Wahyu Nur Hidayatun Nisa, ITS Marine Transportation Engineering student, when received the announcement of the winner of Databooks Competition 2020

ITS Campus, ITS News – The condition of the coal mining sector in Indonesia, which is currently being hit by a pandemic, is of particular concern to Wahyu Nur Hidayatun Nisa, a student of Institut Teknologi Sepuluh Nopember (ITS). Through an article entitled Pelayaran Coal Indonesia Up from the Shackles of the Pandemic, he highlights the latest facts on how this sector is reviving, especially in the field of coal shipping.

Wahyu explained that the coal sector is currently in an oversupply condition, where the amount of supply remains but the amount of demand has decreased drastically. “This makes many ships idle and used for storage only,” said the student of the ITS Marine Transportation Engineering Department.

Wahyu explained that the coal sector is currently in an oversupply condition, where the amount of supply remains but the amount of demand has decreased drastically. “This makes many ships idle and used for storage only,” said the student of the ITS Marine Transportation Engineering Department.

Indonesia’s main export commodity data

Responding to this, according to the student from Blitar, Indonesia now needs to implement a new, accurate strategy to cover these mandatory needs. He initiated both short-term and long-term strategies. Short-term strategies include the Integration Strategy which includes horizontal and vertical strategies.

This girl who was born in 1998 explained, in this short-term strategy, several things need to be optimized. Among them are opportunity voyage, cooperation with banks, negotiation of charter contracts, cooperation with the government, and streamlining of ship maintenance.

Then for the long-term strategy, Wahyu explained three main points. Starting with opening new markets, making effective use of fleets, and changing the terms of financing from Free on Board (FOB) to Cost, Insurance & Freight (CIF). “With CIF, not only delivery of goods on board, but transportation costs and insurance premiums have been paid to the port of destination,” he said.

Cost and income sensitivity analysis

With the change to CIF, Wahyu analyzed that the total cost will be less than the FOB. Even so, another strategy is still needed, namely targeting the market for commodities that can be carried by ships as return cargo to Indonesia so that cost reduction can be maximized. “All these long-term strategies can be carried out by business actors which can be used to boost their income again after the pandemic,” he said.

Through the article that led Wahyu to become the second winner in Databooks Competition 2020 on September 25, he hopes to educate the public about the great potential of coal as the main key to electricity in Indonesia and the world. It is also a consideration for related parties to jointly rise from the shackles of this pandemic. “The targets of this article are policymakers, namely the government, banks, and especially the coal shipping industry,” he said. (AI/ITS Public Relations)

Wahyu Nur Hidayatun Nisa, ITS Marine Transportation Engineering student, shows the data in his article that won second place at Databooks Competition 2020