Home Indonesia Garuda Indonesia Cargo Services are Increasingly in demand, Take advantage of Export Potential

Garuda Indonesia Cargo Services are Increasingly in demand, Take advantage of Export Potential

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Garuda Indonesia encourages cargo services to be more active during the COVID-19 pandemic. They take advantage of the potential of national exports to reap income.

The national airline Garuda Indonesia continues to optimize measures to accelerate performance recovery in the midst of the COVID-19 pandemic, one of which is also aligned with the growth momentum of the national export sector by maximizing the logistics transportation market share.

In received release detik.com, Friday (16/7/2021) this is in line with the projected growth of the national export sector which is expected to continue to increase, following a report from the Central Statistics Agency which recorded a consistent increase in Indonesia’s export traffic in June 2021 with a successful growth rate of up to 54.46%. compared to the same period last year.

President Director of Garuda Indonesia Irfan Setiaputra said, “In line with the various efforts to improve business performance that we continue to do on an ongoing basis, the growth trend of the national export sector has become an important momentum for efforts to optimize the supporting business lines carried out by the Company amidst the pressures of business performance due to the COVID-19 pandemic. 19, mainly through the cargo and charter business”.

Consistently, the company managed to record increasingly promising growth in cargo transportation. Until last May 2021, Garuda Indonesia Group managed to record cargo transportation growth of up to 35%-compared to the same period in 2020.

This consistency is in line with the performance of the cargo business at the end of 2020 where the company managed to record air cargo traffic which touched the level of 99 percent of cargo transportation performance in the period before the pandemic.

With this positive growth trend, Garuda Indonesia will continue to optimize fleet utilization for the expansion of its cargo flight network to support direct call activities for leading export commodities and MSMEs from various parts of Indonesia, one of which is through the operation of 2 (two) passenger freighter fleets which now serve a number of cargo flights. domestic and international.

It is undeniable, the pandemic situation encourages shifting behavior in the aviation industry’s business trends. Now the cargo business line is one of the main pillars of Garuda Indonesia’s operating income.

This is a solution in the midst of a decline in passenger transport traffic that has occurred due to the pandemic conditions that have lasted since last year, which of course has a significant impact on the company’s financial performance throughout 2020.

Through the submission of financial statements for the financial year 2020, Garuda Indonesia recorded operating revenues of USD 1.4 billion, supported by scheduled flight revenues of USD 1.2 billion, non-scheduled flight revenues of USD 77 million, and other revenue lines of USD 214 million.

Furthermore, Garuda Indonesia also recorded a decrease in flight operating expenses by 35.13% to USD 1.6 billion compared to 2019 which was USD 2.5 billion.

This is also supported by strategic cost efficiency measures, one of which is through efforts to renegotiate aircraft leases and other supporting operational cost efficiency which are currently being optimized by the company. Through these efforts, currently Garuda Indonesia has succeeded in saving operational costs of up to USD 15 million per month.

Next up: Garuda Indonesia’s efforts to stay afloat during the COVID-19 pandemic

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