IN KUALA LUMPUR

MALAYSIA will do 'everything possible' to bring the business of Taiwan's biggest shipper, Evergreen Marine, to Johor's Port of Tanjung Pelepas (PTP), Transport Minister Datuk Seri Dr Ling Liong Sik said yesterday.

 

He said the new bunkering and petrochemical facilities being planned for PTP would complement its other port services.

 

Asked whether Singapore, the world's biggest bunkering port, should be worried, he said: 'They have been preaching competition for the last 30 years. This is the meaning of competition.'

 

On how long Malaysian ports could continue becoming competitive by lowering costs, he said: 'This strategy is forever.'

 

Reflecting Malaysia's bullishness, he sees cargo volume handled by its ports this year rising to 10 million TEUs, or 20-foot equivalent units of containers from some 7.5 million last year.

 

Asked about what Malaysia would do to counter plans by Singapore to keep Evergreen as a client of PSA Corp, he said: 'I don't want to comment too much on this openly except to say that we would do everything possible to help PTP.

 

'The position so far by Evergreen obviously has come out of a very well-considered decision. It has studied the situation not just in terms of costs, but in terms of capacity, efficiency, productivity and connectivity.'

 

Dr Ling met reporters after addressing an international terminal operators' conference.

 

Last month, Evergreen group chairman Chang Yung-fa said the company had decided to move to PTP, citing lower charges, although no contract had been signed.

 

Singapore's Transport Minister, Mr Yeo Cheow Tong, earlier this month cast doubt on whether PTP had won formally the Evergreen business. He had said he understood that PSA and Evergreen were still in discussions and Singapore would do 'whatever is necessary' to support the growth of local ports.

 

Dr Ling said lower costs were one main factor attracting liners to Malaysian ports, though the operators must also improve productivity and direct connectivity to other ports.

 

Seaport Terminal, which owns 70 per cent of PTP, last month inked a deal with the Johor government to develop the petrochemical and bunkering projects on 1,600 ha. Dr Ling also said Senai Airport in Johor had been chosen to be turned into a world-class airfreight hub, rather than the Kuala Lumpur International Airport, because Senai was under-utilised.