Tech News, Magazine & Review WordPress Theme 2017
  • Supply Chain Updates
  • GLOBAL NEWS
  • REGIONAL NEWS
  • Industry Buzz
  • CURRENT ISSUES
No Result
View All Result
  • Supply Chain Updates
  • GLOBAL NEWS
  • REGIONAL NEWS
  • Industry Buzz
  • CURRENT ISSUES
No Result
View All Result
United States Supply Chain Management Council
No Result
View All Result
Home Supply Chain Updates

Indonesia’s Kertajati Airport has lofty cargo ambitions: ‘bringing in the big boys’

usscmc by usscmc
November 20, 2019
Indonesia’s Kertajati Airport has lofty cargo ambitions: ‘bringing in the big boys’
Share on FacebookShare on Twitter

Kementerian Perhubungan Republik Indonesia [Public domain], via Wikimedia Commons

Indonesia’s Kertajati Airport could become South-east Asia’s next major air cargo hub.

Located 170km from Jakarta, near Bandung in West Java, the country’s second largest airport opened in May 2018 at cost of US$153m.

Kertajati was built to handle passenger flights, but, according to local media, passengers have largely stayed away, leaving the airport’s utilisation at just 20%.

Now, according to Indonesian logistics advisor Valkyn Dmello, the airport has a “golden opportunity” to become a major national and regional air cargo hub.

“The airports in Jakarta are very congested,” he told The Loadstar. “But with 1,200 ha of land and a 3km runway that can be extended, Kertajati has the capacity for 50 years of growth.”

Fuelled by Indonesia’s insatiable appetite for e-commerce, its air cargo volumes have grown rapidly in recent years, jumping double-digits in 2018 to reach 1.12m tons. Similar growth is expected this year.

The resulting congestion at Jakarta’s Soekarno-Hatta International Airport, which handles the vast majority of cargo volumes, prompted plans for a new 148,000sq metre air cargo village at the airport.

The project’s progress has been slow, however, Mr Dmello said, and suggested Kertajati could be a perfect solution, given the airport has the space and is already operational. He is working with the local government and multiple stakeholders to set up a task force to get the project off the ground.

“There’s a lot of excitement because of the space available and the fact that the airport is already operating but only managing around 60 flights a week,” he explained.

“Kertajati is under-used because they built it before access roads for passengers were good enough. So passengers complain. But cargo doesn’t complain – as long as it’s efficient.”

The plans for Kertajati are ambitious and extend beyond simply handling spillover cargo from Soekarno-Hatta. For example, Mr Dmello highlighted the success of Hyderabad Airport in India as a possible model for Kertajati and its air cargo potential.

“Hyderabad is a small city in India, but right now it’s number-one in its category for 10 million passengers and it’s a cargo hub with all the major carriers there. It’s also home to the largest Amazon distribution centre outside the US. So if they can do it, we can,” he said.

Since Kertajati is in Indonesia’s most populated province, it’s ideally located for e-commerce cargo, Mr Dmello noted.

“One of Indonesia’s big e-commerce firms has large activity there due to high percentage of small enterprise activity around West Java, and says there’s a lot of small and medium sellers on its platform that would find Kertajati a better export hub than Jakarta.”

He believes Kertajati could become a regional hub for large integrators such as UPS and FedEx, too. The airport could “approach these ‘big boys and offer economic parking and landing rights so they can use it for long-haul flights and cheaper refuelling from a regional perspective, and not just for Indonesian cargo.”

“It’s such an important project, because at the moment we’re not able to bring any of the big boys into the country – we don’t have Amazon, FedEx or UPS using a hub or DC here, even though it’s the largest economy in South-east Asia,” he explained.

The large consumer market surrounding Kertajati also means it could attract some of the big electronics and smartphone manufacturers. Mr Dmello said the likes of Samsung, Huawei and Xiaomi were all exploring their options in Indonesia.

“Some of them are looking at Batam, but Kertajati is better because it’s nearer Jakarta. So we can go out to these guys once we have support from the government and offer land and a free trade zone.”

Kertajati could also target the aviation industry’s maintenance, repair, and overhaul (MRO) market. According to a recent report by Indonesia’s Aircraft Maintenance Services Association, only half of the country’s $1bn MRO market is handled domestically, due to issues with land availability, and so Indonesia is losing out to regional rivals.

“We’ve heard Airbus is looking at setting up an MRO for helicopters at one of the smaller private airports in Jakarta,” Mr Dmello said. “So it wouldn’t be too much of a stretch for them to use Kertajati for larger projects as a strategic ASEAN base.”

usscmc

usscmc

No Result
View All Result

Recent Posts

  • Supply Chain Issues Delay Michigan Statehouse Welcome Center
  • Last Mile Delivery Market Size, Growth And Forecast
  • High shipping rates could increase inflation by 1.5%: IMF
  • Coast Guard responds to adrift cargo ship off California
  • Underinsurance as a Persistent Driver of Cross-Border Antibiotic Procurement in U.S. Border Communities

Recent Comments

  • Top 5 Supply Chain Certifications that are in high demand | Top 5 Certifications on Top 5 Globally Recognized Supply Chain Certifications
  • 3 Best Procurement Certifications that are most valuable | Procurement Newz on Top 5 Globally Recognized Supply Chain Certifications

Archives

  • April 2022
  • March 2022
  • February 2022
  • January 2022
  • December 2021
  • November 2021
  • October 2021
  • September 2021
  • August 2021
  • July 2021
  • June 2021
  • May 2021
  • April 2021
  • March 2021
  • February 2021
  • January 2021
  • December 2020
  • November 2020
  • October 2020
  • September 2020
  • August 2020
  • July 2020
  • June 2020
  • May 2020
  • April 2020
  • March 2020
  • February 2020
  • January 2020
  • December 2019
  • November 2019
  • September 2019

Categories

  • Global News
  • Supply Chain Updates

Meta

  • Log in
  • Entries feed
  • Comments feed
  • WordPress.org
United States Supply Chain Management Council

Categories

  • Global News
  • Supply Chain Updates

Tags

APICS Globally Recognized Supply Chain Certifications IIPMR Certifications International Institute for Procurement and Market Research (IIPMR) ISM Next Level Purchasing Top 5 Supply Chain Certifications top supply chain certifications

Trending

No Content Available
  • Privacy Policy
  • Terms of Use
  • Antispam
  • Disclaimer
  • Contact Us

© 2022 www.usscmc.com

No Result
View All Result
  • Supply Chain Updates
  • GLOBAL NEWS
  • REGIONAL NEWS
  • Industry Buzz
  • CURRENT ISSUES

© 2022 www.usscmc.com

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Cookie settingsACCEPT
Privacy & Cookies Policy

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these cookies, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may have an effect on your browsing experience.
Necessary
Always Enabled

Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.

Non-necessary

Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.

SAVE & ACCEPT