Indonesia’s Soekarno-Hatta looks to expand cargo facilities

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Jakarta’s Soekarno–Hatta International Airport (CGK) is eyeing cargo to help off-set the devastating impact of Covid-19 with new additional cargo handling capability. Indonesia is Southeast Asia’s largest economy.

PT Angkasa Pura II, Indonesia’s largest airport operator is planning to construct a new cargo-handling facility at Jakarta’s Soekarno–Hatta International Airport (CGK).

The airport, long-known for its passenger congestion and faltering cargo facilities is looking for a public-private partnership in developing new facilities that will boost the airport’s handling capabilities from the current 600,000 tonnes a year to one million within the next three years.

The total investment is estimated to be IDR 7.5 – 8 trillion (USD 545 million), Muhammad Awaluddin, president director, PT Angkasa Pura II, told Bloomberg. “We have a lot of interest in the project,” he adds noting that government-owned Garuda Indonesia will also be involved in the project.”

While passenger traffic has tanked the world-over, cargo is surging as limited capacity – a result of dramatically scaled back passenger traffic which has severely cut belly cargo capacity – has made cargo a life-blood for airlines and airports.

Cargo demand has risen from nearly 7,000 tonnes a month in March to some 24,000 tonnes a month in July, according to Indonesian transport ministry data. The domestic airport company operates 19 airports across Indonesia.

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