KUALA LUMPUR, June 19 (Bernama) –There is a need to make clear the uncertainties surrounding implementation of exemption of the cabotage policy for Sabah, Sarawak and Labuan, the Malaysia Shipowners’ Association (MASA) said.
Prime Minister Datuk Seri Najib Tun Razak had announced the exemption of the cabotage policy from June 1, 2017.
MASA Chairman Faizul Ismail said in a statement a clearer explanation is required on whether the exemption will only affect general and containerised cargo or in a worst case scenario, is applicable to all cargo.
He said a major implication to the local shipping industry on implementation of the exemption is the potential abuse of controlled and subsidised goods distribution by the federal government, when it is carried by foreign-flagged ships.
“These goods may not land in East Malaysia, when proper controls are not in place for the foreign flagged ships. This is not the case when goods are carried by Malaysian-registered ships and discharged fully at ports there,” he added.
There is also the risk of the lack of presence of local ship-owners, due to the non-competitive environment for them in comparison to the foreign-flagged shipowners and operators.
In addition, the exemption of the cabotage policy will lead to the potential “dumping” of old ships from neighbouring countries to trade in Malaysian waters and should as such be capped at a certain age for entry.
MASA is encouraging the government to consider a review of the policy, including exemption being restricted to the International Transhipment Container (ITC) trade to all East Malaysian ports and not include, the indigenous products locally produced in West Malaysia and all type of cargoes.
Another suggestion is only the Main Line Operator or Foreign Ship Operator be allowed to partake in the feedering of ITC, with Non-Vessel Operator Common Carrier and International Freight Forwarders not permitted to partake of either local indigenous cargo or ITC.
In 1980, when the cabotage policy was introduced the Malaysian shipping industry tonnage had grown significantly to 12 million deadweight tonnage (DWT) in 2011 from 1.87 million DWT. The development took about 30 years, taking into account all the challenges faced by the Malaysian shipping industry.
Currently, the shipping industry tonnage has shrunk to about nine million DWT due to the maritime business environment challenges such as low freight rates.
“With implementation of the exemption, there will as such be an irreversible damage and a very challenging task of rebuilding the lost tonnage, capability and capacity of the Malaysian shipping industry, due to high investment and capital costs,” Faizul said.
Source from BERNAMA
In conjunction with IMO celebration of the World Maritime Day (WMD) 2017, Malaysia Shipowners’ Association (MASA) is pleased to inform that this year’s WMD celebration will be held at the Kuala Lumpur Convention Centre, on the 5th until 9th September 2017. Malaysia World Maritime Week 2017 is a joint effort between the Malaysian government and the maritime industry. It is organised by the Ministry of Transport and the Marine Department, Malaysia (MARDEPT) and hosted by Malaysia Shipowners’ Association (MASA) and Ikhtisas Kelautan Malaysia (IKMAL).
Malaysia World Maritime Week 2017 has gone a step further this year and is poised to deliver cutting edge insights from different sectors of the industry. Malaysia’s premier maritime gathering with a week-long event which comprises of conferences, dialogues and exhibitions. Taking place at a challenging time for the industry, it will feature public outreach activities aimed at developing a greater appreciation for Malaysia’s vibrancy and diversity as a premier global hub port and leading international maritime centre.
Spearheaded by the Ministry of Transport (MOT) the event will gather more than 5,000 maritime professionals including high-level delegates from port authorities, industry leaders and maritime experts. An exciting week of events that includes the prestigious Malaysian World Maritime Week 2017. With activity aimed at local businesses plus a spectacular line up of focused maritime events and activities.
Attached are the link as follows to download the attachment.
For further enquiries, please refer to the following:
Malaysia World Maritime Week 2017 International Conference:
Audi Zharif Aizat Bin Ismail (MASA Secretariat)
03 8893 1941 / 1942
Green Shipping Conference 2017;
Muhammad Fahmi Ismail (MASA Secretariat) firstname.lastname@example.org
03 8893 1941 / 1942
Malaysia World Maritime Week 2017 Business Exhibition Fair;
Fairuz Ramdzan (MASA Secretariat) email@example.com
03 8893 1941 / 1942
MASA Annual Dinner 2017 in conjunction with Malaysia World Maritime Week 2017;
Faridah Abdul (MASA Secretariat)
03 8893 1941 / 1942
IKMAL Golf Tournament in conjunction with Malaysia World Maritime Week 2017;
Nur Luthfi (IKMAL Secretariat)
03 5524 1588
Malaysia Shipowners’ Association (MASA) and Malaysia national maritime security agencies have taken a step forward with the signing of a Cooperative Notes that was held at LIMA March ago, for linking collaboration in strengthening maritime security and prosperity of the maritime community in Malaysian waters. The signing ceremony was witnessed by the Deputy Minister of Transport of Malaysia YB Dato ‘Ab. Aziz Kaprawi.
MASA would like to extend high gratitude to our ‘3 strong ‘muafakat’ cooperation – Royal Malaysian Navy, Malaysian Coast Guard and Royal Malaysian Police Marine for a successful collaboration which has brought towards a glowing and timely event such as this. Each agency has a history of collaboration and MASA heartened that this spirit of cooperation and friendship is strong and it certainly augurs well not only for the partnership but also for the benefit to all maritime fraternity in managing any issues pertaining to any safety and security to ensure the safe, secure and free passage of vessels through major sea-lanes of communication in Malaysia.
The initiative began when MASA courtesy visit to meet with Malaysian maritime security agencies to discuss the issues of maritime safety in Malaysia. The result of the meeting, all parties involved have agreed to sign a Cooperative Notes which will form further collaborative networks between MASA and agency maritime security agencies in Malaysia to strengthen maritime security and prosperity of the maritime community in Malaysian waters.