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France-based hypermarket Carrefour said Sunday one of three
outlets affected by the recent floods remained closed.
The retailer closed its outlets in Cempaka Putih in East Jakarta,
Cempaka Mas in Central Jakarta and on Jalan M.T. Haryono in South
Jakarta on Feb. 3, the second day of the floods that inundated most of
the city's main roads.
"We have yet to reopen our outlet on Jalan M.T. Haryono. The
floodwaters submerged the stockroom and we are still cleaning things
up," Carrefour corporate affairs director Irawan D. Kadarman told The
Jakarta Post.
Carrefour operates 20 outlets in Greater Jakarta and six outlets in
other major cities. "But everything has returned to normal and we hope
that all the outlets will be in operation again," Irawan said. He
declined to disclose the losses the company had suffered through
closing three outlets for more than a week.
Matahari Hypermart, which closed its outlet in Kelapa Gading in East
Jakarta for a day due to the floods, said that sales at most of its
shops rose during the week-long floods.
"The rush for primary goods occurred until last Thursday," Hypermart
spokeswoman Dewi Susilowati said. The local retailer operates seven
stores in Greater Jakarta.
She said that sales went up as people stocked up on supplies fearing
the floods would continue, as the government had warned the rain could
last for two weeks.
Purchases made by non-governmental organizations providing aid to flood
victims also contributed to the higher sales, she added.
Indonesian Retailers Association chairman Handaka Santosa said the
industry was still calculating the financial toll of the floods.
"We don't known the figure yet," he said, adding that retailers were
now concentrating on finding ways to secure supplies, which have been
seriously disrupted by the floods.
Handaka said although there had been signs of a "buying rush" at some
major retailers, the floods were likely to cause an overall decline in
total retail sales in Jakarta.
"A drop in sales is inevitable," he said, citing the closure of the
Carrefour outlets.
He said he hoped the disaster would not affect this year's sales
target. "We don't know yet. If sales in June and July are good, I think
it won't," he said.
The association has set sales growth at about 17 percent this year,
slightly lower than the 20 percent recorded last year, as people's
purchasing power is expected to remain weak. The total sales in the
industry were Rp 50.8 trillion (about US$5.64 billion) in 2006.
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