REGIONAL SEMINAR AND WORKSHOP

ON TRADE IN SERVICES
15 JUNE 2015
PROMENADE HOTEL, KOTA KINABALU, SABAH

LOGISTICS SECTOR IN MALAYSIA

NOOR AISHAH KAMARZAMAN
MINISTRY OF TRANSPORT

AGENDA
Logistics in
Malaysia
Challenges and
Lesson Learned

The National
Logistics Task Force

In ASEAN

LOGISTICS IN MALAYSIA
Malaysia is a trade dependent economy
generates large volume trade to be
transported to and from global markets
especially within the region
Logistics is seen as a strong enabler of trade,
supporting
key
industries
such
as
manufacturing, oil and gas.
Logistics industry is highly fragmented and is
very competitive

Highly
dependent
on
intermodal
transportation to move freight between land,
sea and air modes

LOGISTICS IN THE MINISTRY OF TRANSPORT

In 2015, Logistics Division is
proposed The Masterplan
There is no real policy
making in logistics (yet)

Logistics Unit in
MOT was
established in
2009, under the
Planning and
Research Division.

MOT involved as and

when issues being raised
by the industry players
more on infra and
regulations

In 2013, it was put under

the Land and Logistics
Division with 2 officers

INFRASTRUCTURE
SEA

5 major ports
(Port Klang,
Tg. Pelepas,
Penang,
Kuantan and
Bintulu)

ROAD

Major highways
connecting North
South and East
West of Malaysia
and Pan Borneo
4 inland ports
(Ipoh, Nilai,
Segamat,
Tebedu)

RAIL

5 Ports container
terminals
(Butterworth,
Westports,
Northport, P.
Gudang, Tg.
Pelespas)

AIR

5 international
airports (KLIA,
PIA, Senai, KKIA
and Kuching)

AGENDA
Logistics in
Malaysia
Challenges and
Lesson Learned

The National
Logistics Task Force

In ASEAN

 Institutional
framework
challenges
Lack of human
capital
Lack of
technology
adoption

Trade Facilitation

Lack of
intermodal
freight
transport
integration
Weak
integration
between road,
rail and sea.
Poor last mile
connectivity

Service competence

Transport and Infrastructure

CHALLENGES & LESSON LEARNED

Limited
compliance
to
standards
Clearance
coordination
challenges
Various
charges

FUTURE DIRECTIONS
Government Policy
Improve governance
Review Act
Strengthening
Institutional
Structure

Simplify trading
procedures
Better initiatives
Increase
liberalisation
Facilitating
Trade

Adoption of Euro 4
Voluntary
participation
towards less CO2
emission
Securing
Sustainability,
Security and
Environment

Improve
infrastructure, info
structure, transport
network

Improving
Infrastructure
and
Infostructure
Provide expertise
as well as skilled
labours
Adequate
participation from
public and private
sectors
Human
Resources

AGENDA
Logistics in
Malaysia
Challenges and
Lesson Learned

The National
Logistics Task
Force
In ASEAN

 The
Masterplan
was
developed
to enhance
logistics
industry
Providing
the way
forward.

LOGISTICS MASTERPLAN

25th in LPI
(over 160
economies)
5th place
in Trading
Across
Borders

BUDGET SPEECH 2014

Backbone
of the
trading
and other
services

MALAYSIA 2014

LOGISTICS SECTOR

THE NATIONAL LOGISTICS TASK FORCE :

BACKGROUND

Strenghten
Malaysia
as the
gate of
the Asia

PROPOSED GOVERNANCE STRUCTURE

NATIONAL LOGISTICS TASK FORCE

To provide leadership and
overall coordination on
strategies, policies,
regulations and rules related
to the industry.

To monitor programme and

activities of the relevant
Ministries and Agencies,
including State Government,
involved in the development of
the industry
To ensure that the
development of the industry is
in line with the overall
strategic action agendas in
the Master Plan.

Cluster
Monthly
meetings
(up to
Clusters)

NLTF
Quarterly
(Chaired
by YBM
Transport)

Special
Services
Sector
chaired
by YAB
PM

5 CLUSTER WORKING GROUPS

Institutional Mechanisms and Regulations (MOT)

Trade Facilitation Mechanisms (MITI and RMC)

Infrastructure and Freight Demand (MOT)

ICT-driven Innovation (MDec)

Human Capital Development (MOHR)

5 STRATEGIC SHIFTS
Hub and Spoke
Model
Global Supply
Chain
Convergence
Value added
output
Technology and
human capital

Supply Chain
Innovation

19 ACTION ITEMS

AGENDA
Logistics in
Malaysia
Challenges and
Lesson Learned

The National
Logistics Task Force

In ASEAN

LOGISTICS SERVICES IN ASEAN

ASEAN Coordinating Committee on Services (CCS) agreed to
establish the Logistics and Transport Services Working Group
(LTSSWG) to implement the measures under the Logistics
Roadmap which are related to CCS.

In the past decade, ASEAN logistics market expands

significantly, alongside various Free Trade Agreements being
implemented within ASEAN as well as with ASEAN Dialogue
Partners.

In 2006, ASEAN Economic Ministers decided Logistics Sector as

the twelfth Priority Sector in ASEAN for accelerated economic
integration, in addition to the eleven priority sectors identified in
2003.

LOGISTICS SERVICES IN ASEAN

The Roadmap for the Integration of Logistics Services was adopted in 2007.
Expand Capability of ASEAN Logistics
Service Providers
Human Resource Development

Enhance Multi-Modal Transport Infrastructure

and Investment
Achieve substantial liberalisation of logistics
service
Enhance Competitiveness of ASEAN Logistics
Services Providers through Trade and
Logistics (Transport) Facilitation

MATTERS BEING DISCUSSED AT THE LTSSWG

Domestic Rules and Regulations on Logistics and Transport Services
ASEAN Member States Contact Points for Information on Investment
Regulation and Licensing Registration Criteria
ASEAN Business Registration Procedures

ASEAN Qualification Professionals and Skilled Logistics

ASEAN Definition of Express Delivery Services (EDS)
Private Sector Associations in Logistics and Transport Services
ASEAN Member States Policies on Transportation of Empty Container

The logistics industry will be improved

and all the action items underlined in
the Masterplan will be implemented
with close integration and cooperation
and support between the public and
private sector.

Thank you
aishahkamarzaman@mot.gov.my