Summit to measure Indonesia's logistics blueprint for the 2015 ASEAN Economic Community

The Indonesian Chamber of Commerce and Industry (Kadin) will hold a logistics summit on 10-12 November to map key problems in the nation’s logistical system.

“We’ll also try to measure our logistical system’s strengths in various aspects in our national blueprint of logistical system, such as information and communication technology, transportation industry and infrastructure, in regards to the establishment of the ASEAN Economic Community in 2015,” Kadin vice chairman for trade, distribution and logistics, Natsir Mansyur, told The Jakarta Post.

Poor logistics have been one of the major bottlenecks that reduce Indonesia's domestic products’ competitiveness on the international market, Natsir said. “Our main target is to cut our logistical costs, which currently are 17% of total production costs, to at least 10% by 2015,” he said.

The Indonesian Logistics Association has noted that Indonesia’s logistical cost, ranging between 25% and 30% of the nation’s gross domestic product (GDP) compares badly to Thailand and Singapore, which stand at 16% and 10% of their GDPs, respectively.

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