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|JAKARTA Miles Plumlee Hawks Jersey , Oct. 16 (Xinhua) -- Indonesia have taken steps to reduce the high logistic cost that has been widely complained by employers, a senior official.
Speaking in his remarks to open a major trade expo event here on Wednesday, Indonesian Vice President Boediono said improving seaport capacities and intensifying infrastructure projects will improve transportation across the country, which will in turn improve the country's competitiveness eventually.
Boediono said major projects to boost up the capacity of the capital city's seaport Tanjung Priok are underway at the moment, and are expected to help reduce the logistic cost within the next two years.
He added that similar projects were also underway in seaports located in far-flung region of eastern Indonesia to address high logistic cost problem.
On land transport, Boediono said part of double railway track projects in the country were scheduled to finish and commence its service in 2014.
"With the double railway tracks Mike Bibby Hawks Jersey , people and goods can be transported double as much by trains. It can significantly reduce transportation cost, thus reducing burden of roads," the vice president said in the opening of the event scheduled to last through Oct. 20.
On road infrastructure, the vice president said the government and private sector are now intensifying road expansions and starting new toll road projects.
He, however, said the construction of road infrastructure has been hindered with difficulties on land compensation Marco Belinelli Hawks Jersey , particularly in Java. "It makes the projects run a bit sluggish," he said.
He added that the expansion and construction of new airports were also underway, citing the recently-opened North Sumatra province's airport of Kuala Namu that has commenced service as major hub for the western part of the country.
"Capacity expansion projects were now underway in Jakarta's Soekarno-Hatta airport, and the other ones in Surabaya (east Java), Semarang (central Java) and Balikpapan (east Kalimantan)," Boediono said.
According to the data released by the trade ministry Kirk Hinrich Hawks Jersey , logistic cost takes up to 24.64 percent from the country's gross domestic product (GDP), reaching 1,800 trillion rupiah (about 185.6 billion U.S. dollars) in 2011.
Indonesia ranked No. 59 in Logistic Performance Index survey carried out in 2012, below Singapore, Malaysia, Thailand and Vietnam.
Chairman of Indonesian Employers Association (Apindo) Sofyan Wanandi said earlier that logistic cost takes up to 17 percent of overall industrial cost in the country Kevin Huerter Hawks Jersey , the highest in Asia. It was higher than that of Malaysia and Japan, which stood at 8 and 5 percent respectively, he said.
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