Realization of SEZ Tanjung Api-Api, South Sumatera Must Realize Downstream Industry

By : Herry Barus And Aldi Firhand. A | Monday, January 01 2018 - 17:07 IWST

Minister of Transportation Budi Karya Sumadi reviewed the Tanjung Api-Api Port Sumatra Port project (Photo Humas)
Minister of Transportation Budi Karya Sumadi reviewed the Tanjung Api-Api Port Sumatra Port project (Photo Humas)

INDUSTRY.co.id - Palembang - South Sumatera Province must realize downstream industry to increase the added value of coal plantation and minerals which have only been exported abroad, said Rector of Sriwijaya University (Unsri) Prof Anis Saggaf.

"South Sumatra must change, not to mention only exporting raw materials but must have turned to finished or semi-finished materials," said Anis in Palembang, Monday (1/1/2018)

He said that the government must realize the Special Economic Zone of Tanjung Api-Api and the ocean port in Tanjung Carat, Banyuasin.

SEZ TAA is expected to be the engine of South Sumatra's economy for the long term.

"With the SEZ, the cost of production will be much cheaper so that the competitiveness of South Sumatra increases, so many investors will enter," said Anis.

Currently, South Sumatra's economic growth is maintained despite the decline in prices of rubber and coal. In the third Quarter of 2017 recorded 5.56 percent or above the national average of 5.06 percent.

One of the causes because of South Sumatra will host the XVIII Asian Games in 2018.

A number of infrastructure projects supporting the Asian Games has boosted South Sumatra's economic growth because of Rp68 trillion of state budget absorbed.

"This trend should be maintained by activating SEZ TAA with this South Sumatera SEZ showing its superiority in infrastructure and connectivity," said Anis.

He added that no less important is how to develop the tourism sector because Palembang already has Jakabaring Sport City which contains 18 international-standard sports arena.

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