Jakarta, 30 October 2024,
The Indonesian government is making continuous efforts to reduce logistics costs, particularly in the transportation sector, which has a domino effect on other sectors such as food, energy, and industrial supply chains. To achieve this, the Ministry of State-Owned Enterprises (BUMN) and the Ministry of Transportation are strengthening their collaboration.
Minister of State-Owned Enterprises Erick Thohir stated that Indonesia has managed to bring logistics costs down to 13-14% of its Gross Domestic Product (GDP). However, this figure remains high compared to other countries. Erick emphasized that, in line with President Prabowo's directives, further efficiency is needed for Indonesia to reach its goals of food and energy self-sufficiency and downstream industrial development. In his meeting with the Minister of Transportation, Dudy Purwagandhi, Erick also highlighted the importance of developing integrated transportation infrastructure.
Minister of Transportation Dudy added that synergy between ministries is expected to eliminate bureaucratic barriers, allowing for more optimal public services. Meanwhile, the Chairman of the Indonesian Logistics and Forwarder Association (ALFI), Akbar Djohan, praised these government efforts, as the logistics sector plays a major role in the national economy.
With total transactions reaching IDR 1,700 trillion this year, the logistics sector is a vital artery in the supply chain, distribution, and national trade. This synergy is expected to support the government's target of achieving 7-8% economic growth.
Source: Jawa Post
Comments