DHL plans Indonesia expansion

DHL Danzas Air and Ocean plans to set up more facilities in Indonesia by the end of the year as increased trade within Southeast Asia continues to grow. “Indonesia is a very interesting market. We would like to take full advantage of the Indonesian market,” DHL Danzas Asia Pacific Chief Executive Peter Lansiedel said.

Lansiedel said the company, a unit of Deutsche Post’s DHL Worldwide, planned to open four new offices and logistics centers for air and ocean freight by the end of this year, but he declined to provide details on the location and estimated investment for the new facilities, DHL Danzas claims to have invested 2.1 million dollars in Indonesia over the past four years.

The company, represented by local partner PT Danzas Sarana Perkasa, now operates five logistics centers with a combined warehouse capacity of 2,000-square meters: in Jakarta; Surabaya, East Java; Denpasar, Bali; Balikpapan, East Kalimantan; and Batam. The newest is the Balikpapan center, which opened in July.

All centers are jointly operated by DHL Danzas and DHL Express, which is represented in Indonesia by PT Birotika Semesta.

Landsiedel said the company expected its overall business in Indonesia to grow between 6 to 9 percent this year.

Last year, DHL’s Indonesia business amounted to 17,000 air shipments weighing 7,000 tons and about 11,000 ocean freight shipments totaling 14,000 TEUs. The company said it has more than 2,000 active clients in Indonesia.

According to the company, Indonesia’s total air freight volume reached 466,000 tons in 2003 and grew by 12.2 percent on-year in the first quarter of 2004, while ocean freight volume stood at 3.1 million TEUs in 2003.

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