Govt awards ?bonded? status to EastKal logistical port
Wednesday, April 6 2016 - 02:34 PM WIB
The government has awarded the ?bonded logistic port? status to 11 logistical ports in Indonesia, including the ones owned by Eastkal Supply Base in Balikpapan, East Kalimantan.
The 11 logistical ports were inaugurated by President Joko Widodo last March, Eastkal said in a statement on Wednesday.
The Eastkal port has 40,000 square meters of marine facility and 28,172 square meters of storage facility.
The bonded port status provides various benefits for oil and gas contractors using Eastkal?s facilities. One of the benefits is that oil and gas contractors will be exempted from value added tax (PPN). The other benefit is that oil and gas contractors no longer need to export their leased equipment. Instead, they can keep the equipment in Eastkal?s storage facilities.
This will help oil and gas contractors work more efficiently.
?The bonded port status will enable the transformation of Indonesia into a distribution hub in Southeast Asia, particularly for goods used to support oil and gas upstream activities. The transformation needs time. We hope the bonded status (given to the Eastkal logistical port) will be implemented sustainably and supported by other governmental policies,? Eastkal Supply Base?s spokesman Billy P. Kadar said in the statement.
Editing by Johannes Simbolon