Digital zone a foundation for M’sia to become regional hub

PETALING JAYA: The launch of the Digital Free Trade Zone (DFTZ) in KLIA Aeropolis has laid the foundation for Malaysia to become a regional e-fulfilment hub, says Transport Minister Datuk Seri Liow Tiong Lai.

The partnership approach in rolling out the initial phase of the project by Alibaba Cainiao, Lazada and Pos Malaysia is an example of good cooperation between companies from China and Malaysia, said Liow, who is also the National Logistics Task Force chairman.

“This marks an exciting new phase and milestone for the implementation of the Logistics and Trade Facilitation Masterplan 2015-2020,” Liow said in a statement.

The implementation of e-commerce under the masterplan has been brought forward from 2020 and beyond to 2017 due to the project.

“This will boost the local e-commerce sector as one of the main catalysts for the digital economy and increase GDP contribution.”

Liow said the initial phase of the DFTZ would be located on the 17.5ha site of the former Low-Cost Carrier Terminal. It will have a centralised customs clearance, warehousing and e-fulfilment facilities.

It will later lead to the launch of Alibaba’s regional e-fulfilment centre at the end of 2019.

Liow said the DFTZ would be a regional logistics hub to cater for the e-commerce business.

“When DFTZ is fully developed by 2025, the e-fulfilment hub is anticipated to handle and move up to US$65bil (RM287bil) worth of goods around the Asean region.”

The DFTZ will facilitate cross-border movement of goods as well as ensure seamless air connectivity.

“It could deliver packages within 72 hours to Asean countries through the good air connectivity at KLIA and sea connectivity via Port Klang,” said Liow, adding that the DFTZ is expected to create 60,000 jobs.