State port operator PT Pelabuhan Indonesia (Pelindo) is implementing several strategies to reduce logistics costs, with integrating industrial areas with ports across various regions being a primary focus. Adi Sugiri, Executive General Manager of Pelindo Regional 2 Tanjung Priok, emphasized the importance of this approach.
One of the key initiatives is connecting the major industrial hub of Jabodetabek (Jakarta, Bogor, Depok, Tangerang, and Bekasi) with Tanjung Priok Port. “In Tanjung Priok, we are integrating the Jabodetabek industrial area,” said Adi during the IPEC Seminar on Shipping, Ports, Logistics, and Supply Chain Business Opportunities 2025, held on Wednesday, February 5, 2025.
Adi also shared data from Bappenas, showing a gradual reduction in Indonesia’s logistics costs from 2018 to 2022. The figures—16.4%, 16.3%, 14.3%, 13.4%, and 14.3% of GDP—indicate the country’s ongoing efforts to lower its national logistics burden. These costs are comprised of transportation, inventory, and administrative expenses.
Transportation costs remain the largest contributor to overall logistics costs, though they have slightly decreased from 9.1% to 8.8% between 2018 and 2022.
In terms of ports, they account for approximately 13-20% of transportation costs and only 1.14% to 1.76% of total logistics costs. “People often point out that logistics costs at this port are high. However, all port tariffs are part of a policy that must go through a consultation process at the Ministry of Transportation,” Adi clarified.
To address these concerns, Pelindo is focusing on reducing Port Stay and Cargo Stay times. “The shorter the time goods and ships spend at the port, the lower the costs,” Adi explained. He emphasized that, as port managers, Pelindo aims to minimize the duration vessels remain at the port, prioritizing the increase in throughput or volume of goods handled.
Regarding integration with industrial zones, Adi highlighted Pelindo’s ongoing projects, such as the Cilincing-Cibitung Toll Road. Other initiatives in the works include similar developments in Batang, Kijing, and Medan, where the integration concept is already being implemented.