Increasing Papua and West Papua economy through shipping line

Increasing Papua and West Papua economy through shipping line

By Suha S, Researcher MACDIS

The sea toll road transportation program, connects Jakarta’s seaport of Tanjung Priok and Surabaya’s Tanjung Perak in East Java with major ports in Maluku and Papua, in the eastern part of the country, and in Riau Islands. The sea toll road that can connect Sabang-Merauke was envisioned by President Joko Widodo to lessen the price disparity between the eastern part of Indonesia with western part.

Keywords: shipping line, sea toll, Sorong, West Papua, cheaper price

The development of Sea toll road for Papua is of course a part of the priority. Recently, the Minister of Transportation, Budi Karya Sumadi, said that the sea toll road program has succeeded in lowering some commodities’ prices in the eastern part of Indonesia, including Papua Sea toll projects are strategic mega infrastructures for increasing maritime connectivity with a total investment up to 699 trillion IDR. Several deep sea ports in Indonesia will also be improved to support this sea toll road concept. They include Kuala Tanjung in North Sumatra, Tanjung Priok in Jakarta, Tanjung Perak in Surabaya, and East Java, in addition to Makassar in South Sulawesi, and in Papua. This year, the government plans to develop 24 seaports to support the project.[1]

Image source: http://www.kemendag.go.id/files/pdf/2017/02/22/rapat-kerja-kementerian-perdagangan-2017-id21-1487736398.pdf

The sea toll concept is to :

1. Strengthen the shipping route with point weight in indonesia east section

2. Route port connects west to East Indonesia connectivity)

3. Easy access of trading from the Pacific countries to
south to East Asia countries

4. Routine shipping and scheduled from west to east Indonesia[2]

The development of mega projects in Papua and West Papua in the future will greatly help the economy of Papuans. Improved facilities that support connectivity will impact on cheaper prices. Then clearly with the increasing number of facilities, shipping and port activities will increase in line with the increasing number of demand for goods. This is because in the future prices are getting cheaper and people’s purchasing power will increase. To improve connectivity and revitalize national logistic system thoroughly, sea highway must be supported by other infrastructures such as land road, river transportation, and train.[3]

  1. http://papuanews.org/sea-toll-road-for-papua-better-logistics-cheaper-prices/
  2. http://www.kemendag.go.id/files/pdf/2017/02/22/rapat-kerja-kementerian-perdagangan-2017-id21-1487736398.pdf

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