JAKARTA, INDONESIA — Indonesian cargo start-up Raindo has signed an agreement to lease two Boeing 737-800 freighters from the Irish lessor AerCap, with plans to begin operations by the end of this year.

The Jakarta-based company aims to serve the rapidly growing e-commerce market in Indonesia, as well as to provide an alternative air cargo solution to support the country's booming logistics sector.

Raindo will initially focus on serving domestic routes, connecting major cities such as Jakarta, Surabaya, Medan, and Makassar. However, the company plans to expand its services to international destinations in the future.

The leased Boeing 737-800 freighters will provide Raindo with the capacity and range necessary to meet the demands of its target market. Furthermore, the aircraft's fuel efficiency and low operating costs make it a viable option for the start-up.

Indonesia's air cargo market has seen significant growth in recent years, driven by the increasing demand for e-commerce and the expansion of the country's logistics infrastructure. The entry of Raindo into the market is expected to bolster competition and enhance overall service quality.