Yoanita Hastryka DjohanEditor: Anton Santoso Copyright © ANTARA 2024 Cari English Toll Roads in North Sumatra Have Not Been Optimized to Encourage Downstreaming of the Rubber Industry TEKS › English›Toll Roads in North Sumatra.. Iklan Toll Roads in North Sumatra Have Not Been Optimized to Encourage Downstreaming of the Rubber Industry The increasingly extensive toll road network in North Sumatra has not been optimized to encourage downstream rubber industry Audio Berita This article has been translated using AI. See Original Please note that this article was automatically translated using Microsoft Azure AI, Open AI, and Google Translation AI. We cannot ensure that the entire content is translated accurately. If you spot any errors or inconsistencies, contact us at hotline@kompas.id and we'll make every effort to address them TEKS DOKUMENTASI PT HUTAMA KARYAThe construction of the Binjai-Pangkalan Brandan Toll Road Section III in the center of oil palm and rubber plantations in Langkat Regency "The expanding toll road network in North Sumatra should be the government's main asset in marketing several industrial zones especially the Sei Mangkei Special Economic Zone (SEZ) in the plantation center in Simalungun," said the Executive Secretary of the Indonesian Rubber Company Association (Gapkindo) in North Sumatra The highway in North Sumatra is expanding with the addition of new toll sections PT Hutama Karya (Persero) has begun operating the Lima Puluh-Kisaran Toll Road which previously only reached Batubara Regency one of the centers for rubber and palm oil production Edy stated that North Sumatra is one of the largest rubber centers in Indonesia The province has extensive rubber plantations and is supported by waste rubber factories in several areas The rubber industry in North Sumatra is already quite advanced but it only produces semi-finished materials Also read: President Inaugurates Tebing Tinggi-Fifti Toll Road, North Sumatra's New Economic Motor Rubber farmers tap in their gardens in Cahaya Mas Village the rubber industry in North Sumatra has been stagnating This is because there are not many factories that absorb rubber products to be processed into finished goods the tire industry is the largest industry that absorbs natural rubber there are also several latex rubber glove factories in Medan that require rubber Also read: North Sumatra's Rubber Industry Falls from Upstream to Downstream Edy said that several years ago there had been a number of investors exploring the construction of a tire factory in North Sumatra. At the beginning of the construction of SEI Mangkei SEZ tire manufacturers Dunlop and Goodyear expressed interest in establishing a tire factory in the industrial area in the middle of the rubber and palm oil plantations Two world tire manufacturers have been exploring plans to build a factory since 2015 the investment plan has yet to be realized until now Cattle are being grazed in a rubber plantation owned by a company in the Tapian Dolok district of Simalungun Regency Integrating animal husbandry with plantations is a solution to the lack of grazing fields the investment plan should be prioritized by the government because the tire factory is not only targeting the domestic market the investment is very beneficial as Indonesia becomes a production base for the global market there has not been any strategic step taken to realize investments in the downstream rubber industry The government also has yet to create regulations to accelerate the entry of rubber investments in North Sumatra Also read: North Sumatra Connected by Toll Road to the Aceh Border, Sumbagut's New Economic Motor the toll road infrastructure network in North Sumatra has significantly expanded in recent years the toll road from Medan stretches to Kota Binjai and Langkat All of these areas are centers of plantation and palm oil and rubber industries A collector loads rubber sheets purchased from farmers in Cahaya Mas village This condition is also supported by the Belawan Port in Medan and the Kuala Tanjung Port in Batubara There is also the Kualanamu International Airport in Deli Serdang Most of these areas are also connected by freight and passenger railway lines and are supported by several large industrial areas "This should be a very attractive investment attraction if it is prepared well," said Edy Edy stated that the rubber industry in North Sumatra is currently struggling The price of rubber at the farmer level is very low Also read: Deteriorating, Save the National Rubber Industry The price is below the favorable price level for rubber farmers and