Indonesia’s transport and warehousing sector demonstrated resilience and strong momentum in 2025, with growth reaching 8.62% in the third quarter and contributing 6.10% to national GDP. Against this backdrop of expanding market opportunity, logistics providers are increasingly focusing their investments on high-growth verticals while modernizing operational capabilities. In an interview with Kamadjaja Logistics, CEO Ivan Kamadjaja discusses the company’s strategic positioning, performance drivers, and outlook for capturing growth in 2026 (Metro TV).

Ivan Kamadjaja, how do you assess Indonesia’s logistics market performance in 2025?

Ivan Kamadjaja : We’re very satisfied with how the sector has performed. The data from Indonesia’s Central Statistics Agency confirms what we’ve observed firsthand: transport and warehousing grew 8 to 12 percent last year, though with significant variation by vertical. E-commerce and telecommunications have been particularly strong. For our 5G infrastructure division alone, we recorded 30 to 40 percent growth, outpacing the broader sector. What’s encouraging is that this momentum is not driven by a single vertical, we see diversification across consumer demand, industrial expansion, and infrastructure investment. This provides confidence that growth will sustain through 2026.

Where are the largest growth opportunities for Kamadjaja Logistics going forward?

Ivan Kamadjaja : We’ve identified three core growth vectors for 2026: cold storage expansion, healthcare pharmaceuticals, and the energy sector. These segments are growing above market average, driven by rising consumer income, healthcare infrastructure investment, and energy transition initiatives. However, the largest untapped opportunity sits within third-party logistics adoption what we call 3PL.

Currently, the majority of Indonesian companies still manage warehousing and transportation in-house. They believe this maintains control and reduces costs. But our data shows the opposite. We worked with a client operating a 20,000 square-meter facility that was running at just 60 percent capacity year-round. That’s 8,000 square meters of idle space essentially, hidden costs eating into profitability. Once we analyzed their operation, we identified an immediate opportunity: divest the warehouse, reallocate approximately 50 billion rupiah toward core business expansion, and convert their fixed logistics costs into variable costs aligned with actual demand.

That’s a significant transformation. What did you achieve operationally?

Ivan Kamadjaja : Beyond the financial repositioning, we redesigned their warehouse processes and layout. Their original operation required 175 employees to manage daily workflows. After our redesign and re-layout implementation, they achieved the same throughput with 80 people. Overtime costs fell by 70 percent. These aren’t marginal improvements they’re structural changes driven by warehousing best practice, process optimization, and technology deployment.

The real insight is this: most companies don’t fully understand their warehouse utilization metrics, labor productivity benchmarks, or cost structures relative to industry standards. When you bring in a 3PL provider with deep warehousing expertise, you’re introducing operational discipline and capability they simply don’t have in-house.

You mentioned healthcare pharmaceuticals and cold storage as growth vectors. How do these fit into your 3PL strategy?

Ivan Kamadjaja : These segments require specialized infrastructure and operational discipline that smaller providers cannot offer. Cold storage demands temperature control, real-time monitoring, compliance documentation, and supply chain transparency. Healthcare logistics requires regulatory compliance, traceability, and security protocols that exceed standard warehousing. Companies in these sectors cannot afford operational failures. This is where 3PL value becomes non-negotiable.
Our investments in cold storage and pharmaceutical capabilities position us to capture this growth. It’s not simply about warehouse space it’s about developing specialized operational competency and building customer confidence in regulated, high-stakes environments.

What’s your expectation for the broader logistics market in 2026?

Ivan Kamadjaja : I’m confident growth will continue, though the pace varies by segment. E-commerce growth may moderate from pandemic peaks, but it remains strong. 5G infrastructure rollout continues, supporting our telecommunications vertical. Industrial demand is steady. What excites me most is the shift toward professional logistics services. Larger companies increasingly recognize that outsourcing logistics to specialists rather than managing it internally is strategic. It frees capital for core business investment, reduces operational risk, and improves efficiency.

For Kamadjaja Logistics, 2026 is about deepening our capabilities in growth verticals while expanding 3PL market adoption. The opportunity is substantial, and we’re positioned to lead. Our confidence in 2026 is grounded in this market reality: companies that modernize their supply chains will outcompete those that don’t.