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Industry Fact

Facts Of The Shipbuilding Industry In Indonesia

Indonesia’s Shipping Industry Estimated at USD 20 Billion Indonesia’s Investment Coordinating Board (BKPM) wants to develop the country’s shipping industry. The Board said the industry has a multiplier effect which is able to spur growth in other sectors of the economy and create employment. “The potential for the shipping industry is huge - the demand for ships not only for cargo, but also passenger ships, ferries, fishing boats and so on. So, we are inviting investors to fill that demand,” said Franky Sibarani, head of BKPM. The Indonesian Chamber of Trade and Industry values the shipping industry at US$20 billion. This is before taking into account the potential of the country’s maritime economy worth US$171 billion.

Massive Number Of Shipyards And Supporting Industries In Batam, Indonesia

Currently there are more than 70 shipyards located in Batam and more than 500 supporting industries for this sector.

Indonesian Government Provides Road Map and Strong Backing For The Shipbuilding industry

The Indonesian Ministry of Industry has prepared a road map for Indonesia’s shipbuilding industry development in 2012-2025. The industry is also expected to produce and repair all types of vessels from small to large. One aim, by 2020, the national shipbuilding industry cluster is able to produce vessels with a capacity of 200 thousand tons deadweight. The Government will improve ship design and engineering capabilities to support, through the development of Center National Ship Design and Engineering (PDRKN). Industrial raw materials and components locally, as well as the development of human resource skills enhancement shipbuilding center also continues to increase. The government also will secure and optimize the utilization of the domestic market as a base load for the development of the shipping industry. In addition, cooperation with the shipping industry in other countries that have been developed will also be encouraged.