INDONESIA LAUNCHES MARITIME OUTLETS TO REDUCE PRICE DISPARITY by Fardah

Jakarta, June 26, 2015 (Antara) - Price disparity has always been a serious problem in Indonesia, the world's largest archipelagic nation, with more than 17 thousand islands and a population of over 250 million.

        Indonesian people living in the country's eastern and outermost regions have to spend more on food and goods, which are sold at steep prices due to poor infrastructure that hinders the smooth supply of logistics.

        Indonesians living in cities and better-developed western regions are more prosperous than the people living in the east and have so far enjoyed basic necessities at affordable prices.

      In an attempt to reduce the price disparity, the Indonesian government recently launched a maritime outlet pilot project that will be implemented to sell food items in several eastern Indonesian regions' small seaports at prices similar to those in the western part of the country.

         Trade Minister Rachmat Gobel stated that the project is part of the ministry's efforts to support the Jokowi administration's sea toll program, which aims to reduce logistic costs and to improve the distribution of basic necessities to the public.

        The project is expected to reduce price disparity by 13.5 percent in the eastern and outermost regions, Minister Rachmat Gobel said.

         "The maritime outlet pilot project was implemented with the cooperation of the Transportation Ministry to deliver basic necessities to eastern Indonesia to bring down the price disparity," Minister Gobel stated while launching the initial stage of the project in Tanjung Priok Port, Jakarta, on June 19, 2015.

          "Ahead of the implementation of the ASEAN Economic Community, the government and everyone else must do their best to improve efficiency and productivity as well as maintain the quality of our products. This program was implemented not because we are observing Ramadan but due to the need for a concrete program to respond to every problem concerning prices," Gobel explained.

        Moreover, Transportation Minister Ignasius Jonan pointed out that six ships to be deployed to cover 30 small seaports along six routes. They are expected to operate regularly after Idul Fitri.  
   The regular shipments carried out by state-owned shipping company PT Pelni are expected to eradicate price disparity in the western, central and eastern parts of Indonesia, Minister Jonan noted.

       The ministry is providing a subsidy for the scheduled arrival of the cargo to curb price hikes in remote areas in eastern Indonesian.

        One of the outlets was located aboard vessel MV Gunung Dempo, serving the Jakarta-Jayapura stretch via Serui in Yapen Islands district, Papua province.

       It carried 11 containers of staple food such as rice, sugar, wheat flour, chicken meat, egg and cooking oil.

        Under the pilot project, MV Gunung Dempo, which departed 28 days before Idul Fitri, arrived in Papua on June 25.

      
                             "Nusantara Jaya" Expedition
  In addition to the maritime outlet pilot project, some 88 Indonesian Naval ships have been deployed in an expedition called "Nusantara Jaya" which is also aimed at helping distribute supplies of food items and basic needs to remote areas.

       The expedition is organized the office of the Coordinating Minister for Maritime Affairs Indroyono Soesilo in cooperation with the Indonesian Navy.

       Commencing on June 1, 2015, the 30-day expedition includes halts at as many as 540 ports in 22 provinces.

        During the expedition, several goods is distributed, such as additional food products, daily needs, study material, school equipment, seeds, holy books, water tanks, generators, solar cells, television sets and satellite dishes.

         The expedition involves 250 volunteers and journalists trained in maritime affairs and leadership during the journey.

         Besides the distribution of aid, the expedition also organizes social activities for the benefit of the people in remote and border areas.

        They started from Jakarta on June 1, 2015 and sailed among other things to Makasar (South Sulawesi), Sorong (West Papua), Saumlaki (West Southeast Maluku), and ended in Tenau seaport, Kupang.

        For East Nusa Tenggara, for instance, they delivered supplies of rice, cooking oil, school stationery, TV sets, and 39 containers of clean water, to be distributed to markets in outer most areas such as Rote and Alor isles, at affordable prices.

        As many as 4,000 people participate in the expedition by boarding vessel KRI 593-Banda Aceh, 86 pacer ships and two hospital ships, "Doctor Share."
  KRI 593-Banda Aceh that has sailed for around 20 days, functions as the mother ship and sails the Jakarta-Makassar-Sorong-Saumlaki-Jakarta route, to distribute logistics to coastal villagers in several provinces.

        The number of ships joining "Nusantara Jaya" Expedition (ENJ) will be double next year if this year's expedition is successful, Coordinating Minister for Maritime Affairs Indroyono Soesilo has said.

        "If this year is successful, next year we will double the number of ships to 170 ships that will sail to western as well as eastern parts of Indonesia," Minister Soesilo said recently when visiting Kupang, East Nusa Tenggara to greet the ENJ 2015's 283 members, mostly students, who sailed by Naval warship KRI Banda Aceh at Teanu seaport.

       Even distribution of essential goods ahead of Idul Fitri festivities has become a priority of President Joko Widodo, who has  called for increased coordination among provincial governors and ministries concerned.

         "The president has demanded increased coordination among governors and relevant ministries to meet the demand for the nine essential items," Chairman of the Executive Board of the Association of Indonesia Provincial Governments (APPSI) Syahrul Yasin Limpo said after meeting with Jokowi in Jakarta, on June 25, 2015.       
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(T.F001/A/F. Assegaf/F. Assegaf) 26-06-2015 15:00:57