Indonesia’s shipping sector has shown a positive growth trend in recent years. The government has recorded an increase in commercial vessel activities, inter-island logistics transportation, and export-import movements through sea routes. These developments are part of a broader strategy to position Indonesia as a global maritime axis.
The Ministry of Transportation stated that this growth has been driven by port revitalization programs, logistics simplification, and the digitalization of port systems. Several major ports, such as Tanjung Priok, Tanjung Perak, and Belawan, have begun implementing smart port technologies based on digital systems.
“Port modernization is very important to accelerate logistics flows, reduce shipping costs, and support the competitiveness of the national industry,” said an official from the Directorate General of Sea Transportation during an official press conference.
Rising Cargo and Passenger Activity
As the need for inter-island goods distribution increases, demand for domestic cargo vessels has also grown. In addition, several passenger routes operated by ferry services and pioneer vessels have experienced higher occupancy rates, particularly in eastern Indonesia.
Traditional shipping, known as Pelayaran Rakyat (Pelra)—which uses wooden vessels and small ships—has once again gained attention due to its important role in distributing logistics to remote areas. The government is currently preparing a “people-based Sea Toll program” to strengthen this sector.
However, this increase in activity also brings significant challenges, particularly related to maritime safety and the aging fleet of vessels. Many ships still in operation are more than 25 years old, making fleet renewal an urgent priority.
Records of maritime accidents caused by overloading, extreme weather conditions, and negligence in safety procedures remain an ongoing concern.
“Passenger and crew safety must always be the top priority. Ship modernization and improving the quality of maritime human resources are long-term solutions,” said a maritime industry observer.
Policy Direction Toward Green Ships and Digitalization
In the long term, the shipping industry is being encouraged to adopt low-emission vessels in line with standards set by the International Maritime Organization (IMO). Several national shipping companies have begun testing the use of LNG fuel and satellite-based navigation technology.
At the same time, digital services such as real-time vessel tracking, e-manifest systems, and digital port payments are being introduced to reduce bureaucracy and improve operational efficiency.
With the second-longest coastline in the world and a strategic position along international trade routes, maritime shipping plays a key role in Indonesia’s economic growth. Strengthening sea connectivity is expected to reduce logistics costs, stimulate the shipbuilding industry, and enhance economic resilience across the archipelago.
If these strategic plans are implemented consistently, Indonesia has the potential to become a regional shipping hub in the coming decade.
