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Monday, 17 October 2016

Malaysian Shipping Industry



For centuries, the sea has always been central in the life of the Malays. We chose to write a book on Malaysian shipping industry because we realized that there were very few written sources on this important yet neglected industry. When we took up the consultancy project about three years back, most of the available sources were articles written by researchers in MIMA, but still there were little sources that discuss the economic aspects in the shipping industry. Data was the main challenge that we faced at that time and at the end, we had to rely on data in the economic reports because it was the most reliable data for us then.


Faced with declining number of ships, the situation is indeed alarming. The shipping industry is not like any other industries. It is unique. It symbolizes a country's maritime strength and it plays an important role for strategic reasons. 95% of the world's goods are traded globally using vessels as the main mode of transportation. Imagine what could happen if the goods traded and brought to our country are being ferried using foreign vessels, in times of 'emergencies'?

The shipping industry is an 'invisible' industry in Malaysian context. It is not getting enough focus and attention like other segments, for example heavy industries or property development industry. The environment need to be conducive for shipping operators to operate in the country. In one of our interviews, a respondent stated, "Our fixed assets are mainly the ships. If the business environment is not attractive enough for us, we will just 'flag-out' and go elsewhere.." They were very determined and not at all in doubt with their decisions to 'de-flag'.

In the past, i.e. in the 14th century, the region was very well known for its international trade through Malacca port. In the modern times, the country is struggling to remain competitive in the ASEAN region. Even in the sector of seaman supplies, the country is losing out to Philippines. So, where do we stand?

In this book, we discuss the history of the shipping industry, tracing its historical glories during the Malacca days right through the modern times and its challenges. We were thankful that the book is published at last. There were a lot of issues during the process, especially as the book has undergone a thorough review by the Ministry, who wasn't quite receptive of our criticisms, but Alhamdulillah, these issues were later settled. Adamant with our points, we chose to 'reduce the tone' and use 'subtler' adjectives in the government policies chapter.

This book is not without weaknesses. We acknowledge them and hoping to sort them out in our future manuscripts...

*Panglima Awang, you are no longer a prisoner anymore... you are free to go and 'fly' wherever you want to... the sky's the limit.... fear not, for everything will be alright, as long as you have Him in your heart*.... 

  



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