Latest news with #PortKlangAuthority
Malay Mail
4 days ago
- Business
- Malay Mail
Port Klang Authority defends tariff revision, says move curbs yard congestion, boosts efficiency
KUALA LUMPUR, June 17 — The Port Klang Authority (PKA) yesterday clarified that its tariff rates will remain among the most competitive in the region. Its general manager, K Subramaniam, said that even after the staggered increases are fully implemented in 2027, Port Klang's tariffs will still be between 5.0 per cent and 185 per cent lower than those of other Asean ports. Refuting claims by several parties regarding the recent tariff revision, Subramaniam said Port Klang's overall cost competitiveness reinforces its strategic role as the preferred logistics and transshipment hub for global logistics and distribution centres. 'In Port Klang's latest tariff revision, a comprehensive benchmarking exercise was conducted against neighbouring and regional ports. Despite the revision, Port Klang's tariff rates will remain among the most competitive in the region. 'The overall cost competitiveness reinforces Port Klang's strategic positioning as the preferred logistics and transshipment hub for global logistics and distribution centres,' said Subramaniam in a statement yesterday. He clarified that it was incorrect to assume all container volumes in Port Klang would be subject to the full increase, as this ignores key factors such as phased implementation, free storage periods, and the fact that a significant portion of cargo is transshipment, which is priced differently. He added that the last tariff review was conducted a decade ago, and storage rates have remained unchanged for nearly six decades. Subramaniam said that at just RM4 per twenty-foot equivalent unit (TEU), the storage rate has remained unchanged since 1966. This has been a major contributor to yard congestion, as the port has been used as a low-cost, long-term storage option, leading to inefficient use of terminal facilities. He said the revised charges are aimed at improving cargo turnaround by discouraging long-term storage and easing yard congestion, thereby enhancing operational efficiency. To this end, Subramaniam noted that port users who move containers within the free storage period would not be affected by the targeted increases. 'The revised rates consider contemporary logistics solutions within the supply chain and support responsible storage usage in the ports, thereby facilitating more productive and efficient operations,' he added. Far from undermining Malaysia's competitiveness, he said the tariff revision is designed to strengthen Port Klang's position as a regional logistics hub by enabling continued investment in capacity, technology and sustainability. This will ultimately benefit manufacturers, exporters and importers, and advance Malaysia's trade ecosystem. 'The Port Klang tariff revision is a measured and necessary step to ensure long-term service quality, operational efficiency and infrastructure readiness. 'Before the tariff was approved, a comprehensive and detailed study was undertaken. As a result, the quantum of the rate increase was reduced and implemented through a staggered three-year plan,' he said. In response to concerns that the revision would significantly raise consumer goods prices, PKA clarified that port charges represent only a small fraction of the total cost to consumers. 'Typically, a 20-foot container carrying 20 tonnes of cargo will see an increase in handling charges of just 0.45 sen per kilogram,' he added. — Bernama
The Sun
4 days ago
- Business
- The Sun
Port Klang tariffs remain competitive, says PKA
KUALA LUMPUR: The Port Klang Authority (PKA) today clarified that its tariff rates will remain among the most competitive in the region. Its general manager, K Subramaniam, said that even after the staggered increases are fully implemented in 2027, Port Klang's tariffs will still be between 5.0 per cent and 185 per cent lower than those of other ASEAN ports. Refuting claims by several parties regarding the recent tariff revision, Subramaniam said Port Klang's overall cost competitiveness reinforces its strategic role as the preferred logistics and transshipment hub for global logistics and distribution centres. 'In Port Klang's latest tariff revision, a comprehensive benchmarking exercise was conducted against neighbouring and regional ports. Despite the revision, Port Klang's tariff rates will remain among the most competitive in the region. 'The overall cost competitiveness reinforces Port Klang's strategic positioning as the preferred logistics and transshipment hub for global logistics and distribution centres,' said Subramaniam in a statement on Monday (June 16). He clarified that it was incorrect to assume all container volumes in Port Klang would be subject to the full increase, as this ignores key factors such as phased implementation, free storage periods, and the fact that a significant portion of cargo is transshipment, which is priced differently. He added that the last tariff review was conducted a decade ago, and storage rates have remained unchanged for nearly six decades. Subramaniam said that at just RM4 per twenty-foot equivalent unit (TEU), the storage rate has remained unchanged since 1966. This has been a major contributor to yard congestion, as the port has been used as a low-cost, long-term storage option, leading to inefficient use of terminal facilities. He said the revised charges are aimed at improving cargo turnaround by discouraging long-term storage and easing yard congestion, thereby enhancing operational efficiency. To this end, Subramaniam noted that port users who move containers within the free storage period would not be affected by the targeted increases. 'The revised rates consider contemporary logistics solutions within the supply chain and support responsible storage usage in the ports, thereby facilitating more productive and efficient operations,' he added. Far from undermining Malaysia's competitiveness, he said the tariff revision is designed to strengthen Port Klang's position as a regional logistics hub by enabling continued investment in capacity, technology and sustainability. This will ultimately benefit manufacturers, exporters and importers, and advance Malaysia's trade ecosystem. 'The Port Klang tariff revision is a measured and necessary step to ensure long-term service quality, operational efficiency and infrastructure readiness. 'Before the tariff was approved, a comprehensive and detailed study was undertaken. As a result, the quantum of the rate increase was reduced and implemented through a staggered three-year plan,' he said. In response to concerns that the revision would significantly raise consumer goods prices, PKA clarified that port charges represent only a small fraction of the total cost to consumers. 'Typically, a 20-foot container carrying 20 tonnes of cargo will see an increase in handling charges of just 0.45 sen per kilogram,' he added.
