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Jakarta Post

Direct shipping service expected to boost bilateral trade with Brunei

A direct shipping service from Tanjung Priok to Brunei will be launched in February to tap into the high demand for Indonesian goods in the neighboring country.

Riza Roidila Mufti (The Jakarta Post)
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Brunei Darussalam
Tue, January 21, 2020

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Direct shipping service expected to boost bilateral trade with Brunei A minimarket in Bandar Seri Begawan, Brunei Darussalam's capital city, sells many imported products from mostly Asian countries such as Indonesia, Malaysia, Singapore and Thailand. (JP/Riza Roidila Mufti.)

Strolling around the alleys of minimarkets or supermarkets in Brunei Darussalam, it feels like shopping in Indonesia.

Goods similar to those found in Indonesian convenience stores can be easily found. Indonesian products stand out along with Malaysian products, among other imported goods from ASEAN countries such as Singapore and Thailand. 

However, despite the many Indonesian products that can be found in Brunei, statistics show that Brunei imports less from Indonesia than from other countries such as Malaysia and Singapore, Indonesian Ambassador to Brunei Sujatmiko said.

The lack of a direct shipping line from Indonesia to Brunei is said to be one of the reasons.

“Based on our observations, we found out that nearly 99 percent of goods from Indonesia to Brunei are shipped through Singapore and Malaysia because there is no direct shipping from Indonesia,” Sujatmiko told The Jakarta Post during a brief visit to Brunei on Jan. 16.

“With no direct shipping, Indonesian products are much more expensive when they arrive in Brunei [due to higher shipment costs]. Many of Indonesia’s products are also [recorded] as goods from Malaysia and Singapore instead of the origin country,” he added.

To boost trade with Brunei and hopefully increase Indonesia’s exports to Brunei, the Indonesian Embassy in Brunei announced that starting Feb. 14, there would be a direct shipping service available from Jakarta to Brunei. The opening of the direct shipping line is a fruitful result after the embassy had intense conversations with the Transportation Ministry and state-owned ship operator Pelni.

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