90 Percent of Shipyard Industry Do Government Orders

By : Ridwan And Aldi Firhand. A | Monday, October 23 2017 - 22:53 IWST

Shipyard Illustration (Photo Ist)
Shipyard Illustration (Photo Ist)

INDUSTRY.co.id - Jakarta - Indonesia's Shipbuilding and Offshore Association (Iperindo) Chairman Eddy Kurniawan Logam said nearly 90 percent of the shipbuilding industry is working on a government order ship.

"Nearly 90 percent of them work on government ship orders because the private sector is still over supply, so I see the need for the private sector will appear in two years," said Eddy to INDUSTRY.co.id in Jakarta (23/10/2017).

Eddy added that the shipyard industry is still relying on orders from the government. In the next two years the support of the government ship building project will still dominate.

"Ministry of Transportation order ship is still much to be done, and next year there will be a need for pioneer ships of 79 units, not to mention the Ministry of Marine Affairs and Fisheries (KKP) and ASDP, Navy and Basarnas," he said.

Related to utilization, Eddy explained, the current national utilization is still uneven. Some are almost 90 percent, some are 70 percent and some even none.

"This is our concern in the future how to balance the utilization of national shipyards," said Eddy.

According to Eddy, shipping industry investment requires a very large capital in the long term. Therefore, a conducive investment climate is an absolute requirement for the operational sustainability and productivity of the shipping industry sector to be more optimal.

"If I see some shipbuilding industry will increase their investment, maybe they see what the future project looks like," he said.

Eddy hopes that the government will apply the same treatment and freedom to state-owned enterprises and private companies, thus creating a healthy competition.

"With a healthy competition will produce the best products and quality," lid Eddy.

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