Domestic Cargo Market Gets Hot
JAKARTA: Competition in cargo market is getting tight in Indonesia, following the rise of the operation of roll on-roll off ships which accommodate inter-island routes as well as provide transportation for goods and passengers.
Director of Shipping of PT.Tempuran Emas Tbk, Sutikno Kushumo said the tight competition in cargo market has lowered container shipping volume and freight tariff for inter-island shipping.
“During this year, many customers prefer to use roll on-roll off ships as the freight tariff is less expensive,” he told Bisnis today (9/11/2012).
He said most of the the roll on- roll off ships are used subsidized fuel, and this condition is different from the operation of container ships.
“The ships besides also serving passengers, it also transporting goods, so [according to rules] they are still allowed to use subsidized fuel,” he said.
It made the shipping tariff using roll on – roll off becomes cheaper than container, so operators are now trying to streamline freight operation to target the market.
Therefore, he hopes the government could set tougher route or the ports in Indonesia for roll on- roll off ships. (K1/t03/msw)
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