Kochi | Gulf-based Indian business tycoon M A Yussuf Ali’s LULU Group will mark its first retail push in Indonesia by opening its first hypermarket in the capital city of Jakarta by this year end. The announcement came during the ongoing visit of President of Indonesia, Joko Widodo, (popularly known as Jokowi) to Abu Dhabi.
He visited LULU hypermarket along with a high-level delegation at Khalidiyah Mall in Abu Dhabi. The Indonesian President is on a five-day state visit to three Middle-East countries — Saudi Arabia, United Arab Emirates and Qatar — to boost Indonesia’s ties with the three countries, the company said in a statement. With an initial investment of USD 300 million in the first phase, we plan to open 15 hypermarkets by the end of 2017 and a central logistics and warehousing facility in Jakarta.
These projects are likely to generate more than 5,000 job opportunities for Indonesians and to train them at all levels, said Yusuffali, Managing Director of LULU Group, in the statement issued from Abu Dhabi. The fact that we are going to Indonesia with our HALAL Hypermarket concept, is giving us the encouragement to look for a wider market segment there, he added.
Apart from Jakarta, LULU intends to open hypermarkets in Bandung, Solo, Semarang, Surabaya and Yogyakarta. We also plan to set up contract farming to ensure continuous supply of high quality products and to support the Indonesian agriculture sector, Yusuffali said. The LULU chain currently operates 117 stores across the UAE, Oman, Bahrain, Kuwait, Qatar, Saudi Arabia, Yemen, Egypt, and India.