Kuala Tanjung strengthen its position in Malacca Strait through cooperation with Europe and Asia's biggest Ports

JAKARTA,Indonesia,Nov. 18,2019 -- Kuala Tanjung International Hub Port and Industrial Estate in North Sumatera province,is set to become Indonesia's biggest and most strategic port in the western part of the archipelago. The Indonesian government even has listed the port as one of its National Strategic Program. To complete this mission,PT Pelabuhan Indonesia I (Persero),owner of Kuala Tanjung International Hub Port and Industrial Estate,signed a Head of Agreement (HoA) with Port of Rotterdam Authority and Zhejiang Provincial Seaport Investment & Operation Group Co.,Ltd.

The first phase of Kuala Tanjung Port,is a multipurpose terminal. At its current phase of development Kuala Tanjung is being operated and ability to serve mother vessel ships.

Port of Rotterdam Authority operates the biggest port in Europe,Port of Rotterdam. While Zhejiang Provincial Seaport Investment & Operation Group Co.,Ltd. operates world's biggest cargo terminal in Ningbo.

"This cooperation is one of the steps we take to increase Kuala Tanjung capability in competing with other major ports along the Malacca Srait," said Dian Rachmawan,President Director of PT Pelabuhan Indonesia I (Persero).

"We are also aiming to accelerate the development of Kuala Tanjung International Hub Port and Industrial Estate through this signing," Dian added.

The signing of the HoA was carried out by President Director of PT Pelabuhan Indonesia I (Persero),Dian Rachmawan,Director of PT Pelabuhan Rotterdam Indonesia André G.F. Toet representing the Port of Rotterdam Authority,and Director of Zhejiang Provincial Seaport Investment & Operation Group Co.,Ltd. Gong Liming.

The HoA signing ceremony was also witnessed by Director-General of Sea Transportation of the Ministry of Transportation Agus H. Purnomo who represented Minister of Transportation Budi Karya Sumadi and Deputy Minister of Infrastructure and Regional Development Coordinating Ministry of Economic Affairs of the Republic of Indonesia,Wahyu Utomo. The signing ceremony was held at the Ministry of Transportation office in Jakarta,on Thursday,14 November 2019.

The scope of the HoA covers the development of Kuala Tanjung International Hub Port and Industrial Estate to become a world class Port and Industrial Area. This development includes optimization of Kuala Tanjung Multipurpose Terminal by direct shipping from Kuala Tanjung to Ningbo and vice versa through network owned by Zhejiang Provincial Seaport Investment & Operation Group Co.,Ltd.,and joint workshops to develop new Business Plans and Commercial Terms by including Kuala Tanjung Multipurpose Terminal as part of the whole project.

Meanwhile Director-General of Sea Transportation of the Ministry of Transportation Agus H. Purnomo hopes that with this cooperation,more cargo would enter through Kuala Tanjung and it would accelerate the development of the Kuala Tanjung Industrial Estate. In his statement,Agus expects Port of Kuala Tanjung to reduce logistics costs and increase the logistics competitiveness of Indonesia with other countries in the world. The Transportation Ministry will support and oversee the implementation of the National Priority Program in North Sumatera.

"With the experience owned by the largest ports in Europe and Asia in collaboration with PT Pelabuhan Indonesia I (Persero),it is expected to be able to push the Port of Kuala Tanjung to become a world-class port and to encourage regional and even national economic growth," said Dian.

Kuala Tanjung's economic potential,among others is to generate social eceonomic benefit worth up to US$ 30 billion and open 90,000 jobs.

The first phase of Kuala Tanjung Port is establishing a multipurpose terminal,this was completed in 2018. At its current phase of development Kuala Tanjung is being operated,it has 500 X 60 meter jetty and a 2,8 Km trestle for four track lanes as wide as 18,5 meter,it's equipped with 4 line x 8 inches pipes rack . Kuala Tanjung classifies as a deep sea port with -16 m to -17 Meter LWS depth. This depth allows mother vesssel ship to berth atKuala Tanjung. Ability to serve mother vessel ships is very important as the port is located in Malacca Strait,one of the busiest shipping lane in the world.

The second phase is the development of a 3,400 hectare industrial estate,while the third and fourth phase will be hub port and urban area development.

Profile of PT Pelabuhan Indonesia I (Persero) / Indonesia Port Corporation I

PT Pelabuhan Indonesia I (Persero) or Indonesia Port Corporation I is an Indonesian State-Owned Enterprise specializing in providing port services such as terminal operation,marine services,and logistic services.

We operate 16 branch ports and 5 subsidiaries in 4 provinces (Aceh,North Sumatera,Riau and Riau Island Province) in Sumatera Island across the western part of Indonesia along the Malacca Strait,world's busiest strait.

Our hinterland consists of six main commodities : Palm oil,food products,timber,rubber,chemicals,and mining products with strong presence across the island of Sumatera. Situated in such strategic location and strong hinterland with huge potential in industry and tourism sectors.

We aim to be a major gateway of Indonesia to the global logistics network,by providing port & maritime services that are reliable & integrated with industrial estates to support Indonesia & global logistics networks by maximizing the economic benefits of the Malacca Strait.

Media Contact:

Public Relations and International Relations

Fiona Sari Utami

Public.relations@pelindo1.co.id

(+6261) 41000055

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