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Seaborne logistics in Indonesia is interesting yet problematic. It is interesting because it offers the players abundant cargo for hauling, reaching more than 800 million tons per annum. But, on the other hand, the sector confronts them with a high logistical costs. The World Bank in a 2013 report said that Indonesia’s logistical costs were as high as 24.6 percent of national gross domestic product (GDP), higher than that of Singapore, Malaysia and even Vietnam. For that, President Joko “Jokowi” Widodo has set up a logistics task force consisting of seven ministries with a mandate to reduce the costs by 19 percent. His predecessor, president Susilo Bambang Yudhoyono, was also concerned with the problem and adopted a similar course of action. He ordered then deputy finance minister Mahendra Siregar to cut lengthy dwelling times at Tanjung Priok, the country’s biggest and busiest port. Long before these two presidents, former president Soeharto had been engaged in simi...

Law No. 32/2014 on Maritime Affairs was deliberated in the House of Representatives more than two years and was passed days the end of 2009-2014 term. It is the “umbrella law” of the maritime realm. A problems arises in the Chapter 58, which stipulates the establishment of the Maritime Security Board (Bakamla). Earlier, President Joko “Jokowi” Widodo set up the body by issuing Presidential Regulation No. 178/2014 and officially introduced it in a Hari Nusantara (Archipelago Day) ceremony on Dec. 13, 2014. However, a presidential regulation is not the proper basis for the purpose. Instead, the government should issue a Government Regulation (PP). Sources said a PP is being prepared by the Office of the Coordinating Political, Legal and Security Affairs Minister. Bakamla will carry out coast guard tasks like law enforcement at sea, maritime search and rescue operations and others. Long before Bakamla existed, the government was mandated to establish the Indonesian coa...