard industry in the country to meet the needs in the domestic market, even able to fill the export market," said Agus. Therefore, a conducive investment climate is an absolute requirement that is the concern of the government so that the operational sustainability and productivity of the shipping industry sector can be optimized.


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