Intermodal Connectivity through Hub & Spoke

Update Nov 2016

member of

2

Introducing hub & spoke concept

SPOKE HUB

HUB

EASTSPOKE

WESTSPOKE

1

2

5

3 4

21

78

1011

12

1314

16

17

18

18

20

22

24 23

25

9

15

42East SPOKE

Cikarang Dry Port(Customs Clearance &

Port Clearance)

HUB Tj. Priok Sea Port

(Port Handling)

West SPOKE(proposed)

Cikarang Dry Port work as spoke and hubwith Tanjung Priok Seaport

62%

JABABEKA

MM 2100

EJIP LIPPO

HYUNDAI SURYA CIPTA

KIKCKIM

KBI

KIIC

GIIC

Connecting industries in the hinterland to the seaport

Port Code: IDJBK

All formalities are

completed at Cikarang Dry Port

Only vessel berthing and port handling need to be done at the seaport

29 shipping lines

Tanjung Priok(IDJKT)

CDP(IDJBK)

Import Process

By Consignee / Forwarder

Flow Chart

Shipper / Consignee

CDP/IDJBK asPlace of DeliveryOn Multimodal B/L By Carrier

Export Process

By Carrier By Shipper / Forwarder

CDP/IDJBK asPlace of ReceiptOn Multimodal B/L

BondedLogisticsCenter

SeaportAbroad

Cikarang Dry Port as place of receipt or delivery

Under Multimodal Transport Bill of Lading

Bonded transfer with electronic seal

For monitoring & security measure

12

200 ha of

integrated port & logistics facilities

To Tg Priok

To Surabaya

Mobile X-Ray

Physical Inspection

Reefer

Container Yard

Bonded Logistics Center 2(under construction)

Bonded Logistics Center

Empty DepotOffice: CDP, Customs, Quarantine, Banking

CFS

Gate

Container Yard’s capacity

400,000 TEUs per annum

128 reefer plugs available

Physical Inspection Facilities

Mobile X Ray for container scanning

Empty Container Depot

Special containers handling

Operator:

Container Freight Station for Less than Container Load consolidation

Consolidators:

Online Tracking

Domestic Rail Freight Service

Seaport – Dry Port Railway Connectivity22

23

Old emplacement(For 20 cars of train)

Container Train Station Expansion

Emplacement Expansion(For 30 cars of train)

Railway: Tg Priok – Cikarang - Surabaya

To Surabaya

To Tg Priok

Smart Port Solution

Data center

Customs & other government

agencies

CDP System Applications

Automation & integration order & manifest system

Fleet management system

TPS online comply

Integratedapplication

Local, mirror, cloudIntegrated data center

E-seal as integrated platform

TPS Online

CRM implementation

E-billing, mobile system

CDP integrated security systemComply to Customs auto-gate

Terminal Operator billing system (SP3B integrated, etc)e-DO

CDP cloud

Terminal Tariff Comparison (in rupiah)

• Valid from 1 July to 31 Dec 2016• Terminal/port charges are settled in Cikarang Dry Port

Tanjung Priok Sea Port

20 ft 40ft

Handling

- Lift On / Lift Off 187,500 281,300

Storage

- Basic Tariff 27,200 54,400

Import

- Day 1 Free Free

- Day 2 81,600 163,200

- Day 3 163,200 326,400

- Day 4 and forth 244,800 489,600

Free Time Storage Import 1 day from ATA Priok

Free Time Storage Export 5 days counted 1 – basic tariff

Penalty

- After SPPB (Customs) 200%

-After SP2 (Port) 300%

Physical Check (Behandle) 1,015,000 1,390,000

Cikarang Dry Port

20 ft 40ft

Handling

- Lift On / Lift Off 187,500 281,300

Storage

- Basic Tariff 25,840 51,680

Import

- Day 1 - 5 Free Free

- Day 6 - 10 51,680 103,360

- Day 11 and forth 77,520 155,040

Seaport Storage Cost Recovery 163,200 326,400

Free Time Storage Import 5 days from ATA CDP

Free Time Storage Export 7 days from ETD Vessel

Penalty

- After SPPB (customs) Free

- After SP2 (Port) Free

Physical Check (Behandle) 1,015,000 1,390,000

26

• Streamlined Process• One stop service• Reduce shipment time & cost• Better supply chain planning

• Expanding seaports reach to hinterland

• Developing new economic & production centers in hinterland

• Increasing sea port handling capacity

• Reduce dwelling time, congestion, & fuel consumption

• Lower road & highway maintenance cost

• Reduce berthing queue• Increased truck

utilization

Cargo Owner

Government&

Nation

Liner & 3PL

Benefits of Hub & Spoke

Bonded Logistics Centerin Cikarang Dry Port

Definition

Page 28

Bonded logistics center is similar to free trade zone concept where international traders could pile their stock at a designated warehouse or area in Indonesia.

With fiscal facilitation import taxes or duty on the stockpile would be deferred, until the stock is bought by a buyer and leaves the warehouse. In several countries it’s known as non resident inventory.

Legal Frameworks

Page 29

2nd Economic Policy PackageSeptember 2015

Gov’t RegulationNr. 85/2015

November 2015 MoF RegulationNr. 272/PMK.04/2015December 2015

11 PLB inaugurated by President(including CDP’s)March 2016

Goods Ownership in PLB

Page 30

Goods are entitled to PLB Operator

Supplier-owned goods are consigned to PLB (consignment). Transaction has not yet occurred upon entering PLB

Goods have been entitled to importer in domestic, and importer stored it temporarily in PLB. Transaction has occurred.

PLB

PLB owned1

Supplier owned2

Importer owned3

Existing Cotton Supply Chain

STORAGEPORT

Farmer Grading Warehouse

DistributionCenter

Origin Country

RegionalDistribution Center

DistributionCenter

Buyer

Middle Country Destination Country

New Scheme Cotton Supply Chain

Farmer Grading Warehouse

DistributionCenter

Origin Country

RegionalDistribution Center

DistributionCenter

Buyer

Middle Country Destination Country

STORAGE

PORT

DOMESTIC

Logistics Park• Warehouses• TPP

Railway:• Domestic• International

Port (70 Ha):• Customs• Quarantine• Physical Check• Container Yard• Reefer Plugs• CFS

Location in Cikarang Dry Port

Page 33

Bonded Logistics Center 2(under construction)Bonded Logistics Center

Bonded Logistics Center: Cotton

Page 34

Page 35

Bonded Logistics Center 2 (construction progress)

Page 36

1st Cotton Shipment June 9th, 2016

Page 37

1st Cotton Delivery August 15th, 2016

Page 38

Ministers Visit Sept 23rd, 2016

Page 39

• Saving warehouse cost• Saving transportation cost• Closer to buyer

• Increasing logistics efficiency• Increasing local industry

competitiveness• Becoming logistics hub of SE Asia

• Certainty in supply• Faster lead time• Reducing inventory and

working capital

Shipper

Government&

Nation

Buyer

Benefits Bonded Logistics Center

PT. Cikarang Inland Port

Cikarang Dry Port

@CikarangDryPort

marketing@cikarangdryport.com

+6221 2908 2908

Jl. Dry Port Raya, Kota Jababeka, Cikarang, Bekasi 17530, West Java, Indonesia

www.cikarangdryport.com

Thank You

Stakeholders and Customers

TerminalOperator

(5)

LandTransporter

(2)PT Mustika Alam Lestari

Logistics Service

Provider(40+)

Page 41

Terminal 3

Stakeholders and Customers

Shipper Consignee

(400+)

Page 42