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Logistics is the planning and execution of delivery, storage, and distribution of goods from production centers to users. The effectiveness and efficiency of a logistics process directly impact national economic growth.
Besides, the performance of the logistics industry greatly depends on the economy. If the economy is sound, it positively affects the performance of the logistics industry. And vice versa.
How is the logistics sector projected to perform in 2024? According to several logistics experts, based on the potential of high economic growth, logistics has excellent prospects.
This projection is based on economic growth during the first semester (first and second quarters) of 2024. According to Statistics Indonesia (BPS), Indonesia’s economy grew by 5.08 percent in the first quarter. Then, it saw a growth of 5.05% year on year in the second quarter.
Based on those facts, according to the Ministry of Finance (Kemenkeu), the economy is predicted to continue growing by 5.0%-5.2% until the end of 2024.
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However, Kemenkeu warned about global prospectsthat might require careful and accurate measures.
Besides, the Chairman of Supply Chain Indonesia (SCI), Setijadi, has recently written an article on the SCI’s official website, stating that Indonesia’s economy is likely to continue growing in 2024, as it did last year.
However, the growth in 2023 and 2024 is predicted to be lower than in 2022 at 5.31 percent. The government, according to Setijadi, projected a 5.2-percent growth of Indonesia’s economy in 2024.
Several international institutions made the same projection. For example, the World Bank predicted that this country’s economy would grow by 4.9 percent in 2024.
In addition, both the International Monetary Fund (IMF) and the Asian Development Bank (ADB) projected a 5.0 percent growth.
“The logistics sector has the potential to stimulate economic growth after its slowdown. One of the indicators is the increasingly greater contribution of the transportation and warehousing sector to Gross Domestic Product (PDB) in recent years,” said Setijadi.
In 2021, the sector contributed 4.24 percent. Then, the contribution rose to 5.02 percent in 2022.
Using data from BPS in the second quarter of 2023, SCI predicted that the sector’s contribution would reach 5.82 percent in 2023 and 6.00 percent in 2024.
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SCI predicted that the contribution of the transportation and warehousing sector would be Rp1,245 trillion, growing by 14.99 percent in 2023. Then, the contribution was projected to reach Rp1,436 trillion or grow by 14.16 percent in 2024.
Nonetheless, the logistics industry can greatly contribute to national economic growthwhen professional and experienced logistics companies participate in maintaining the effectiveness and efficiency of goods distribution.
Choose a reputable logistics company, such as SELOG. As a business line of PT Serasi Autoraya or SERA, and part of Astra Group, SELOG has extensive experience in the logistics and shipping industry.
SELOG is here to serve the needs of customers in end-to-end logistics through a series of diverse services, such as Contract Logistics, Shipping Services, Shipping Agency, Freight Forwarding, and Warehouse and Yard Management.
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We provide domestic shipping and distribution services using a good sea transportation mode, focusing on automotive cargo shipping, small heavy equipment industry, and other general cargo.
We also offer shipping services in collaboration with S5 Agency World, the biggest shipping agency in Asia.
For heavy equipment and other cargo, we provide domestic shipping services with various transportation models with the guarantee of being safe, on time, and with zero defects.
For your supply chain needs, we also offer goods management and storage services. We have a Warehouse Management System (WMS), which allows continuous tracking of receipt, pickup, delivery and handling of goods, damaged goods, and completed orders.
WMS also allows customers to monitor inventory in real time. In addition, SELOG provides additional services of inbound and outbound transportation to ensure that the goods arrive safely without any damage.
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SELOG services are also supported by cutting-edge digital technology which makes customers’ businesses easier, more effective, and more efficient.
With its Astra Fleet Management Solution (FMS), SELOG provides businesses in Indonesia with IT-based comprehensive solutions for managing fleet vehicles.