The Sun
4 days ago
- Business
- The Sun
Port Klang tariff remains competitive in region, says PKA chief
KUALA LUMPUR: The Port Klang Authority (PKA) today clarified that its tariff rates will remain among the most competitive in the region. Its general manager, K Subramaniam, said that even after the staggered increases are fully implemented in 2027, Port Klang's tariffs will still be between 5.0 per cent and 185 per cent lower than those of other ASEAN ports. Refuting claims by several parties regarding the recent tariff revision, Subramaniam said Port Klang's overall cost competitiveness reinforces its strategic role as the preferred logistics and transshipment hub for global logistics and distribution centres. 'In Port Klang's latest tariff revision, a comprehensive benchmarking exercise was conducted against neighbouring and regional ports. Despite the revision, Port Klang's tariff rates will remain among the most competitive in the region. 'The overall cost competitiveness reinforces Port Klang's strategic positioning as the preferred logistics and transshipment hub for global logistics and distribution centres,' said Subramaniam in a statement on Monday (June 16). He clarified that it was incorrect to assume all container volumes in Port Klang would be subject to the full increase, as this ignores key factors such as phased implementation, free storage periods, and the fact that a significant portion of cargo is transshipment, which is priced differently. He added that the last tariff review was conducted a decade ago, and storage rates have remained unchanged for nearly six decades. Subramaniam said that at just RM4 per twenty-foot equivalent unit (TEU), the storage rate has remained unchanged since 1966. This has been a major contributor to yard congestion, as the port has been used as a low-cost, long-term storage option, leading to inefficient use of terminal facilities. He said the revised charges are aimed at improving cargo turnaround by discouraging long-term storage and easing yard congestion, thereby enhancing operational efficiency. To this end, Subramaniam noted that port users who move containers within the free storage period would not be affected by the targeted increases. 'The revised rates consider contemporary logistics solutions within the supply chain and support responsible storage usage in the ports, thereby facilitating more productive and efficient operations,' he added. Far from undermining Malaysia's competitiveness, he said the tariff revision is designed to strengthen Port Klang's position as a regional logistics hub by enabling continued investment in capacity, technology and sustainability. This will ultimately benefit manufacturers, exporters and importers, and advance Malaysia's trade ecosystem. 'The Port Klang tariff revision is a measured and necessary step to ensure long-term service quality, operational efficiency and infrastructure readiness. 'Before the tariff was approved, a comprehensive and detailed study was undertaken. As a result, the quantum of the rate increase was reduced and implemented through a staggered three-year plan,' he said. In response to concerns that the revision would significantly raise consumer goods prices, PKA clarified that port charges represent only a small fraction of the total cost to consumers. 'Typically, a 20-foot container carrying 20 tonnes of cargo will see an increase in handling charges of just 0.45 sen per kilogram,' he added.
