Strengthening Portfolio, Kobexindo Diversifies Products To The Construction Sector

JAKARTA - The integrated heavy equipment provider, PT Kobexindo Tractors Tbk (KOBX), has again diversified its products by targeting the construction sector. This strategy is deliberately carried out to strengthen the company's revenue portfolio which has been supported by sales performance, both from the mining and non-mining sectors.

The diversification effort was carried out by finalizing the distribution agency agreement between Kobexindo and Dynapac Asia Pacific. With this agreement, Kobexindo has now become an official agent that markets, performs repair services, and provides spare parts for heavy equipment products for the Dynapac road construction machinery segment.

Apart from providing a full fleet of road construction machines, KOBX has also entered the power management segment, by becoming a marketer for portable air compressors, generators (gensets), lighting systems, and power modules made by Doosan Portable Power.

"Product diversification is very important to strengthen and balance the composition of Kobexindo's revenue sourced from mining as well as non-mining. By becoming a selling agent and provider of services and spare parts for Dynapac products, KOBX targets to be able to participate in building a quality road and toll road network in Indonesia ," said the President Director of KOBX, Andry B. Limawan, in his official statement, Monday, March 21.

According to Andry, the sales performance of the construction sector, particularly in the construction of road and toll road infrastructure, currently has considerable potential. This is based on data from the Ministry of Public Works and Housing (KemenPUPera), where the budget needs for the road and bridge sector from 2020 to 2024 are recorded at IDR 573 trillion.

Not only the construction of new roads and toll roads, ANdry explained, the central and regional governments also regularly maintain and improve the quality of national and regional roads. In fact, previously the government had targeted to have 5,000 km of toll roads by 2024. "This (potential) is still being added by the performance of private (parties), such as large city-scale developers and general contractors, which are now increasingly widespread," said Andry.