Learn from Singapore after decision to discontinue policy
KOTA KINABALU: Parti Solidariti Tanahairku (Sabah Star) lauds the federal government’s decision to discontinue the National Load Centre policy that centralised all cargo shipping to Port Klang in peninsular Malaysia.
Party Vice President Datuk Kenny Chua said even though Sabah has lost so much of opportunity to develop its port capability over the past 30 years because of the policy, the decision is still welcomed.
“Three decades is a long time. We fought so hard against the cabotage policy and for so long our grievances had been left unheard. Because of the policy, we in Sabah and Sarawak had to pay more for almost everything.
“For so long, we have felt unfairly treated. Our party leaders and the people persistently asked the question: why do we have to pay more for the sake of Port Klang? They said we were the poorest state. So, all the more it made no sense to us why the federal enforced the policy on us in the first place.
“It’s a huge relief now that the Madani government has decided to discontinue with it though it should have been done long time ago. To put this in perspective, a Sabahan child born at the time when the policy was enforced is now in his or her 30s and probably has children of their own. That’s how long we have had to suffer” he said in a statement on Sunday.
Chua said now that any shipping company can directly use Sabah as a loading port or as port of call, there are endless opportunities that the region can take advantage of.
“But first, we must strive to become a stronger magnet to pull foreign investors, and this means, among others, is to frame the right policies and maybe also reframe existing ones,” he said.
Chua was commenting on the federal government’s decision to discontinue the three-decade-old policy.
Transport Minister Anthony Loke reportedly said with the discontinuation, any ship is allowed to dock at any Malaysian port based on the commercial choice of the shipping company and subject to logistical rules applicable for all.
International shipping companies can continue to dock at any port in the country whether in the peninsula or in Sabah and Sarawak, Loke was quoted saying.
Chua noted that although this is a positive development, Sabah political and business leaders need to work closer to chart the way forward.
He opined that Sabah can emulate Singapore.
“The secrets to the epic rise of Singapore’s economy are now well known. They are attributed to several essential factors. One thing for certain is that they were carefully crafted and strategically articulated by the city-state’s government under Lee Kuan Yew’s leadership,” he said.
He noted that Singapore today stands out as one of the world’s wealthiest economies and a highly sought-after destination to live and work.
“It ranks among the top 10 countries with the highest GDP per capita and largest foreign reserves and is the fifth most competitive economy on the planet. The Port of Singapore is the world’s second largest port and busiest transshipment port.
“I’m confident that under this newly-found freedom, Sabah can learn how Singapore had risen to become the world’s top shipping centre,” he said.
He noted that Sabah has the advantage of its geographic location, being in close proximity to key trading routes that makes the state perfect to set up a trading hub for sea and air traffic.
He said the Sabah government understands this very well and must continue to set up the infrastructure to harness the location-based advantages.
“But being strategically located in the region is not enough for there are many other countries with similar geographic advantages.
“Perhaps, we need to roll out more attractive incentives like low tax rates and tax breaks to entice businesses and investors. Look at Dubai. Today, the country is a tax haven for millionaires. And when the world’s ultra-rich flock in, so does their money,” said Chua.
He stressed that ultimately the public and private sectors in Sabah need to act as an entrepreneur.
“An entrepreneur knows how to seize opportunities. Now that our ports are open to shipping companies from all over, it is up to us to capitalise it.
“And just like any entrepreneur, we strive to create sustainable wealth and profit because we shoulder the responsibility to ensure our people will always have income to sustain their lives and that of their families,” he said.