Jokowi Asks Shipbuilding Industry to Focus on Production
12 January 2015 11:26 WIB
TEMPO.CO, Surabaya - President Joko Widodo asked the shipbuilding industry in Surabaya, East Java, to focus on production. The request was made in regards to the president's target to boost the shipbuilding industry and strengthen the maritime sector.
In a review visit to PT PAL Indonesia in Surabaya last Saturday the president asked the SOE to focus on its core business. To this date, PT PAL also receives orders to build offshore platforms due to the instability of shipbuilding orders.
Reviewing the condition and the area factory, Jokowi is confident that PT PAL Indonesia as well as PT Dok and Perkapalan Surabaya (DPS) have sufficient capability to develop the maritime industry.
Coordinating Minister for Maritime Indroyono Susilo previously said the government is trying to revive the national shipbuilding industry by providing incentives in the form for value added tax (VAT) refunds. The government, said Indroyono, has also allocated Rp39 billion to facilitate the no import tax policy, including for imported components. "By January 2015 the policy came into effect," said Indroyono.
Based on the Ministry's data, Indonesia currently has 198 shipyards, of which 110 are located in Batam.
ARTIKA RACHMI FARMITA (SURABAYA) | PINGIT ARIA | DEVY ERNIS
