Local Integration and Global Connectivity
Locally Integrated
Globally Connected
Final Notes
Indonesia has a very strategic position in global and regional shipping network. It has a direct
access to the world's largest market since it is passed by one of the most SLOC, i.e. The
Malaccan Strait and 3 SLOCS in Indonesia.
There are two main problems in port development in Indonesia. First, Indonesia's main ports
are facing overcapacity which causes inefficiencies. Second, Indonesia also does not have.
trans-shipment port capable of accomodating large trans-oceanic vessels. Huge investment
is therefore needed, as well as to strengthen the existing 32 strategic ports which are in poor
condition at the moment.
Indonesia still needs to strengthen its shipping because Indonesian-flagged vessels are
typically older that vessels operated by foreign shipping companies..
Government of Indonesia is currently implementing Master Plan for the Acceleration and
Expansion of Indonesia's Economic Development (MP3EI) to strengthen national connectivity
that considers regional and global geostrategic position.
In addition to strengthening national connectivity through MP3EI, Government of Indonesia is
in the process of developing ASEAN RO-RO Shipping network in coordination with Malaysia.
and Phillipines to strengthen inter-island connectivity in ASEAN.
Indonesia can benefit from its strategic cooperation with Australia, as well as New Zealand,
and other Southwest Pacific islands states.
Government of Indonesia is committed to maintain the momentum of investment friendly
environment and is exploring all options in encouraging investment in infrastructure,
especially port development as backbone of national economic development corridorView entire presentation