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Kuala Tanjung port begins CPO shipment

The Kuala Tanjung Multipurpose Terminal (KTMT) in Batubara regency, North Sumatra, handled a shipment of about 2,000 metric tons of crude palm oil (CPO) to Krishnapatnam, India, on Friday, marking the first CPO export through the port since the start of its operation in 2018

Apriadi Gunawan (The Jakarta Post)
Kuala Tanjung, North Sumatera
Tue, August 6, 2019 Published on Aug. 6, 2019 Published on 2019-08-06T02:18:31+07:00

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Kuala Tanjung port begins CPO shipment

T

he Kuala Tanjung Multipurpose Terminal (KTMT) in Batubara regency, North Sumatra, handled a shipment of about 2,000 metric tons of crude palm oil (CPO) to Krishnapatnam, India, on Friday, marking the first CPO export through the port since the start of its operation in 2018.

The CPO was shipped by Panama-flagged MT Ocean Integrity. The port is operated by PT Prima Multi Terminal, a subsidiary of state-owned port operator PT Pelindo I.

Prima Multi Terminal CEO Robert Sinaga said the shipment of the CPO demonstrated KTMT’s readiness to handle liquid bulk cargo, as KTMT was equipped with storage tanks and pipes and increased firms’ options for the shipment of liquid bulk cargo, which had so far been handled by Belawan Port in Medan and Dumai Port in Riau.

“Belawan Port and Dumai Port are already busy,” Robert said. “Kuala Tanjung Port could be an alternative port for the shipment of liquid bulk cargo,” Robert added on the sidelines of an event marking the inaugural CPO shipment on Friday.

Robert said the port with a low water spring (LWS) depth of 15 to 17 meters was built in 2015 as one of the government’s national strategic projects.

It is expected to become an international hub for Indonesia’s western region. Thus far, he added, two to three ships anchored off KTMT each week to load and unload containers.

Robert acknowledged that the port had potential to handle the shipment of liquid bulk cargo as there were many palm plantations near Kuala Tanjung Port and other areas within North Sumatra. However, the port had never handled such activities previously.

To tap into the CPO shipment market, the company has signed a partnership agreement with PT Prima Tangki Indonesia, which also collaborates with Charleston Group, to perform loading and unloading activities within the port.

“PT Prima Tangki Indonesia as an anchor tenant has provided 22 storage tanks and four pipes equipped with eight pumps,” Robert said.

In addition to that, he added, the KTMT featured an integrated IT system and Terminal Operating System (TOS) for handling both containers and liquid bulk, so that it could improve its service to customers as well as speed up the loading and unloading process.

Prima Tangki Indonesia CEO Gaotama Setiawan said it cost Rp 250 billion (US$17.48 million) to build all 22 storage tanks, which have a capacity of about 100,000 metric tons and were also equipped with automated high-speed pumps.

“The pumps are able to handle about 1,000 tons of liquid bulk per hour,” Gaotama said. “That is faster than what Belawan and Dumai [ports] offer [250 tons per hour],” Gautama told The Jakarta Post on the sidelines of the inaugural CPO export event.

The storage facility has International Sustainability and Carbon Certification (ISCC) from the European Commission. “The international certification shows that our facility uses sustainable energy [for its operation],” Gaotama said.

Gaotama said the company had served five companies renting the liquid bulk storage service, for which it charged Rp 100 per kilogram.

Pelindo I vice president of public relations Fiona Sari said the infrastructure within the KTMT was now being fully operational and comprised loading and unloading activities of containers, liquid bulk cargo and general cargo.

Fiona said the KTMT had its own strengths, because it was strategically located near the busy Malacca Strait.

It also had a deep draft, so it could be used by big ships and use modern technology in its operations.

“We expect Kuala Tanjung Port to provide excellent services, so it could boost exports and boost local and national economic growth,” Fiona said. (asp)

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