Maersk Line, which is seeking to grow its presence in Indonesia, has a Letter of Intent (LOI) with the government for alliance on the maritime economic development of Bitung in the east of the country.

The aim of the LOI is to enhance inter-island connectivity, and is in line with the Indonesia New Maritime Strategy.

The agreement was signed by Ridwan Djamaluddin, Indonesian Deputy Coordinating Minister for Maritime Affairs for Infrastructure; Edy Putra Irawady, Indonesian Deputy Minister for Trade and Industry, Coordinating Ministry for Economic Affairs; and Jakob Friis Sorensen, president director, Maersk Line Indonesia, and Rene Piil Pedersen, group representative for Asia-Pacific, Maersk Group.

“We want to support the development of Eastern Indonesia by understanding the challenges and opportunities for the supply chains of key commodities such as tuna, coconut and their downstream products, as well as the potential of aquaculture development and the need to improve vocational skills in this area,” Sorensen said. “We see the added value this will bring and expect this will enhance the economic activity and trade of the country.”

Focus will be placed on driving increased connections for Eastern Indonesia to more developed parts of Indonesia and Southeast Asian region and beyond.

“We are excited to partner with the Indonesia government to enable trade and develop for example, the fishing industry, which will create jobs and economic development to the local communities. If successful, our aim is to make Bitung a model for replicating good practice in other parts of Indonesia to bring about increased trade for the country,” Sorensen added.

Earlier this week Maersk was reported as being willing to invest $3bn in Indonesian domestic shipping, if the country relaxed its cabotage laws.

The group’s port operating arm – APM Terminals – has flagged interest in Indonesia on a number of occasions in recent years.