DP World is ready to commence operations at Indonesia’s Belawan New Container Terminal (BNCT), after finalising a deal with the Indonesia Investment Authority (INA) and Pelindo to manage the terminal and begin a major expansion.
“The strategic partnership between INA, Indonesian government-owned port operator Pelindo, and DP World will create Indonesia’s most direct link with the Malacca Strait, one of the world’s busiest shipping routes,” said a joint statement.
Sultan Ahmed Bin Sulayem, group chairman and CEO of DP World, Arif Suhartono, president director of PT Pelabuhan Indonesia (Persero), and Ridha Wirakusumah, CEO of Indonesia Investment Authority signed the agreement.
Longer term, the deal intends to raise BNCT’s capacity to 1.4 million TEUs, up from 600,000 TEUs at the moment. BNCT will also seek additional direct calls, minimising North Sumatra’s dependency on regional hub ports for access to regional and worldwide markets.
In addition, the BNCT now operates as a local centre for Sumatra’s neighbouring provinces. The extension and upgrading programme will reinforce the Malacca Strait’s status as a key commercial and logistical gateway.
Along with upgrading maritime infrastructure, DP World will collaborate with its partners to link additional terminals and minor ports on the island of Sumatra in order to fully realise the BNCT’s role in lowering container transportation costs in Northern Sumatra.