Port of Patimban is expected to be the first Indonesia’s integrated supply centre, Indonesia Logistics and Forwarders’ Association (ALFI/ILFA) has said.
With its backup area of 360 hectare for landside activities, according to ALFI/ILFA Chairman Yukki Nugrahawan Hanafi, this port is very potential for supporting supply chain activities and will give a lot of benefits to business players.
“This area will be dedicated to be logistic centre. This will be open for container loading/unloading activities and for car terminal itself,” Yukki said in press statement this morning (Tuesday, November 24).
Yukki revealed some Patimban’s comparative advantages to be an integrated supply chain centre, including first, this port will facility for cargo distribution both of domestic and international trade.
Second, Patimban has been integrated with and supported by potential hinterlands. “It will get more benefits from additional hinterlands it its direct access toll will be ready by 2023,” he said.
Third, Patimban can build collaboration (complementary role) with the existing Indonesia’s leading port of Tanjung Priok Jakarta. Around 60% of Tanjung Priok export are originated from West Java hinterland.
Fourth, the operational of Patimban will help to minimize the problem of traffic jam at the capital city of Jakarta. The traffic jam has significantly affected the trucking activities to/from Tanjung Priok
“Patimban is expected to minimize the problem of traffic jam in Jakarta, thus finally making the trucking productivity back to normal,” Yukki said, adding that the traffic jam has significantly reduced trucking business.
In the last decade, utilization of truck carrying cargo/containers between ports and industrial zone has significantly deteriorated due to poor land roads and traffic jam. Trucks utilization, according to Indonesia Truckers Association (Aptrindo), has been down from two/three trips to only one trip a day.
“If truck productivity is back to normal, the logistics activities will be more efficient and effective,” Yukki said.
Encourage Economy of Speed
Yukki, who is also Chairman of ASEAN Federation of Forwarders Association (AFFA) underlined that the Patimban will not only support the economy of skill, but further, it will encourage ‘economy of speed’, in providing service to customers.
Furthermore, President Joko Widodo has issued the decree of Inpres on National Logistic Ecosystem (NLE). This Inpres on NLE is expected to accelerate the logistics digitalization.
“Patimban is designed as a modern and completed port. Patimban will become a digital port and run under logistics ecosystem concept involving any kinds of business including manufacturers of automotive electronics, footwear, beverage, etc,” Yukki said.
Potential Hinterlands of Central Java
Patimban, he said, will be supported not only by hinterlands in West java, but also from Central Java. He named an example of industrial estate of Batang, Central Java as one of potential hinterland.
“If the direct access toll has been ready, the cycle time between Patimban and industrial centres will be shortened. It will be more efficient not only relating to logistics cycle time, but also for operating cost of fuel consumption,” he said.
But, Yukki reminded of probable development of metropolitan city around the port that potentially disturb the logistics activities. “We don’t expect for a metropolitan city around the port in the future. It will disturb the logistics activities.”
“We have lesson learned from Tanjung Priok which is located within the Metropolitan City of Jakarta. This totally disturb the logistics activities,” he said.