26 Oct 2009

Port of Tanjung Pelepas to change strategy

New Straits Times

Port of Tanjung Pelepas (PTP), which has already made a name for itself, needs to play a different game now by focusing more on niche and high-value customers, said newly-appointed chief executive officer Harun Johari.

“We need to grow — whether double digit or double the size, is something we have to reassess against the market,” he said.

He was speaking to reporters after a news conference in Kuala Lumpur yesterday announcing Atlanta-based CIBA Vision Corp’s RM500 million investment in a contact lens production facility in Tanjung Pelepas Free Trade Zone.

“But PTP is in for exciting times in terms of opportunities but it means thinking differently outside the box, targeting customers and having a position long term.”

Harun said it was important to maximise opportunities for the port as high-value customers would be good for the country in terms of technology transfer, supporting industries and universities.

PTP, he said, is only a third utilised and still have the capacity to grow.

“We need to move away from commodities and ensure that we are not for low value (dumping) while the high value customers go to Singapore.”

Although this year has been a bit tight, he said, the port has won two other major tenants apart from CIBA Vision.

They are Singapore-based contract manufacturing giant Flextronics International Ltd for its RM1 billion expansion programme and Japan’s JST Manufacturing Co, which will develop a one million sq ft integrated facility at a total cost of US$200 million (US$1 = RM3.77).

Harun, who joined the company three weeks ago, is stepping up the pressure on his marketing team to be more proactive.

The transshipment market, he said, has been competitive