The Star
4 days ago
- Business
- The Star
Port Klang tariffs remain competitive regionally, says PKA chief
KUALA LUMPUR: The Port Klang Authority (PKA) on Monday (June 16) clarified that its tariff rates will remain among the most competitive in the region. General manager K. Subramaniam said that even after the staggered increases are fully implemented in 2027, Port Klang's tariffs will still be between 5.0% and 185% lower than those of other Asean ports. Refuting claims by several parties regarding the recent tariff revision, Subramaniam said Port Klang's overall cost competitiveness reinforces its strategic role as the preferred logistics and transshipment hub for global logistics and distribution centres. "In Port Klang's latest tariff revision, a comprehensive benchmarking exercise was conducted against neighbouring and regional ports. Despite the revision, Port Klang's tariff rates will remain among the most competitive in the region. "The overall cost competitiveness reinforces Port Klang's strategic positioning as the preferred logistics and transshipment hub for global logistics and distribution centres," said Subramaniam in a statement Monday. He clarified that it was incorrect to assume all container volumes in Port Klang would be subject to the full increase, as this ignores key factors such as phased implementation, free storage periods, and the fact that a significant portion of cargo is transshipment, which is priced differently. He added that the last tariff review was conducted a decade ago, and storage rates have remained unchanged for nearly six decades. Subramaniam said that at just RM4 per twenty-foot equivalent unit (TEU), the storage rate has remained unchanged since 1966. This has been a major contributor to yard congestion, as the port has been used as a low-cost, long-term storage option, leading to inefficient use of terminal facilities. He said the revised charges are aimed at improving cargo turnaround by discouraging long-term storage and easing yard congestion, thereby enhancing operational efficiency. To this end, Subramaniam noted that port users who move containers within the free storage period would not be affected by the targeted increases. "The revised rates consider contemporary logistics solutions within the supply chain and support responsible storage usage in the ports, thereby facilitating more productive and efficient operations," he added. Far from undermining Malaysia's competitiveness, he said the tariff revision is designed to strengthen Port Klang's position as a regional logistics hub by enabling continued investment in capacity, technology and sustainability. This will ultimately benefit manufacturers, exporters and importers, and advance Malaysia's trade ecosystem. "The Port Klang tariff revision is a measured and necessary step to ensure long-term service quality, operational efficiency and infrastructure readiness. "Before the tariff was approved, a comprehensive and detailed study was undertaken. As a result, the quantum of the rate increase was reduced and implemented through a staggered three-year plan," he said. In response to concerns that the revision would significantly raise consumer goods prices, PKA clarified that port charges represent only a small fraction of the total cost to consumers. "Typically, a 20-foot container carrying 20 tonnes of cargo will see an increase in handling charges of just 0.45 sen per kilogramme," he added. - Bernama
The Star
30-05-2025
- Business
- The Star
Off-peak incentives will be offered to reduce traffic at Port Klang
PUTRAJAYA: Financial incentives will be offered to encourage hauliers to space out their entry into Port Klang so that traffic congestion in and around the port could be better managed, says the Transport Ministry. In particular, sums starting from RM7.50 for vehicles will be offered as a pilot programme beginning August, said Transport Minister Anthony Loke (pic) after he chaired the National Logistics Task Force meeting here yesterday. Hauliers entering Port Klang during off-peak hours (8pm to 8am) will receive RM15 for dual movements (enter and exit within the same time band) and RM7.50 for single movements. 'The cost of this incentive will be funded through a Terminal Access Charge (TAC) of RM10 payable by hauliers entering the port during peak hours (8am to 8pm). 'The imposition of TAC and the provision of incentives will be exempted on Sundays and Public Holidays. These measures provide clear incentives to help the industry move towards safer and more efficient practices,' said Loke of the scheme that is expected to be fully in place by the end of the year. In the same vein, importers and exporters that shift at least 50% of their haulage activity to off-peak hours by July 1 will also qualify for additional free storage time at the port. At present, a four-day free storage period is standard before charges apply. Loke said companies that do not maintain a 50:50 ratio between peak and off-peak movements may lose this free storage incentive. Currently, about 70% of haulage activity at Port Klang take place during peak hours, contributing to congestion and delays. The port saw a 9% increase in container volume in 2024, putting further pressure on surrounding roads. To address the issue, the Port Klang Authority (PKA) set up a special task force in January to study traffic patterns and recommended measures that included the introduction of these off-peak incentives. 'The goal is to spread out truck movements and reduce traffic during busy hours. This will not only ease congestion but also make our roads safer for everyone,' said Loke. When asked about yesterday's meeting between ministers and the Prime Minister, Loke confirmed that no reshuffling was mentioned at the occasion. 'Yes, there was a meeting with the Prime Minister, but I was not informed of any Cabinet changes. The Prime Minister said the Transport Minister remains,' he replied when asked whether the discussion centred on filling the two vacant ministerial posts. The vacancies arose following the resignations of Datuk Seri Rafizi Ramli and Nik Nazmi Nik Ahmad this week as Economy Minister and Natural Resources and Environmental Sustainability Minister respectively.
