Shipping

Malaysia announces relaxation of cabotage policy

Baird Maritime

Malaysian Deputy Transport Minister Datuk Abdul Rahim Bakri has announced the relaxation of cabotage policy so that foreign vessels would be allowed to carry cargo between the ports of Sepangar, Bintulu, Klang, Kuching and Tanjung Pelepas.

However, Datuk Bakri cautioned that people would not likely see a decrease on the price of goods soon since it would take time before prices began to fall.

He told the New Straits Times that the liberalisation addressed complaints on high shipping costs in both Sabah and Sarawak. So far the higher costs of properties and imported consumer goods in Sabah and Sarawak have been blamed on cabotage.

Datuk Susan Wong, Sabah Housing and Real Estate Developers Association President supported the move saying that it was a good start as it was likely to lower freight charges.