General Chairman of
Industrial Zone Association (HKI), Sanny Iskandar, in Jakarta on Monday
(8/13/2012) proposed the government through the Industry Ministry for immediate
construction of road infrastructure from Cibitung-Cikarang industrial zone to
the port in Cilincing and asked for Indonesian Police’s support for securing
Industrial Zone. Sanny emphasized on the importance if the government builds
transportation infrastructure, one of them is proposal for construction of
railway tracks to serve Jakarta-Surabaya route which will boost investment
entrance to industrial zone.
He considered that so far transportation has become a
problem in logistic and distribution systems. In addition to construction of
railway tracks, he also expected that there will be construction of access road
to the port and toll road as soon as possible. It is also expected that there
will be a parallel road access to the south, from Karawang we can go directly
to Bogor (West Java). HKI also re-emphasized the immediate construction of
Cimalaya port (Karawang). The aim, according to him, is so that business
operators can accommodate supply from Karawang and not only rely on Tanjung
Priok port, Jakarta. Transportation infrastructure is very important and we
demanded the government the government to improve it”, Sanny said.
In addition to transportation infrastructure, the one
which hampers development of industrial zone in Indonesia is land problem.
According to him, the industrial zone management admitted that there was a
flood of demand from foreign investors interested in opening new factories in
line with improvement of industrial land by investors reaches 300 hectares. The
demand grows by around 10% - 20% each year.
He added that in the past few years, demand for land only
reaches 30 hectares per year, but now it reaches 300 hectares per year. Demand
for new factories come from investors from Japan, South Korea, Malaysia,
Singapore, and other countries. Commonly, the sectors which are liked by
investors are automotive and spare parts, pharmaceuticals, textiles,
electronics, steel processing, and food and beverages.
Therefore, he expected the central and regional government
to accelerate license on land use for industrial zone. Demand from investors to
expand land in industrial zone increases. He expected the government to review
regulation of the National Land Agency (BPN) concerning limitation of
industrial zone area to a maximum of 400 hectares to him, a large size of area
is needed in an industrial zone so that it could absorb a large number of
workers. He reported that currently, HKI which has 60 industrial zone
management as members have obtained license on 27,000 hectare area spreading
over 26 regencies/cities. From the total size of area, 11,100 hectares has been
cultivated and 74,000 nabufacruring companies have been built on the area.
According to Sanny, the existing infrastructure did not
support the inflow and outflow of goods from industrial zone. HKI expected the
government to add road access to Tanjung Priok port from the industrial zone in
Karawang. Currently, there is only one toll road from Jakarta to Cikampek which
car volume increases. And, acceleration of construction of Cilamaya port –
Karawang must be done immediately/”The government boosted development of
industrial zone outside Java, but it is problem of low infrastructures, namely
port, road, and bureaucracy”, he said.
The latest is security problem. Security is a very
important factor in supporting the creation of a conducive business climate in
industrial zone. Therefore, he demanded police’s support to secure industrial
zone. He explained that industrial zone is a vital object to the state, and it
expected that police could solve demonstration problem that causes industrial
zone to be closed. The reason is that demonstration hampers product
distribution, which will consequently hamper the entire business circulation in
the industrial zone.
Business News - August 15, 2012
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