The cessation of the operation of these container ships has led to them being damaged and corroded more quickly if they are not rehabilitated. When the global economy started to recover, the demand for container ships increased significantly. But the vessels needed are not ready to meet the demand or are being repaired or renovated. This is also what makes containers rare.

In addition, there has also been congestion in the main ports of developed countries. The surge in trade activities has made several ports full at the same time, so many ships have had to wait and were late to return to their country of origin. This has happened in United States, European and Chinese ports, which caused ships to be late returning to Asia. This also has an impact on cost, which come out to be greater because of the long waiting for the loading and unloading process at the ports, which also require greater fuel consumption. The increase in costs also has an impact on the increase in freight rates.

Freight rates have increased due to the lack of smooth export and import activities and the lack of availability of ships. On Sept. 10, Global Container Freight Index data showed a 425 percent year-on-year (yoy) increase to US$11,109 from $2,112.

Actually, the shipping market in Indonesia is very large and grows every year. This is reflected in the large volume of Indonesia's import-export trade. However, we do not yet have enough capacity to accommodate this. The total capacity of Indonesia's own shipping fleet has decreased. In 2020, the total capacity of Indonesia's shipping fleet decreased by minus 5.9 percent to 48.7 deadweight tonnage (DWT) from 51.7 DWT in 2019.

Apart from the problem of container scarcity, Indonesia also needs to think about developing the sea transportation sector in the long term. In the current pandemic era, sea transportation, especially freight transportation, is very much needed. This supports the acceleration of economic growth, and people's mobility will also increase the demand for goods.

Indonesia’s first task is fixing its infrastructure problem. Unequal infrastructure development will have an impact on connectivity, both in terms of transportation and logistics modes. This also leads to high logistics costs and price disparities in eastern Indonesia. We know that the sea highway program has become a bridge for connectivity between regions in Indonesia, the achievements of which can be felt by local communities with the massive implementation of the marine highway program. Connectivity between regions in Indonesia, especially the eastern part, must be improved and price disparities must be suppressed so that economic equality in remote areas can be achieved.

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