Indonesia Launches Rail-Based Warehouse to Cut Logistics Costs
Translated from Indonesian, summarized and contextualized by DistantNews.
At a glance
- A new rail-based warehouse system (SRG) has been launched in Bandung, Indonesia, to improve commodity logistics.
- The Gedebage SRG warehouse aims to make commodity distribution more efficient and measurable by integrating with rail transport.
- This initiative, focusing initially on Java Preanger coffee, is expected to reduce logistics costs and boost the competitiveness of Indonesian commodities.
Indonesia is enhancing its commodity logistics with the launch of a new rail-based Warehouse Receipt System (SRG) in Gedebage, Bandung. This initiative aims to create a more efficient and measurable distribution network by integrating commodity storage with rail transportation.
The Gedebage SRG warehouse, a collaboration between PT Kereta Api Indonesia (Persero) and PT ASLI Logistik Indonesia, with management by PT Sucofindo (Persero), is poised to become a key logistics hub. It will connect production centers with domestic and international markets. The integration of the SRG with the rail network is anticipated to strengthen supply chains, lower logistics costs, and enhance the competitiveness of Indonesia's key commodities.
Initially, the warehouse will handle Java Preanger coffee, a commodity from West Java with a strong market presence, including for export. PT Kliring Berjangka Indonesia (KBI), which supports the SRG registration process, has seen coffee as the most registered commodity on its platform, accounting for 47% of total registrations as of May 2026. This indicates a growing utilization of the SRG by coffee businesses for stock management and access to financing.
Budi Susanto, President Director of PT KBI, emphasized the company's commitment to integrating the SRG into the national logistics supply chain. He expressed hope that West Java will pioneer this rail-based SRG implementation through strong synergy among stakeholders, including the provincial government, PT KAI, PT Sucofindo, Bank BJB, and PT ASLI Logistik Indonesia. PT KBI is also continuously developing its digital system, IsWare Next Gen, to improve registration efficiency, commodity verification, and transparency within the SRG ecosystem.
Originally published by Republika in Indonesian. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.