Indonesia industrial park firm seeks partner for new seaport

Kawasan Berikat Nusantara (KBN), an Indonesian state-owned logistics and industrial park developer, plans to seek a strategic investor to develop an up to 2 trillion rupiah ($235 million) new seaport in north Jakarta, a company official said.

Irwandi Bermawi, KBN's corporate secretary said on Friday that several foreign firms, including South Korea's POSCO , Hongkong's Kerry Logistics, and Singapore's Keppel Corp , had approached the company to become the partner and work on the 1,450 hectares of new port in Marunda area, North Jakarta.

"The port would help to take some of the burden in the Jakarta's main port, Tanjung Priok, which has operations at its full capacity," Bermawi said.

A spokesman for POSCO Engineering & Construction, a construction arm of POSCO, said should it be given an opportunity, it may participate as it is seeking to boost overseas orders.

KBN needs around 1 to 2 trillion rupiah to build infrastructures and facilities in the new seaport, which will be for the first-phase of the port development, he said.

The project is targeted to kick-off in 2015, as a part of the proposed Tanjung Priok-Kalibaru-Marunda port hub of Jakarta.

Investors and rating agencies have warned that Indonesia's poor infrastructure development, including seaport, roads and airport, will be a deterrent to attracting stable long-term foreign direct investment.
The southeast Asia's biggest economy wants private investors to fund two-thirds of $150 billion infrastructure needs. Source: Reuters