KUALA LUMPUR (Sept 11): MMAG Holdings Bhd has signed a multi-year business collaboration agreement with Indonesia’s Lion Group to ease the transporting of goods and parcels between Malaysia and Indonesia.

MMAG said in an exchange filing today the partnership — signed between its wholly-owned Line Clear Express and Logistics Sdn Bhd and PT Lion Express — will see both parties delivering a range of supply chain management services using the flight network of Lion Air.

These include logistics, warehousing facilities, last mile deliveries, transportation and customised solutions, along with specialized value-added services, like bonded warehouse facilities in both countries, and insurance coverage.

Line Clear chief executive officer (CEO) Wong Eng Su said the partnership will also provide a catalyst for Malaysian small medium enterprises (SMEs) to tap into the hugely populated Indonesian market. “Being selected to work with Lion Parcel of Indonesia has expanded our target market beyond the 30 million population size in Malaysia.

“Through our nationwide footprint in all major and secondary towns in Malaysia, consumers, in particular Indonesians, will be able to send and collect their goods at our branches, collection points and even receive goods at their door steps.

“We look forward to bringing faster connectivity with a shorter lead time for both consumer groups,” said Wong.

Lion Express CEO Farian Kirana said Lion Air’s big fleet of passenger and cargo planes from different subsidiary groups covering the whole of Indonesia, with the last mile capability of Lion Parcel, will enable transporting goods, besides people, in a timely manner.

“We are confident our partnership with Line Clear will address the delivery needs of 2.5 million Indonesians in Malaysia. We also would explore innovative cross border bundle programs to further enhance our leadership position in the market,” Farian added.