tappers the supply of rubber raw materials from farmers continues to decrease causing several rubber factories to permanently or temporarily close down The quite massive infrastructure development in North Sumatra should be a momentum to revive the rubber industry The construction of tire factories is expected to be realized soon so that the rubber industry ecosystem in North Sumatra will improve again President Joko Widodo inaugurated the Tebing Tinggi-Indrapura-Limapuluh toll road section which stretches 43.6 kilometers from Tebing Tinggi City to Batubara Regency President Joko Widodo inaugurated a section of a toll road up to the Lima Puluh District the President urged that the construction of toll roads be utilized to improve the regional economy "This will drive the economic growth of the region I am confident that with the construction of this toll road there will be more investments coming in to develop various potentials in North Sumatra Province," said the President (Kompas.id The President also mentioned that the toll road in North Sumatra improves the speed of logistics delivery to Kuala Tanjung Port and Belawan Port as well as increases investment in the Sei Mangkei Special Economic Zone The toll road also enhances connectivity in the tourism area around Lake Toba The increasingly extensive toll road network in North Sumatra should be the government's main capital for marketing a number of industrial areas Vehicles pass through the Sinaksak Toll Gate on the Tebing Tinggi-Sinaksak toll road in Simalungun Regency Hutama Karya Corporate Secretary Adjib Al Hakim stated that the operation of the second section of the Lima Puluh-Kisaran toll road will increase the economic impact of toll road development in North Sumatra "The benefits of the presence of this toll road will become increasingly real especially regarding the ease of inter-city connectivity," said Adjib Adjib mentioned that this toll road will shorten the travel time from Medan to Kisaran The mobility of the community has the potential to increase and make intercity travel more efficient Cari English Hutama Karya Receives State Capital Investment of IDR 18.6 Trillion for the Trans-Sumatra Toll Road TEKS › English›Hutama Karya Receives State.. Iklan Hutama Karya Receives State Capital Investment of IDR 18.6 Trillion for the Trans-Sumatra Toll Road The state capital investment for Hutama Karya will be used to complete the construction of the Trans-Sumatra toll road Audio Berita This article has been translated using AI. See Original TEKS HUTAMA KARYABinjai Pangkalan Brandan section of the Trans-Sumatra Toll Road BANDA ACEH, KOMPAS — PT Hutama Karya (Persero) received additional state capital participation in 2024 amounting to IDR 18.6 trillion The additional fresh capital will be projected to build phase I of the Trans-Sumatra Toll Road and continue construction of phase II Executive Vice President (EVP) of the Corporate Secretary of Hutama Karya stated on Wednesday (24/4/2024) that the addition of state capital participation (PMN) for Hutama Karya has been approved by the government through Law Number 19 of 2023 concerning the State Revenue and Expenditure Budget (APBN) for 2024 The approval is also regulated in Presidential Regulation (Perpres) Number 76 of 2023 concerning the Details of the State Budget for the Fiscal Year 2024 "The PMN worth Rp 18.6 trillion will accelerate the development of toll roads in Sumatra especially in completing the phase I of the Trans-Sumatra Toll Road (JTTS) as well as continuing the construction of one section of JTTS phase II," said Adjib Also read: Cross Sumatra Toll Roads Need to be Supported by Ease of Logistics Transport The utilization of PMN amounting to Rp 18.6 trillion Rp 5.17 trillion for the completion of the JTTS phase I including Binjai-Langsa (Binjai-Pangkalan Brandan section) Simpang Indralaya-Muara Enim (Simpang Indralaya-Prabumulih section) Kuala Tanjung-Parapat (Kuala Tanjung-Pematang Siantar section) Lubuk Linggau-Bengkulu (Lubuk Linggau-Taba Penanjung section) Pekanbaru-Padang (Sicincin-Padang section) and Pekanbaru-Padang (Pekanbaru-Koto Kampar section) As for the total sections of JTTS that have been fully operational including the Palembang-Indralaya Toll Road and Terbanggi Besar-Pematang Panggang-Kayu Agung Toll Road PMN was also utilized for the development of the Kayu Agung-Palembang-Betung Toll Road (Palembang-Betung Section) with a distance of 69 km included in the second phase of JTTS development "The realization of PMN provides a multiplier effect for a number of parties Also read: The Trans-Sumatra Toll Road Must Be Able