The Dhoho International Airport (DIA) in Kediri, East Java, has officially opened for commercial operations after facing delays and cost overruns. The airport, built by Surya Dhoho Investama, a unit of Gudang Garam—Indonesia’s largest cigarette manufacturer, cost around 14 trillion rupiah ($880 million) to construct. Despite initially being estimated to cost less than 10 trillion rupiah, the airport is now operational and expected to support the development of the southern part of East Java.
State-owned Citilink Indonesia will be the first airline to offer round trip flights from Jakarta to Kediri, with flights scheduled to operate twice a week using an Airbus A320 carrying 180 passengers. The DIA runway measures 3,300 meters in length and 45 meters in width, accommodating wide body aircraft. The current terminal has a capacity of 1.5 million passengers per year, but this can be expanded to accommodate up to 10 million passengers annually based on future traffic growth.
Despite its capabilities, analyst Brendan Sobie has cast doubt on the airport’s ability to attract significant traffic in the near future. He highlights the challenges of attracting airlines and passengers to an airport in a remote location without rail access, citing the struggles faced by the Kertajati Airport in West Java. Gudang Garam, based in Kediri, has been expanding into new businesses such as construction and toll roads to offset declining cigarette sales, which have been impacted by increased government regulations on smoking.
Gudang Garam was founded by Surya Wonowidjojo’s father in 1958, with the business later being run by his older brother until his passing in 2008. Surya Wonowidjojo is now the president director of Gudang Garam, with his sister serving as president commissioner and his son as vice president director. The Wonowidjojo family ranked 16th on Indonesia’s 50 Richest list, with a net worth of $3.6 billion as of December. The construction of the DIA is part of Gudang Garam’s efforts to diversify its business and expand into new ventures beyond cigarette manufacturing.
The opening of the DIA marks an important milestone for the region of East Java, particularly in Kediri and its surrounding areas. The airport is expected to enhance connectivity and support economic growth in the region by providing better access for both domestic and international travelers. With the potential to attract more airlines and passengers in the future, the DIA could become a key transportation hub in East Java, contributing to the development and prosperity of the area. Despite initial challenges, the completion and operation of the DIA demonstrate the commitment of Surya Dhoho Investama and Gudang Garam to invest in infrastructure projects that benefit the local community and economy.
