Indonesia’s logistics market may double or even triple in size by 2019 on the back of government funding for transport and infrastructure investment, according to a UK-based global logistics research firm.
Transport Intelligence recently published its findings that the country’s shipping market would grow by up to 14.7 percent annually until 2019.
Contract logistic, which includes outsourced supply chains, warehousing, inventory and distribution, could also increase by the same amount annually over the period.
The combined domestic and international express logistic market could be worth 9.2 billion Euro by 2019 from 2.9 billion Euro now.
Indonesia’s low land and labor costs, huge domestic market and easy access to neighboring Asean (Association of Southeast Asian Nations) markets could make it a highly attractive location for manufacturers seeking alternatives to China in the near future.