The year ahead is looking positive for Indonesian shipbuilders, who expect good orders from state-owned energy company Pertamina and the maritime ministry, local reports said.

Pertamina has placed orders worth a combined IDR4trn ($289m) for vessels this year, while the maritime ministry has commissioned 3,325 new medium and small boats, according to Indonesia Shipbuilding and Offshore Association (Iperindo) chairman Eddy Kurniawan Logam.“

This will be a very busy year for the country’s shipbuilders,” Eddy said.

However, he noted that orders from the private sector remained weak, blaming a drop in global commodity prices for spending cuts.Iperindo is urging the government to waive import taxes on ship components and spare parts, in a move similar to what it has done for the aircraft industry, in light of the high costs brought about by the weak rupiah. Local shipbuilders rely heavily on imported parts because of a lack of local manufacturing capacity.