Therefore, Pelindo IV will be given capital injection."
Makassar (ANTARA News) - President Joko Widodo (Jokowi) has emphasized on the importance of developing sea connectivity among the islands of the country to develop the economy and all other sectors.

"We must focus on the sea because two-thirds of Indonesian territory is the sea. In view of that, connectivity among islands is important," he said while inaugurating the development of the Makassar New Port here on Friday.

He added, "The cheapest (transport) service is by ship, and with regard to sea connectivity, the development of a sea toll road will play a crucial role in ensuring good competition and cheaper costs."

The president stated that with good connectivity, the cost of distribution of goods will also drop.

"This is what we will continue to stress on so costs will be equal, after which transportation costs will be cheaper and logistics costs will also reduce," he remarked.

Moreover, the government has decided to give funding to port operating company PT Pelindo in the eastern region, the head of state revealed.

"Projects in the eastern region must be given capital injection because they will not proceed unless they receive funding. Therefore, Pelindo IV will be given capital injection. I am confident that in three to four years time, all prices in the country will decline and competitiveness of our industrial products will increase," he affirmed.

In addition, Director of PT Pelindo IV Mulyono said that the development of the Makassar New Port is part of efforts to develop the quality of sea transportation in the eastern Indonesian region.

He added that they have also developed and revitalized the Angin Mamiri passenger terminal to provide better services to commuters.

PT Pelindo IV will develop a 1,000-meter-long pier with a capacity of 1.5 million TEUs in the first stage.

In the second stage, another 1,000-meter-long pier will be built with a capacity of 1.2 million TEUs.

The existing capacity of the Makassar Port is only 550,000 to 700,000 TEUs a year.

According to the plan, the Makassar Port covering an area of 250 hectares will be integrated with a cargo railway system project in Southeast Sulawesi to further ease the distribution of goods.

Furthermore, the development of the Makassar New Port was financed by state-owned Bank Mandiri.

The Rp3 trillion investment loan for the project from the bank for six to seven months will also be used to finance maintenance, the development of port facilities and modernization of loading and uploading systems in various working areas of PT Pelindo IV.

(Reporting by Panca Hari Prabowo/Uu.H-YH/INE/KR-BSR/A014)

Editor: Priyambodo RH
Copyright © ANTARA 2015