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New ro-ro route expected to boost Indonesia, Philippines trade
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Sea hub: A cargo vessel unloads containers at Bitung Port in North Sulawesi. (Antara/Adwit B Pramono)
T
he opening of the Davao-General Santos-Bitung route for roll-on/roll-off (ro-ro) vessels is expected to boost trade between Indonesia and the Philippines in the long run.
The route is set to be launched on April 30 by Indonesian President Joko “Jokowi” Widodo and Philippine President Rodrigo Duterte during the 2017 ASEAN Summit in the Davao City, the Philippines.
It is one of the priorities within the ASEAN RO-RO Network initiative, which is projected to improve connectivity in sea channels among Southeast Asian countries as it will reduce shipping time by over 50 percent.
(Read also: Determining Eastern Indonesia's hub ports)
“It is going to be easier to access the Philippine market through the Bitung Port [in North Sulawesi], especially for products and commodities from Indonesia’s eastern regions,” Indonesian Chamber of Commerce and Industry (Kadin) chairman Rosan P. Roeslani said Tuesday in a statement.
On the other hand, he said that products from Mindanao, a giant southern Philippine island, could be easily shipped to Indonesia at lower cost through the new ro-ro route.
At present, it takes three to five weeks to ship goods from Bitung to Davao, while the new ro-ro route is expected to expedite shipment to around 36 hours, excluding port stay.
The Philippines has identified products to be imported from Indonesia’s eastern regions, including charcoal, coffee beans, matured coconut and cement. (hwa)
