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Thursday, 18 August 2016
ICAC Head: Immediately Build a Cargo Village
The Indonesia Cargo Agent Club (ICAC) held Halal bihalal (gathering) program at FIN Logistic head office, Jakarta. Besides, making hospitality between members, the event also synergize all stakeholders who associate with the air cargo activity at the airport like Soekarno-Hatta Trade Facilitation Committee (STFC), Association of Indonesian Regulated Agent Companies (APPKINDO), and other institutions.
The ICAC Head, Ade Wellington in his welcome speech said that global economy really depends on the competence to get high quality product with competitive price for all consumers worldwide, and airfreight is an effective way to carry goods safely and swiftly.
"Currently air cargo is a trading facilitator that gives significant contribution for the global economy growth and generates millions of job opportunities. In 2014, air cargo only carried goods for 51.3 million metric tons or less than 1% of the world trade volume. However, the value total of carried goods reached US$6.8 trillion or around 35% of world trade value in that year," Ade explained.
Besides giving contribution in global economy, air cargo business also gives contribution to airlines like significant revenue. Quoting the 2015's data from IATA, world average, air cargo contributed 9% of airlines' revenue or double compared to business class' passengers.
ICAC believes that this business will continually grow in line with the population growth as well as the standard of living in Indonesia. Moreover, as a member of G20 since 2010 - a group of countries that dominate 85% of world national income, 80% of trade and 2/3 of world population - more and more, Indonesia becomes world's attention.
"However, it's very ironic because Indonesia is only a market target for producers' countries so that imports are bigger than exports by air that tend being stagnant.Actually, air cargo is the right solution for high-quality export products including perishable that many are produced by Indonesia," said ICAC Head continuing his statement.
Ade Wellington said besides the big potency to become a producer country especially for perishable, Indonesia also has other big potencies because its strategic location as a transshipment for global goods flow like Singapore. However, up to today, Indonesia hasn't seen transshipment business as a profitable business due to the regulation and airport infrastructures especially the warehouses. In other words, Cargo Village is not ready yet.
"Therefore, on behalf of ICAC, I asked STFC and APPKINDO to support the government and the state-owned corporates, here is the airport operator to realize the Cargo Village in Soekarno-Hatta International Airport that has been pended since 2011," he said.
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