Indonesian National Shipowners Association (INSA) has stated that the national shipping industry has made various efforts to support efficiency in the logistics sector. INSA Chairman Carmelita Hartoto said that shipping companies have taken various measures to support logistics efficiency. However, she pointed out that shipping costs are only a small part of the overall logistics expenses borne by customers. The long chain of goods delivery, from warehouses to the final destination, makes it difficult for logistics costs to decrease by relying solely on shipping efficiency.
"Goods delivery logistics involve various links. It starts with inventory costs, shipper warehouses, trucking, depots, labor, forwarding or cargo agents, port THC, and shipping. We in the shipping industry have taken various efficiency measures," said Carmelita in her statement on Tuesday, November 9, 2021. Carmelita revealed that shipping companies are currently facing increasing operational costs, including a surge in fuel costs, which have doubled compared to last year. "Domestic fuel costs are 20 to 30 percent higher than international fuel prices. So, operational costs continue to rise," she explained. She added that as an archipelagic country with nearly 60 percent of its population residing in Java Island, Indonesia's logistics costs cannot be compared with other countries. For example, shipping to destinations outside Java still transports empty containers when returning to Java. However, the fuel costs remain the same when the ship returns to the port in Java.
"We have to look at shipping costs as a whole, not just piecemeal. Shipping companies also have different financial capabilities, and they rely more on their own capital to face this extraordinary pandemic," Carmelita said. It is worth noting that since 2015, the government has implemented the sea toll program, which provides subsidies to shipping companies involved in transporting goods to remote, isolated, outermost, and border areas. In 2021, there are 26 sea toll routes, which will be increased to 30 routes in 2022. The addition of these routes involves 106 ports, consisting of 9 base ports and 97 transit ports. In 2016, the sea toll subsidy amounted to IDR 218.9 billion, which increased to IDR 355 billion in 2017. Starting from 2018, the sea toll subsidy has surged to IDR 447.6 billion. In 2019, the subsidy for this program was reduced to IDR 224 billion but increased again to IDR 436 billion in 2020. In 2022, the Ministry of Transportation (Kemenhub) proposed a budget allocation of around IDR 1.3 trillion for sea transportation subsidies, with IDR 435 billion allocated for the sea toll program.
In summary, the Indonesian shipping industry has taken various measures to support logistics efficiency. However, the overall logistics costs cannot be significantly reduced by focusing solely on shipping efficiency due to the long chain of goods delivery. The industry is also facing challenges such as increasing operational costs, including a surge in fuel prices. The government has implemented the sea toll program to provide subsidies to shipping companies involved in transporting goods to remote areas, and the number of sea toll routes and ports has been gradually increasing.
Sumber: kompas.com