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Indonesia pushing Batam as national logistics hub

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Indonesia is reviving efforts to boost the role of Batam, with calls by Coordinating Economic Minister Darmin Nasution for it to be developed into a national logistics centre.

The island has a good opportunity to do so due to its strategic position close to Singapore and its supporting infrastructure, local media cited the minister as saying.

“The island could become the centre of the logistics-bonded zone or the likes,” said Darmin. He specifically highlighted the potential for Batam to be used as a transshipment port for eastern Indonesia as well as other regions.

Darmin also noted that Batam had the infrastructure needed to develop into a logistics hub and encouraged the island’s officials to improve its functionality to better coordinate economic activities for development.

Pelindo II and China Merchants Group had previously had a plan to develop a 4m teu container terminal at Tanjong Sauh by 2015, which seems to be behind schedule.

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