PT Multi Terminal Indonesia and YCH Indonesia Signed Memorandum of Understanding (MoU) to Strengthen the Supply Chain and Logistics Ecosystem in Indonesia with the Smart Growth Connect Initiative.
The MoU was signed by President Director of PT Multi Terminal Indonesia Gunta Prabawa and President Director PT YCH Indonesia Roland Yap. The MoU assignment was witnessed by Singapore Senior Minister of State from the Ministry of Transportation Chee Hong Tat, Indonesian Minister of Transportation Budi Karya Sumadi, Vice Minister I from the Ministry of State-Owned Enterprises (BUMN) Mr. Pahala Nugraha Mansury who replaced Vice Minister II from the Ministry of State-Owned Enterprises Kartiko Wirjoatmodjo, Assistant Deputy for Logistics from the Ministry of State-Owned Enterprises Desty Arlaini, Ambassador of the Republic of Indonesia to the Republic of Singapore Suryo Pratomo, Ambassador of the Republic of Singapore to the Republic of Indonesia Anil Kumar Nayar, Executive Chairman of YCH Group Dr. Robert Yap, President Director of PT Pelabuhan Indonesia (Persero) Arif Suhartono. They were present virtually while senior leaders from both YCH Indonesia and PT MTI attended the physical event in Ciawi-Bogor, Indonesia.
Under the MoU signing, YCH Indonesia, which is part of Singapore’s homegrown logistics giant, YCH Group, together with PT MTI, which is a subsidiary of PT Pelindo Solusi Logistik which is a subholding of PT Pelabuhan Indonesia (Persero), Indonesia’s state-owned enterprise, will look at developing a Smart Growth Centre, which is envisioned to be a crucial supply chain multi-modal infrastructure to support the rapid growth within Jakarta and the hinterland.
Additionally, this partnership will also aim to explore the establishment of the business model of the Smart Growth Connect initiative with YCH Group’s iconic supply chain facility in Singapore, Supply Chain City, serving as its Centre of Excellence.
This collaboration will also serve as a platform to synergise and present new collaboration opportunities for supply chain and logistics players to expand their operations within Indonesia and will be the third ASEAN-BAC’s Smart Growth Connect initiative after the successful kick-off projects in Hanoi, Vietnam and Phnom Penh, Cambodia.
“We hope that this collaboration will have a positive impact on both parties, and the cooperation of both YCH Group and Multi Terminal Indonesia will continue to be a fruitful relationship. We also hope that both parties committed to every process within this agreement in order to strengthen the existence of our companies in global competition. The collaboration between YCH and PTI MTI will serve as a stepping stone to spurring Indonesia’s digital transformation towards greater advancement to remain competitive in the new normal. Finally, on behalf of the Indonesian Ministry of SOE, we would like to thank you for this opportunity, after this Head of Agreement, we need to do these following steps in order to ensure the success of our collaboration, which are, Carrying out Due Diligence to develop Logistic Park, Generating a sound business model, Formulation of investment procedures, Preparation of construction planning, and Development and monitoring of construction processes. All of which hopefully will be carried out in a sustainable manner and for the benefit of both parties,” said Mr. Pahala Nugraha Mansury, Indonesian Vice Minister I of State-Owned Enterprises.
The Smart Growth Connect initiative also aligns with the goals of the ASEAN Smart Logistics Network (ASLN) which was launched last year at the 37th ASEAN Summit in Hanoi. Acting as a collaborative platform with a shared goal of smart and sustainable growth based on smart logistics infrastructure, the ASLN aims at supporting the ASEAN Connectivity Master Plan 2025.
“This MOU reflects Singapore’s and Indonesia’s strong commitment towards open and fair economic cooperation. It presents an opportunity to support greater collaboration between logistics firms, academic institutions, and the ASEAN Member States, bringing us one step closer to a connected and integrated ASEAN that promotes competitiveness and inclusiveness,” said Mr. Chee Hong Tat, Singapore Senior Minister of State.
“The Smart Growth Centre as supply chain multimodal infrastructure will support the connectivity between Port to Logistics and Hinterland area which will give benefits for logistics ecosystem as well as customers. The Smart Growth Centre will also support the development of technology for being the enabler of warehousing and other related logistics operation. The technology can enhance Indonesia’s supply chain, making it more flexible, cost-effective and responsive. It will promote scalability, efficiencies, and seamless movement of goods to support supply chain and, ultimately raise supply chain excellence in the longer term. This is also a good opportunity for us to convey that IPC Corporate University will be the Academic Institution supporting this project,” said Mr. Arif Suhartono, President Director of PT Pelabuhan Indonesia (Persero).
“Today’s global supply chain is becoming more demanding as there is growing need to optimise its complexities and to satisfy the escalating the expectations of customers. With the pandemic challenging the resiliency of the global supply chains in unprecedented and unanticipated ways, we can build up a strategic foresight by leveraging innovative technology that provide greater reliability, flexibility and accuracy in managing operations. Multi-modal logistics hubs brought by the Smart Growth Connect initiative will be a crucial factor for improving supply chain and logistics connectivity in ASEAN. And this is where YCH with our deep-rooted understanding of the ASEAN market and in-depth presence, we can strive to empower our customers and partners in achieving a comprehensive footprint and a seamless global connectivity all around the ASEAN region and beyond,” said Dr. Robert Yap, Executive Chairman of YCH Group.
“We have made a come true the program vision from President of Republic of Indonesia and President of Republic of Singapore to have a center of heart logistic.” Said Budi Karya Sumadi, Indonesia Minister Of Transportation