Indonesian port operator PT Pelabuhan Indonesia (Pelindo) IV has taken a IDR3 trillion (USD227 million) loan from PT Bank Mandiri to fund the construction of Makassar New Port and to upgrade the existing port at Makassar.
Makassar port is in the province of South Sulawesi. Currently, it can handle 600,000 teu in a year and the new port would increase that capacity by another 300,000 teu in the first phase of development.
According to Bank Mandiri’s corporate banking director Royke Tumilaar, in his official statement this week, the bank agreed to the loan to expedite national infrastructure procurement. The bank also wants to support Indonesian president Joko Widodo’s ambition of creating a maritime nation.
Bank Mandiri has given a 7.5-year tenure for Pelindo IV to repay the loan.
Currently, Pelindo IV is conducting various activities in 20 projects, one of which is the construction of three port areas and two container terminals in Makassar and Bitung. Port services provided by Pelindo IV comprise pilot service, docking service, mooring service, passenger embarkation and debarkation, bulk commodity stevedoring and warehouse, container terminal, and container stevedoring activities.
Makassar New Port construction is the part of Pelindo IV’s business plan of realising ‘Eastern Indonesian Locomotive’ vision.
Pelindo IV is promoting the concept of port creating trade.
Based on the strategy, Makassar New Port will be integrated with a commodity railway project in South Sulawesi so it will ease commodity delivery transportation.
The first phase of Makassar New Port will be built on a 150 ha area.
Pelindo IV is optimistic that the port construction will grow vessel traffic, supported with industrial growth in eastern Indonesia.