Business quiet for used car dealers
JAKARTA (JP): Has your car breathed its last, but you don't know what to do with the remains? There are plenty of used car parts dealers in the capital willing and ready to take your junker off your hands.
"Running this kind of business it is difficult to turn a profit because the number of similar businesses has exceeded the market demand," used car parts dealer M. Sahri told The Jakarta Post on Saturday.
Sahri, 38, who runs UD Damai Sejahtera, a used car parts shop on Jl. Lenteng Agung in South Jakarta, said the number of customers coming to look for parts had declined over the past several years.
"The decline is the result of the number of people who have gotten into the business. Also, it is pretty well known that residents in Jakarta are reluctant to sell their old cars," he said.
He said it was the nature of Indonesians in general to hold onto their vehicles to the bitter end, getting rid of them only after giving up all hope of ever getting them running again.
Sahri says he crisscrosses the capital every day looking for used cars. He even travels outside of the city to find someone willing to sell him their junker.
The price he pays for a used car varies according to the year, model and condition of the vehicle.
He has paid Rp 2 million (US$200) for a 1970 Peugeot 505 sedan that would not move at all. But for most cars from the early 1970s, he pays less than Rp 1 million.
"If a used car comes with legal documents and can still move, I will pay up to Rp 5 million for it," he said.
When he reaches an agreement with the owner of an old car, he goes home to get the money and then tows the car back to his shop.
Once in the shop, he strips the car of all its parts. After the parts are cleaned, he puts them out on display in his shop and waits for the customers to come.
He charges the highest prices for the engine, transmission, carburetor, tires, rims, differential gear and side mirrors, while the body and bumpers are usually sold for between Rp 500 and Rp 800 per kilogram to junk dealers or car manufacturers at the Pulogadung Industrial Estate in East Jakarta.
Sitting in his shop is a 1972 Datsun, a 1976 Volvo, a 1977 Peugeot 504, a 1974 Fiat 124, a 1973/1976 Toyota Corolla and a 1975 Toyota Crown. Sahri does not buy used buses or trucks.
There are some 50 used car parts dealers concentrated in 15 locations in the capital. Most of them operate along Jl. Srengseng Sawah, Jl. Raya Lenteng Agung and Jl T.B. Simatupang in South Jakarta, Jl. Bambu Apus in East Jakarta and in Parung, Tangerang.
Achmad Fauzy, who runs Sinar Barokah Jaya Mandiri on Jl. Raya Srengseng in South Jakarta has turned used car parts into a successful business.
He now has several branch shops on Jl. Raya Lenteng Agung and Jl. T.B. Simatupang.
Fauzy, however, does not just sell used car parts. He also creates something new from the used cars, having assembled several pickups from used parts. He also buys old cars, fixes them up so they run again, and then resells them.
Eventually all cars stop running, but it's reassuring to know there are people willing to take your old car off your hands, and will even pay you a few rupiah for the privilege. (01)