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Both companies agreed to develop AP II’s commercial area in the airport’s cargo warehouse as Garuda Indonesia’s cargo operational service area. According to Garuda’s official statement, there will be revenue sharing between Garuda and AP II from the air cargo business.
Garuda Indonesia was represented by cargo director Sigit Muhartono, while commercial and business development director Daan Achmad signed on behalf of AP II.
“In line with Garuda’s target to obtain $269 million of cargo profit share in 2016, the utilization of this facility will significantly support the company’s cargo business,” Sigit said.
He added he is optimistic in developing the business, particularly as the deal will span 23,000 meters squared.
Daan shared Sigit’s optimism, saying the cooperation will “give a positive contribution to improving Indonesia’s cargo industry, given that Soekarno-Hatta is one of the largest bases for air cargo business in Indonesia.”
Currently Garuda Indonesia has 70 Cargo Service Centers (CSC) all over Indonesia. Of all service centers, 46 CSCs are located in airports and 24 are in city centers. Garuda Indonesia Cargo provides shipping from City to Door and City to Port where CSCs serve as Drop and Pick-up Points.
Garuda hopes to expand its cargo business to remote corners of Indonesia to support the rapid growth of domestic and international cargo shipping.
