Project Title: New Priok Development

Type: Industrial Port

Total Cost: $2.47 billion USD

Completion Date: 2023

Opportunities Available: Joint Ventures for Terminal Construction and Operation

Latest Updates

15th May 2013

Royal HaskoningDHV, a Netherlands-based international project management and engineering consultancy services provider wins the contract to supervise the construction of the extension of the main port of Jakarta, Tanjung Priok.

27th March 2013

President Yudhoyono marks the beginning of the construction of the New Priok Development which will be the largest port infrastructure project the country has ever undertaken.

The Kalibaru New Priok Terminal will triple the capacity of Tanjung Priok, already Indonesia’s largest commercial port, to over 18 million TEUs on completion of the project in 2023 with the vision of lowering logistics costs throughout the country and streamlining national supply chains. The new development will consist of three container terminals which will increase container handling capacity from the current figure of 6.8 million TEUs to 11 million TEUs. Two further terminals will exclusively handle oil and gas products with a capacity of up to 9 million cubic meters.

The development will serve to modernise and streamline Indonesia’s logistics industry by significantly expanding the capacity and scope for shipments which will in turn lower logistical costs throughout the country. New Priok will effectively compete with other major ports in the region in terms of efficiency and productivity as well as turnaround times. IPC’s extensive and on-going focus on human resources development has produced a highly qualified team of young and dynamic logistics professionals who are ready to serve to the highest possible standards of the industry. The new terminals will also be able to receive the largest shipping vessels currently available of up to 18,000 TEUs thus enabling direct shipments as opposed to transhipping through neighbouring ports positioning Indonesia as a central shipping hub.

The New Priok Development offers exciting opportunities to foreign investors to enter joint ventures with Pelindo II for the construction and operation on the terminals with a 49% stake in the project. The first terminal, which will begin operations in 2014, has already been awarded to Mitsui & Co Ltd of Japan and will have a capacity of 1.5 million TEUs. Two further terminals are currently in the tender application process. The terminals offer an opportunity to participate in a bedrock infrastructure project for a rapidly growing G20 country that will revolutionise the local logistics industry by bringing it up to par with other world class ports and has thus attracted widespread investor interest. Investors from Europe and China who have the potential to further develop Indonesia’s trade links and market reach are particularly encouraged to participate.