Jakarta (ANTARA) - State-owned port operator PT Pelabuhan Indonesia (Pelindo) has said that the Java Integrated Industrial and Ports Estate (JIIPE) is improving connectivity in the Gresik Special Economic Zone (SEZ), East Java.

"JIIPE is part of PT Pelindo's strategy to develop an industrial estate that is integrated with ports," Pelindo president director Arif Suhartono said in a statement received here on Friday.

According to him, the integration of ports and industrial areas can solve a number of connectivity problems, such as trucking delays, limited transportation modes, long travel times, and limited road infrastructure.

The JIIPE has not only been integrated with seaports, but also the Surabaya-Manyar Toll Road and the Krian-Legundi-Bunder-Manyar (KLBM) Toll Road, which is currently in the completion stage.

The KLBM Toll Road will later be integrated with the Trans Java Toll Road and have direct access to JIIPE.

The JIIPE industrial area, whose development began in 2012, was officially designated a special economic zone through Government Regulation (PP) No. 71 of 2021.

The regulation established JIIPE as an SEZ with business activities including production and processing, logistics and distribution, research, digital economy, technology development, and energy development supported by Industry 4.0.

JIIPE spans a total area of 3 thousand hectares, consisting of industrial estates covering an area of 1,761 hectares and ports covering an area of 406 hectares, supported by an 800-hectare residential area.

The SEZ also has several clusters namely metal, electronic, chemical, energy, support, and export-oriented logistics.

The integrated seaport has a multipurpose dock and the capacity to accommodate ships of up to 100 thousand deadweight tonnage (DWT).

Meanwhile, PT Berkah Kawasan Manyar Sejahtera (BKMS), JIIPE's developer, said that investment into JIIPE has reached around Rp52 trillion (US$3.3 billion) since its designation as a SEZ in 2021.

The government is also providing a one-stop taxation and licensing facility through the SEZ's management.

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Translator: Adimas P, Kenzu
Editor: Rahmad Nasution
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