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15 February 2020

Port of Batam Container Still In Shadow of Singapore

Batam - Port of Batu Ampar was targeted to become a modern port to increase the industrial and create new markets.
President Director of PT Pelindo II Persero, Elvyn G. Masassya, revealed that it’s a job vision that had been designed by a consortium of PT Pelindo II, PT Pelindo I, and PT Persero Batam.

For the first step, the capacity of the port will be increased to 800 thousands TEUs and will be keeping up to 2 million TEUs on then next step.

"We need a time at least 4 years to finish it, but for the first step, we will design up to the end of this year and you can dun me on the end of 2020,” said Elvyn.

The position of port Batuampar was strategical as a port in Selat Malaka. The increase of port will always be implemented.

So, it could be expected to reduce the cost of shipping goods in Batam through a port and to increase the capacity.

Elvin Said, the efforts to make Batam as a logistics center and it could be compete with Singapore 
 
“The increasing a standard and the capacity in port of Batu Ampar, it makes us (Batam) equal with Singapore and Batam will not depends on Singapore.  .

One of effort to compete with Singapore is to create a competitive costs in loading and unloading. Elvin also reveals to make a good productivity, the port always refers to reduction costs and  operational indicator.

Currently, the loading and unloading process at Batu Ampar Port is  3-4 days. The using the cranes as a logistics equipment that will expected to be faster, and 20 hours is the most a long time.

"We have already cranes. It uses per hour, so 25 boxes per hour. Previously, 25 boxes might take in 2 days," he said.

Then, the real in time or operational period is also a important thing. There is a financial indicators where the number of container boxes must be higher and the capacity must be increased. So, the income will be going up.

"Right now, all of transshipment is in Singapore. As we know, there is a queue for the ship. The queue  is 30 million a year.  For example, so, if we go to  the restaurant that has a long queue, surely we would prefer to go to the next restaurant that hasn’t long, right?" Evelyn said

Therefore, the development of the pier will be more deepened to 12 meters under sea level. And the area of container stacking will be expanded from 2 hectares to 12 hectares. So, that large ships can lean and make a deliver directly.

"How it can move, of course, the construction and service must be good. Secondly, we know Batam is a manufacturers have manufacturing place, industry and so on. But right now, we still calculate how to compete. But as a BUMN, the financial capital that we invest must be back, "Elvyn explained.

Internal problems

Sjahril Japarin, a member of the Concession Division, BP  Batam, revealed that their revenue from loading and unloading ports was not good. In 2019 BP Batam's income was only Rp 50 billion per year so the increasing of the port must be surely implemented. 

"This project is not to kill the revenue sector from Singapore. So, actually, they have no problem, because we only want to take back our rights. But, the problem instead comes from Internal," said Sjahril.

On the other hand, Sjahril refused to explain about his further statement regarding about the inter polemic.

(das)