TNT expects Indonesia to deliver a 20% boost
TNT Express expects revenue from its Indonesian operations to grow by 20% this year and plans to spend €100m ($132.2m) to expand its presence in Southeast Asia.
TNT Express expects revenue from its Indonesian operations to grow by 20% this year and plans to spend €100m ($132.2m) to expand its presence in Southeast Asia.
“We have, in the last 12 to 15 months, delivered on our promises to invest and expand our services across the region — whether opening new facilities in Jakarta, Bangkok and Singapore, or offering new freight services and enhanced customer services,” Onno Boots, regional marketing director for TNT Asia, told a press conference in Jakarta on 31 March. “I believe we’ll be able to increase our revenues here this year by 20% from 2008.”
TNT Express is spreading this capital expenditure over a four-year period from 2008 to 2011, Boots said, declining to reveal how much the company planned to specifically allocate to investment in Indonesia.
It plans to expand its reach throughout the country by opening new freight depots in major cities across the archipelago and increasing its fleet of land vehicles to meet rising demand for freight services.
It also expects to broaden its client base across a range of industries — including the technology, machinery and fashion sectors — by catering to companies that are moving increasingly large volumes of high-value goods between China and countries in Southeast Asia and Europe, Boots said.
Indonesia is TNT Express’s third-largest revenue source in Southeast Asia, with its main competitors here being FedEx and DHL. In 2008, the company booked €11.1bn in revenue overall, up slightly from €11.07bn the year before, while the Indonesian businesses was valued at about $1.2bn.
