RECTOR of the Transportation and Logistics Institution (ITL) Trisakti Yuliantini encouraged strengthening the program National Logistics Ecosystem (NLE) or National Logistics Ecosystem. NLE is a digital platform for logistics services from upstream or ship arrival, to downstream or at the factory by facilitating collaboration between ministries/agencies, companies and logistics players.
“How important are these efforts to strengthen logistics in accordance with Presidential Instruction (Inpres) Number 5 of 2020 concerning Structuring the National Logistics Ecosystem,” he said at the event 8th Grostlog-Global Research on Sustainable Transport & Logistic in Jakarta, Thursday (17/10).
He explained that the Indonesian Logistics Performance Index (LPI) in 2023 had decreased significantly, from previously being ranked 46th in 2018 then dropping to 63rd last year. Therefore, Yuliantini emphasized the need to improve logistics governance with cross-ministerial/institutional planning.
“It is very important for the government and related parties to improve the system for storing and placing commodity raw materials, for example,” he said.
This, he continued, ensures that the production process can run smoothly and costs for raw materials can be reduced. Quoting the official website of the Cabinet Secretariat of the Republic of Indonesia, Indonesia’s logistics costs compared to ASEAN countries are higher. When compared with neighboring countries such as Singapore, Malaysia, which is 23.5% of Indonesia’s gross domestic product (GDP), so the government has a target of reducing logistics costs to 17% of GDP through the NLE program.
Yuliantini added that to build a strong national logistics ecosystem, the government is asked to continue developing infrastructure connectivity and increasing human resource competency.
The Chancellor of ITL Trisakti explained that currently in industrial readiness 4.0, Indonesia is still at level 2, so it is necessary to develop logistics human resources.
“This is a challenging task to develop logistics human resources,” he added.
Another problem related to national logistics is the occurrence of overloading (over loading) caused by changing dimensions (overdimention) and road damage due to overloading. Distribution inefficiencies due to the absence of a logistics platform from upstream to downstream. (J-3)
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