The management of Hang Nadim International Airport in Batam, Riau Islands, has plans to make its cargo warehouse four times larger as part of its preparations for the transfer of Luxembourg’s cargo handling from Singapore to that airport.

Hang Nadim Airport operational general manager Suwarso said the management had heard about the plan by Luxembourg authorities to transfer the handling of that country's cargo from Singapore Changi Airport to Batam because of several business considerations.

“We have got information on the plan, which has been discussed just at the ministerial level. We hope the partnership can run they way it has been planned,” said Suwarso.

Currently, Hang Nadim’s cargo warehouse measures 1,680 square meters and has a storage capacity of 44,000 tons. It will be expanded to 5,000 square meters with a storage capacity of 600,000 tons.

In an earlier statement, Suwarso said Hang Nadim’s expansion would start in 2019, with the US$448 million work budget posted in 2018.  

“The government will cover the airport’s expansion costs. The management [of the expanded airport] will be offered to private parties both from Indonesia and abroad,” said Suwarso.

He said Japanese company Mitsui, which managed Haneda Airport in Japan, had shown a seriousness to take part in the tender process for the management of Hang Nadim.

South Korean company Incheon had made three visits to discuss the project with Hang Nadim management. “State airport operater Angkasa Pura II has also conveyed a proposal to participate in the tender process,” said Suwarso. (ebf)