TNT Indonesia launched a new flight connection Singapore-Balikpapan with a leased Boeing 737-300cargo freighter from Cardig Air, an Indonesian air freight carrier, to increase its revenues up to
50% in Kalimantan on Borneo, Indonesia, in 2009.With the operation of the B737-300 cargo freighter, TNT guarantees its customers dedicatedspace and direct cargo flights on the route Singapore-Balikpapan-Singapore twice a week. Thefreighter service with a capacity of 16 tons will have a significant impact on TNT’s capability inBalikpapan, a seaport city on the eastern coast of Borneo island, Indonesia, to provide a betterand competitive solution for customers mainly from mining, oil and energy industries, TNT said in astatement.
The expanded service with the operation of Boeing 737-300 enables TNT’s customers in EastKalimantan to have their freight shipments delivered to and from other parts of the world withouthaving to make a transit stop in Indonesia’s capital Jakarta. Through TNT’s integrated air and roadnetwork, businesses in Balikpapan are connected to the rest of Southeast Asia, Australia andEurope, thus offering faster transit times and simplify chain processes for customers in EastKalimantan.
“The resource-rich Kalimantan is one of key areas that contribute greatly to Indonesia’s GDP,especially the development of national export-import,” said Ivan Siew, Director of TNT Indonesia. “We see a huge potential for the growth of our business in this market that is still not exploredyet. Through the operation of Boeing 737-300 from Balikpapan to our regional hub in Singapore,where shipments from Europe and the rest of Asia transit through, we expect to increase our revenueup to 50 % in Kalimantan this year. The new service shows TNT’s commitment in its business inIndonesia.”
Siew explained: “A spare part shipment picked up today in Amsterdam can be delivered inBalikpapan in three days. We know that time is critical in the oil, gas and mining industry. Miningexploration activities will stop if a spare part is not delivered on time, and time is money. AtTNT, we are able to respond quickly to our customers’ urgent demands be it important tenderdocuments or heavy equipments.”
Based on data from the Ministry of Trade, East Kalimantan contributed 8.5% to total nationalexports and imports in 2008. East Kalimantan is ranked fifth for non-oil and gas exports in 2008with a total contribution of 6.37% from total imports in Indonesia. Australia, Singapore and Taiwanare the main export destinations that are mostly handled by TNT in East Kalimantan. Meanwhile themain import origins are Australia, Singapore, China and Belgium.
“As the only scheduled cargo airline in Indonesia, Cardig Air is very pleased to inform thatwe are open to serve any clients who search for a quality logistics service air cargo carrier. Tobe specific, Cardig Air is proud to become the preferred partner of a company with such aworld-wide reach and international standards as TNT. The result of this collaboration will furthersupport the economical growth in East Kalimantan through increased exports and imports, and thusbrings much-valued benefit to the local government and people,” explains Boyke Soebroto, CEO ofCardig Air.
The launch of direct connection from Singapore to Balikpapan is another key milestone for TNTin the region since April last year, when Singapore was made a permanent stopover between Liege andShanghai for the company’s Boeing 747-400. This is in addition to TNT’s launch last year of itsrange of freight services for time sensitive heavy shipments Express Freight, Economy Freight andFreight Plus, the company said in a statement.
Established in 1979, TNT Express Indonesia operates in 33 main cities in the country with anetwork of 17 branch offices, 14 agents, 10 depots and six gateways in Jakarta, Surabaya, Batam,Medan, Denpasar, and Balikpapan. The company employs 600 staff all over Indonesia.