to Encourage New Economic Growth they will also propose a budget in the 2025 state budget This is because the development of phase II sections still requires financing Hutama Karya has received PMN of IDR 112.5 trillion The presence of the Trans-Sumatra toll road facilitates connectivity between provinces in Sumatra and with Java Island During the 2024 Eid al-Fitr homecoming season the Trans-Sumatra toll road will be crossed by more than 2 million vehicles "This achievement cannot be separated from the government's support through state capital injections given since 2015 Hutama Karya has received state capital injections of IDR 112.5 trillion," said Adjib One of the roads entering stage I is the Banda Aceh-Sigli road which leaves section I (Seulimum-Padang Tiji) This section I is targeted to be completed in 2024 so that during the implementation of the National Sports Week in September 2024 stated that the construction of the Aceh-North Sumatra Toll Road is highly anticipated by the people of Aceh Bustami believes that the continuity of toll road development in Aceh will drive the development of the region in various sectors President Joko Widodo inaugurated the Sigli-Banda Aceh toll road section 4 which connects Indrapuri-Blang Bintang during his working visit to Aceh Province on Tuesday (25/8/2020) President Joko Widodo has issued Presidential Regulation Number 42 of 2024 regarding the Third Amendment to Presidential Regulation Number 100 of 2014 on Accelerating the Construction of Toll Roads in Sumatra The presidential regulation mentions the construction of a toll road connecting Aceh province with North Sumatra as part of the development of toll road sections in the third phase The change in the presidential regulation provides new hope for infrastructure development in the westernmost province of Indonesia the construction of the third phase of the toll road will only be carried out after the completion of the first and second phases Also read: Toll Road Opens Aceh Road to Become New Economic Epicenter in Sumatra Cari English The toll road in North Sumatra is getting wider, the Sei Mangkei SEZ is still running in place TEKS › English›The toll road in North Sumatra.. Iklan The toll road in North Sumatra is getting wider the Sei Mangkei SEZ is still running in place North Sumatra's toll network is expanding and is connected to the Sei Mangkei SEZ Audio Berita This article has been translated using AI. See Original TEKS PT HUTAMA KARYAPT Hutama Karya undertakes the construction of the Binjai-Pangkalan Brandan Toll Road Section III in the palm oil and rubber plantation center in Langkat Regency The toll road network in North Sumatra already connects the Special Economic Zone Sei Mangkei in Simalungun with palm oil plantation centers, industrial areas which is specifically for downstream palm oil and rubber An area that has been supported by fairly good infrastructure is not yet attractive to investors Most of the areas prepared for the 200 factories are still empty Obstacles to investment in the Sei Mangkei Special Economic Zone include non-competitive energy supply and prices and incomplete regulations for palm and rubber plantations "The development of special economic zones cannot be achieved solely by building infrastructure The surrounding areas must also be developed existing regulations must be improved," said Chairman of the Indonesian Palm Oil Entrepreneurs Association in North Sumatra Timbas said that entrepreneurs welcomed the construction and operation of new toll roads which continue to increase in North Sumatra toll road construction must be followed by regional development and improved regulations An employee walks in front of the office building of PT Unilever Oliochemical Indonesia in the Sei Mangkei Special Economic Zone Most recently, PT Hutama Karya (Persero) started operating and implementing commercial tariffs on the 32.15 kilometer Limapuluh–Kisaran Toll Road as of Wednesday (19/6/2024). The toll road network which previously only reached Batubara Regency now reaches Asahan Regency Although there is no direct toll gate to the Sei Mangkei Special Economic Zone the area is now only about 8 kilometers away from the Lima Puluh Toll Gate in Batubara Timbas stated that the development of a wider toll road network which is now connected to the Sei Mangkei Economic Zone should increase investment in the economic area The main issue that needs to be addressed is the price of energy The price of gas delivered through pipelines is more expensive compared to gas prices in other areas and social facilities in the Sei Mangkei Economic