Garuda increases cargo tariffs up to 35 percent<\/p>\n
JAKARTA (JP): Flag carrier Garuda Indonesia raised its
\ndomestic cargo tariffs by a range between 30 percent and 35
\npercent as of Dec. 1.<\/p>\n
Chandra Giri, the head of the airline's cargo division, said
\nthe tariff increase was made to compensate for the depreciation
\nof the Indonesian rupiah against the U.S. dollar and higher fuel
\nprices.<\/p>\n
The tariff increase in the airline's cargo service was the
\nfirst in the last three years, Chandra said. He said within the
\nlast three years, Garuda had suffered a significant loss from the
\ndepreciation of the rupiah against the dollar.<\/p>\n
The cargo tariff was set in rupiah, based on the value of the
\ndollar at that time, while most of the airline's leasing expenses
\nwere in U.S. dollars.<\/p>\n
Like other airlines, Garuda was also affected by a continued
\nincrease in fuel prices, which increased by an average of 25
\npercent per annum.<\/p>\n
"The International Air Transport Association actually
\nrecommended its airline members a few months ago to add a US$0.1
\nsurcharge per kilogram to their cargo services to anticipate the
\nrising price of fuel," he was quoted by Bisnis Indonesia as
\nsaying. "We, however, imposed the surcharge only recently. So it
\ndid not help much," he said.<\/p>\n
The national flag carrier has recently leased two cargo jets
\nof the B-737-200C series from a Malaysian firm in a bid to cash
\nin on the booming Asian airfreight business.<\/p>\n
The two cargo jets will serve domestic cargo linking major
\ncities in eastern Indonesia, including Surabaya, Denpasar,
\nUjungpandang, Manado and Biak, as well as Irian Jaya.<\/p>\n
Garuda has so far operated only one of the two jets. The other
\nis expected to arrive next month.<\/p>\n
"A jet is leased for around $2,400 an hour," Garuda's vice
\npresident for cargo planning and development Syahrul Tahir said
\nat the inaugural flight of the first B-737-200C in October.<\/p>\n
In serving international cargo destinations, Garuda is
\ncollaborating with foreign airlines such as China Airlines and
\nKorean Air.<\/p>\n
Garuda cargo also serves a new Jakarta-Amsterdam route every
\nTuesday, in cooperation with Martinair, using a B-747-200F cargo
\njet, Chandra said.<\/p>\n
"The freighter, which began operating last week, will be
\nofficially inaugurated December 17," he said.<\/p>\n
In regards to international cargo, he said Garuda plans to
\nraise its cargo tariff for international airfreight services
\nearly next year. He refused to disclose the percentage of
\nincrease. (04)<\/p>",
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