Maybank sees Indonesia’s new logistic regulation to benefit third-party players

0
6Кб

Maybank Investment Bank said Wednesday that Indonesia’s new logistics rules to benefit third-party logistic providers.

The research house said in a note that it believes the regulation will benefit third-party logistics and instant delivery companies.

“In the listed space, we think Antar Aja (3PL), and instant delivery Go-Send (GoTo’s services) and Grab Express will be beneficiaries,” it said.

Meanwhile, it said the push towards green logistics will boost demand for electric fleets, including electric motorcycles and trucks.

On the other hand, the regulation will impact in-house logistics operators as they must follow market prices and compete fairly, while competitors can share networks leading to greater efficiency, it added.

Indonesia’s government issued new regulations in an effort to encourage the logistics business (including e-commerce logistics) to be more efficient though infrastructure sharing and environmentally friendly operations (green logistics).

It also plans to monitor the industry in an effort to ensure fair competition.

Maybank also viewed that in-house e-commerce logistics delivery operators will suffer under the new regulations because economies of scale are at risk (due to limited promotional time); competitors become more efficient due to network alliances (sharing infrastructure: drop points, fleets, warehouse, and backbone platforms) – leading to better pricing; and risk of anti-monopoly breaches as the government can monitor delivery volumes.

“We think the government might implement a floor and ceiling price policy to encourage healthy competition (based on the practice of transportation fare regulations),” it said.

Moreover, it noted the government might review the logistics company’s financials, including unit costs to measure the industry’s cost structures.

“We think that Shopee Indonesia and SPX Express might be negatively affected by this regulation, and that changes in delivery charges could impact consumers’ e-commerce purchase decisions,” it added.

The Ministry of Communication and Digital (Komdigi) issued a new regulation, with the key points of Indonesia targets industry collaboration with the aim of serving 50 percent of the nation’s provinces within 18 months; higher service standards and consumer protection; infrastructure sharing, fair competition, and green logistics.

Based on media reports, the government is aiming to achieve consolidation among logistics companies, targeting 20 players.

Local media also reported that the government will regulate free shipping or predatory pricing (lower than regular shipping costs) to three days per month.

Ecommerce companies can request time extensions, but Komdigi will review such requests.


#GreenLogistics #EcommerceDelivery #FairCompetition #LogisticsInnovation #IndonesiaRegulation

Спонсоры
Поиск
Спонсоры
Категории
Больше
Networking
AirAsia Media partners Xoomplay to power in-car advertising on AirAsia ride
AirAsia Media, the travel media division of Capital A, announced Friday a strategic partnership...
От Ifvex 2025-06-15 05:31:49 0 6Кб
Networking
TNG Digital partners Alliance Bank Malaysia to enhance lending options within GOfinance
TNG Digital Sdn. Bhd., a Malaysia-based integrated fintech player, has partnered with Alliance...
От Ifvex 2025-04-17 09:01:44 0 8Кб
Causes
US’s Terabase secures $130M Series C from SoftBank to accelerate construction of utility-scale solar
Terabase Energy, a global digital and automation solutions for utility-scale solar power, has...
От Ifvex 2025-03-16 03:53:14 0 9Кб
Causes
US-based Electra bags $186M Series B funding round co-led by Capricorn Investment Group, Temasek
Electra, a clean iron company, announced Thursday its $186 million Series B funding round, co-led...
От Ifvex 2025-04-26 05:49:31 0 5Кб
Causes
IFC invests $200M in VPBank’s Sustainability Bond to boost green finance in Vietnam
The International Finance Corporation (IFC) is investing $200 million in Vietnam Prosperity...
От Ifvex 2025-09-23 11:38:32 0 742
Ifvex https://smartcontent.me