ASIATODAY.ID, JAKARTA – InJourney Aviation Services (IAS) will build an integrated aerotropolis area of 80 hectares at Yogyakarta International Airport. Above this area, there will be residences, offices, sports centers, hospitals, retail businesses, warehouses, hotels and exhibition locations.
“Later, this warehouse will be close and have special access to the airport, close to the MICE center for exhibitions, so it will become one single area to improve the economy in Kulon Progo,” said IAS Main Director, Dendi Tegar Danianto, quoted on Monday, January 13 2025.
It is known that the global logistics market is estimated to reach US$ 12.68 trillion in 2025. This positive trend follows the growth of e-commerce which is predicted to reach US$ 7.4 trillion in 2025, thus requiring innovation in the logistics sector that is more efficient.
Dendi said that his party, as a government partner, has had long experience over the last five years in the logistics and cargo terminal industry. Currently, there are nine major air cargo hubs and 39 cargo terminals managed by IAS throughout Indonesia, to meet industrial distribution needs, both domestic, export and import.
“When compared with land and sea, air cargo tends to be more expensive. But for some industries that focus on time sensitivity or require speed, we can enter. “Prices are also quite competitive compared to other countries,” said Dendi.
This plan is fully supported by the government in order to improve connectivity which has been the cause of high operational costs in the logistics sector. This is proven by World Bank data, which states that logistics costs in Indonesia reach 23 percent of Gross Domestic Product, higher than the average for other ASEAN countries of around 14 percent.
“In fact, the government supports the initiation of this IAS, because it is hoped that this ecosystem will help encourage and move various industrial sectors, especially the cargo and logistics industry,” said Deputy Minister of Industry Faisol Riza.
The presence of an aerotropolis area allows the growth of promising new business clusters, and has a broad economic multiplier effect, along with easy connectivity of goods and people.
From an investment perspective, the aerotropolis area has a number of advantages. First, it benefits from the transportation facilities that are available and integrated with adequate roads. (AT Network)
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