The logistics industry in Indonesia is facing a surge in demand due to increased consumer and industry activities. External trade volume is increasing. The SME sector is growing fast. However, due to some inherent weaknesses in the logistics industry in the country, the logistics cost in the country is the highest among South East Asia.
Logisly is an Indonesian logistics platform trying to streamline the fragmented logitics industry of the country. It recently raised $5 million series A to digitize truck shipments in the country. The following article is taken from TechCrunch. Potential investors may find the article interesting.
Indonesia’s logistics industry is very fragmented, with several large providers operating alongside thousands of smaller companies. This means shippers often have to work with a variety of carriers, driving up costs and making supply chains harder to manage. Logisly, a Jakarta-based startup that describes itself as a “B2B tech-enabled logistics platform,” announced today it has raised $6 million in Series A funding to help streamline logistics in Indonesia. The round was led by Monk’s Hill Ventures.
This brings the total Logisly has raised since it was founded last year to $7 million. Its platform digitizes the process of ordering, managing and tracking trucks. First, it verifies carriers before adding them to Logisly’s platform. Then it connects clients to trucking providers, using an algorithm to aggregate supply and demand. This means companies that need to ship goods can find trucks more quickly, while carriers can reduce the number of unused space on their trucks.
Co-founder and chief executive officer Roolin Njotosetiadi told TechCrunch that about “40% of trucks are utilized in Indonesia, and the rest are either sitting idle or coming back from their hauls empty handed. All of these result in high logistics costs and late deliveries.”
She added that Logisly is “laser focused on having the largest trucking network in Indonesia, providing 100% availability of cost-efficient and reliable trucks.”