PT Matahari Putra to expand Yemen operation

JAKARTA (JP): Publicly listed department store PT Matahari Putra Prima plans to expand its operation in the Yemen capital of San'a after enjoying success with its first store in the city which opened in early December, a company official said.

Matahari's division head for exports to the Middle East and the member countries of the Organization of Islamic Conference, Sophian Syamsuddin, said on Sunday the first department store was considered a success and was attracting crowds of shoppers.

Matahari, in cooperation with Yemen's Shoumaela Group, opened Shoumaela Hari in San'a, and it is believed to be the largest department store in Yemen, Antara reported.

"The existing store will be enlarged," Sophian said, adding that the store targeted middle to lower-income consumers.

He said the company also was looking into the possibility of reaching middle to upper-income consumers by expanding to Hadda, an elite quarter of San'a and home to many foreigners, including those from the diplomatic corps and foreign businesspeople.

"We are currently negotiating with the owners of the San'a Trade Center building to lease the first floor of the building to display high-quality Indonesian products," Sophian said, explaining that the building was the only shopping mall available in the country.

The prices of products sold at the shopping center are considered high, giving high-quality Indonesian goods the opportunity to enter the market with more competitive prices, he said.

The company expects sales to reach Rp 4 trillion in 2000 compared to Rp 3 trillion in 1999.

It has announced that it booked Rp 2.74 trillion in sales in the first nine months of 2000, compared to Rp 2.06 trillion in the same period in 1999. (tnt)