Samudera Indonesia set for expansion

Company to buy new ships in 2012.

 

{Reg} Samudera Indonesia has set aside Rp 800 billion to expand its operations including the planned purchase of new ships this year reports the Jakarta Post.

 

The company intends to improve its support facilities at seaports. The company sees its cargo business growing 10 percent this year. The company is also seeking bank loans to finance its investment plans, with several domestic banks expressing an interest in getting involved. It will use 25 percent of its capital expenditure to buy three used cargo ships this year.

The Indonesian National Shipowners Association (INSA), said sea freight cargo handled by Indonesian companies was forecast to reach one billion tons by 2015. Indonesian shipping firms like Samudera and Arpeni Pratama Ocean Lines are moving to expand their businesses to capitalize on the country's strong economy, which the government has forecast to grow by 6.5 percent this year.{/reg}