Shopee opens new warehouse in Jakarta to export MSME products

The Indonesian minister of trade, Zulkifli Hasan, visited Shopee’s export warehouse in Jakarta / Photo credit: Indonesia Ministry of Trade

Southeast Asian ecommerce giant Shopee has opened a new warehouse in Cengkareng, West Jakarta.

Dubbed the Shopee Export Warehouse, the company aims to use the location to increase exports of local MSME products. The warehouse can process “tens of thousands” of packages per day, the firm said in a statement.

It is “a supportive infrastructure for the export program that Shopee is currently running,” said Kiky Hapsari, director and country head of Sea Group Indonesia.

Shopee’s export program enables Indonesian MSMEs to send their products abroad. MSMEs only need to deliver their goods to the export warehouse, and Shopee will handle the shipment to the destination country.

Hapsari said that there are currently 20 million MSME products included in the program, which means these items are available for Shopee users across Southeast Asia, East Asia, and Latin America.

In Sea’s latest earnings call, CEO Forrest Li said that the company will ramp up its investments in its ecommerce arm, which has remained profitable in the second quarter of 2023 with adjusted earnings of US$150.3 million. Shopee generated US$2.3 billion in revenue for the quarter.

For the ecommerce firm, one of its current focuses is to grow its livestreaming business amid the threat from TikTok Shop.

See also: Why Sea’s shares plunged while GoTo avoided the carnage