Corridor (KEK) and its surroundings must also be carried out immediately The development of settlements for workers at various levels has not been done until now Families of workers in the KEK Sei Mangkei have to live in Medan which is 120 kilometers away from the KEK Sei Mangkei Also read: Toll roads in North Sumatra have not yet been optimized to encourage downstream rubber industry PT Kereta Api Indonesia tested container trains departing from the Sei Mangkei Special Economic Zone in Simalungun to Belawan Port in Medan "Don't let the toll road only serve to make it easier for workers to go home to their families in Medan should be prioritized so that the region can further develop," said Timbas the impact of toll roads cannot just be calculated based on the shortened travel time for logistics transportation the benefits gained from the infrastructure are limited to just faster and more efficient logistics transportation Transportation that usually can only make one trip to transport crude palm oil from the factory to the port may now make two trips the use of toll roads also reduces the theft of crude palm oil (CPO) by working with drivers the benefits of toll roads should be more than that "Toll roads should be able to enhance downstreaming and become the lifeline of the regional economy," said Timbas Timbas stated that an immediate regulatory review that needs to be carried out is the policy of supplying domestic cooking oil (DMO) needs that requires producers to supply domestic palm oil needs Palm oil that can be exported is a maximum of four times that which is supplied domestically The government's assignment for the procurement of cooking oil at a fixed price of IDR 15,500 per liter is also problematic The government has delayed payment to cooking oil producers and retail entrepreneurs for up to two years This has caught the attention of investors for investment opportunities The Executive Secretary of the Indonesian Rubber Association in North Sumatra (Gapkindo) North Sumatra is one of the largest rubber centers in Indonesia supported by vast rubber plantations and scrap rubber factories in several areas the rubber industry in North Sumatra only produces semi-finished products the tire industry is the largest industry that utilizes natural rubber and can create many job opportunities Edy stated that at the beginning of the development of Sei Mangkei SEZ Dunlop and Goodyear tire manufacturers had expressed their interest in establishing a tire factory in the SEZ located in the midst of rubber and palm plantations this investment plan has not been realized until now Investments in tire factories should be highly advantageous for Indonesia as the raw materials are sourced domestically Such investments should not only target the domestic market but also the global market This investment model is highly profitable as Indonesia becomes a production base for the global market "Good infrastructure should be a very attractive investment attraction if it is prepared well," said Edy the toll road infrastructure network in North Sumatra has significantly increased in recent years The toll road from Medan extends to the cities of Binjai and Langkat All of these regions are centers for palm and rubber plantations and industries The area is also supported by Belawan Port in Medan and Kuala Tanjung Port in Batu Bara There is also Kualanamu International Airport in Deli Serdang The area is also connected by freight and passenger train lines and supported by a number of large industrial areas that have been operating for a long time stated that after conducting operational trials with free tariffs for the past few months they will begin implementing tariffs for section II of the Lima Puluh-Kisaran Toll Road The operation of the toll road is expected to increase the economic impact in North Sumatra Adjib stated that this toll road will shorten the travel time from Medan to Kisaran from the previous 5 hours to around 2.5 hours The mobility of the community has the potential to become even higher and make intercity travel more efficient The operation of the toll road was inaugurated by President Joko Widodo in February 2024 the President mentioned that the toll road was for the development of several areas in North Sumatra "This toll road section will improve connectivity to tourist areas in Lake Toba then also increase logistics speed to Kuala Tanjung Port (Batu Bara) and also related to the Sei Mangkei Special Economic Zone," said the President (Kompas.id Also read: President Inaugurates the Tebing Tinggi-Fifti Toll Road, North Sumatra's New Economic Motor