Shipping Networks of Indonesia: The Role of West Kalimantan

Summary:

The development of maritime shipping and ports will be critical to Indonesia’s economic growth and development. Despite being an archipelagic country, Indonesia has fallen behind in port development, matched by low shipping volumes and unequal development. Indonesia has moved to address this with the development of a new international port on West Kalimantan, near the Straits of Malacca.

ACI examines the potential for the province of West Kalimantan to leverage the upcoming Kijin International Port. Through our flagship provincial Competitiveness Analysis of Indonesia paired with detailed analysis of trade and shipping data, ACI researchers highlight the following:

1. West Kalimantan currently holds a comparative advantage in rare earths and minerals.

2. The bulk to shipping in West Kalimantan is domestically focused, sending raw materials to manufacturing centers in other parts of Indonesia such as Java and Riau Islands.

3. West Kalimantan has the potential to move up the supply chain given its rich resources but is hampered by insufficient skilled labour and infrastructure.

By TAN, Kway Guan

1. The Impact of Kijing International Port to Pontianak’s Economic Growth

2. Competitiveness Analysis for Indonesian Provinces

3. Indonesia’s Shipping Network: Trade Partners, Value Chains, and the Role of West Kalimantan