THE IMPORTANCE OF SHIPPING INDUSTRY IN MALAYSIA

Create Diplomatic Relation between Malaysia

Malaysia is one of country that still in development level. In term of economies, Malaysia has create many agreement and many relation to others development country to get the better benefits and more opportunity to improve our economies level. So, shipping industry is one of the factors that making Malaysia creates much agreement with other country. As we know, shipping industry is popular industry that gives many benefits for logistics activities along with import and export activities. In that case, Malaysia have many Diplomatic Relationship with others development country that have major and absolute advantage. For example, ASEAN China Free Trade Agreements, ASEAN Korea Free Trade Agreements, ASEAN Australia-New Zealand Free Trade Agreements, and also Malaysia- Pakistan Closer Economic Partnership.

Job Opportunity for Malaysian

Actually, shipping industry established for a long time in Malaysia. But for Academic Terms, it’s consider as new course or new field in Malaysia compare with other field such as Medic, Engineering and Human Resource. Activities that include in this industry are shipping schedule, shipping activities, shipping planner, port operations, shipbuilding or repairing and offshore oil and gas exploration. I had make some research about the demand in this industry and one of it is :Senior Vice-President - Industry Intelligence, Malaysia Industry Group for High Technology (MIGHT) Datuk Ir Kamarulzaman Zainal said medium-sized ships are now, increasingly in demand, particularly from the oil and gas industry, both within and outside the country.(source: http://www.thestar.com.my/ ). So, the concept is, when there is increasing in demand, then the operation of the logistics activities will be increase. In addition, if the operation increase, that’s means the manpower should be increase in number and that will make greater job opportunity in this industry. Furthermore, Datuk Ir Kamarulzaman Zainal also said by 2020, MIGHT had set the target for the maritime industry to post a profit of up to RM19 billion, while offering 55,000 job opportunities to locals.

Most cost effective means to ship woard trade

Now a days, many company offers sea freight shipping via container shipping, LCL (Less container load), FCL (Full Container load), bulk shipping, heavy equipment shipping, auto shipping. Customs clearance and refrigerated transport, door-to-door, door-to-port are some other areas of our services. So, many company understands the needs of shipping and value of your goods therefore the Experts not only organizes the sea transport, they also arrange the safe loading and unloading of your goods. They make use of clean, dry containers and do superior kind of packaging of your goods to ensure they are well protected during transit and provides superior and cost effective shipping solutions around the globe. With sea freight, clients place their trust to receive the top class shipping services. It is because, with the use of ships, many things can be reduced, for example the cost of payments to service the ship pretty cheap compared to road transport and air transport and to bring in large quantities.

Increasing the International Trade Of Malaysia

Importance of the Port Industry for Malaysia Malaysia is one of the powerful nations in the SE Asia region, a member of the Indonesia-Malaysia-Thailand Growth Triangle, with aspirations to become a developed country by 2020. The Malaysian economy is based on the export trade of manufactured products, raw materials and petrochemicals. In fact it is placed 13th globally in terms of export quantity. At the same time, Malaysia is an oceanic state, situated next to a major waterway that connects Asia with the west coast of the US and simultaneously with the Middle East and Europe

The importance of sea freight transport and the port industry for this kind of economy is self-evident and it is no surprise that 90% of the total international trade is conducted by sea. The additional opportunity for Malaysian ports of serving as transshipment hubs make them highly valuable assets. Their significance is summarized by the Malaysian Prime Minister Dr. Mahathir in his speech for the IAPH's World Port Conference in.

Llinkage with many economic activities, services and industries

Last in the importance of shipping industry in Malaysia is, it have linkage with many economic activities, services and industries. Today's, the sea port plays main role in delivering bulky size of goods and to achieve the cheap cost in delivering the goods. Therefore, the activities at the sea port is increasing daily. The increasing of these activities effects the growth of the economies at the port as well. Among the popular activities at the sea port are loading and unloading, storage of the goods, bonded warehouse, container cargo services and many more. Same goes to the other services that will effects by chance of the growth of these activities at the sea port, for example the road services. Let me explain. There are one customer at Malaysia that want to purchase a car from the other country and let's say a hybrid car from Japan. The procedure from Japan to Malaysia is, the car will be put inside the roll-on-roll-off (RORO) ship before making the shipment, and after the RORO arrive at for example Johor Port, then the car carrier (special designed) will take it, send it to the distributor before it safely arrived to the customer.

Transports 95% of Malaysia’s trade

Its importance to the national development, the Government has placed strong emphasis on the development of transport infrastructure. A total sum of RM61.2 billion was spent for the transportation sector includes of roads, urban transport, rail, ports, and airports. It can make shipper can easily transport the goods through the roads and so on. Malaysia has many trade lanes, so that it is very importance to Malaysia shipping industry. So 95% of trades were transport inside and outside the country. For example, the issue of trading and purchase of gold in Kota Kinabalu. The spilled over effect from the implementation of the various infrastructure projects generated diverse economic activities for the nation.

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