In a bid to make Hang Nadimairport on Batam Island a leading aircargo hub, the development authorityof the island, Otorita Batam, has inkeda deal with St Claire County of Illinois,Evergreen Airlines, and Cardig International.Batam Island is located at thewestern tip of Indonesia.

The agreement was signed byOtorita Batam’s deputy for administrationand planning, M. Prijanto; StClaire County board chairman MarckA. Kern; vice president Asia operationsof Evergreen Airlines Ranjit Seth; andmanaging director and CEO of CardigInternational, Adji Gunawan.

The expansion of international aircargo services at the airport will bepromoted by Mid America St. LouisAirport, Illinois, which is run by St.Claire County.

According to Prijanto, the co-operationis timely, considering the fact thatthe investment in Batam has grown significantlywith on average 80 companiesrelocating to the island every year.

“Developing this airport is expectedto slash shipment charge because goodscan directly be air-freighted from Batam to the US, without the current transit in Singapore,” Prijanto said.

Indonesia is one of Illinois’ importanttrading partners. The value of Indonesia’sexports to Illinois is US$178.5million per annum.

According to Indonesian TradeMinister, Mari Elka Pangestu the agreementand all other efforts to turn HangNadim into Asia Pacific’s air cargo hub,will increase the status of Batam Islandfrom an industrial and bonded zone toan international trade hub.

The co-operation not only is expectedto boost exports and imports,but also improve the economic growthin Kepulauan Riau province, whichare in line with plans of makingBatam Indonesia’s dedicated economiczone.

– Siktus Harson