Indonesian Political, Business & Finance News

KJRI Penang: BNCT and Malaysia Ports Collaboration Strengthens Connectivity

| Source: ANTARA_ID Translated from Indonesian | Trade
KJRI Penang: BNCT and Malaysia Ports Collaboration Strengthens Connectivity
Image: ANTARA_ID

BNCT will serve as a key gateway in Sumatra to strengthen supply chain connectivity among ASEAN nations. The Indonesian Consulate General in Penang welcomed the signing of a Memorandum of Collaboration (MoC) between Indonesian and Malaysian companies to enhance trade connectivity. The MoC was signed by PT Belawan New Container Terminal (BNCT), Mutiara Perlis Sdn Bhd (MPSB), and Penang Port Sdn Bhd (PPSB) on Saturday (30 May). Consul General Wanton Saragih stated in Kuala Lumpur on Saturday that the collaboration is a significant step in strengthening connectivity for the movement of goods and regional trade, linking Sumatra, northern Malaysia, and other Southeast Asian nations such as Thailand, Cambodia, Laos, Vietnam, and East Asian countries like China. The signing took place during the inauguration of the Tuanku Syed Sirajuddin Free Trade Zone at Perlis Inland Port in Malaysia, attended by BNCT’s President Director Mohamed Suffian bin Abdul Manaf, Penang Port CEO Dato’ Sasedharan Vasudevan, and MPSB Group CEO Wan Ahmad Zaheed Wan Mohamad. Also in attendance were Perlis State Ruler Tuanku Syed Sirajuddin Jamalullail, Malaysia’s Transport Minister Loke Siew Fook, Indonesian Consul General Wanton Saragih, and business representatives from Indonesia, Perlis, Penang, and surrounding areas. Under the collaboration, BNCT will act as a key gateway in Sumatra to enhance the distribution of goods to and from regional markets. Meanwhile, Penang Port (PPSB) in Malaysia will serve as a transshipment hub, and Perlis Inland Port (PIP) will function as a land logistics connector to Southeast Asian and East Asian countries. With this synergy, the three port authorities agreed to improve supply chain efficiency, accelerate cross-border cargo flow, and integrate digital systems to ensure end-to-end cargo movement. Wanton noted that the scheme will reduce transit times and logistics costs while opening up land access to Thailand, Cambodia, Laos, and China. Operationally, the Belawan Port to Penang route is approximately 255 km, followed by 133 km to Perlis Inland Port, totaling 388 km. This route is deemed more efficient than the conventional Belawan-Singapore route, which is nearly twice as long, thereby speeding up the distribution of Indonesian goods to Malaysia and surrounding regions. Consul General Wanton stated the collaboration would enhance logistics and trade connectivity between Indonesia and the Indonesian Consulate General in Penang’s working area (Penang, Kedah, and Perlis), particularly accelerating economic growth in the Indonesia-Malaysia-Thailand (IMT) Growth Triangle. Additionally, the collaboration develops an alternative corridor for ASEAN countries to connect with East Asian nations like China through more efficient supply chains. ‘BNCT will serve as a key gateway in Sumatra to strengthen supply chain connectivity among ASEAN nations and with East Asian regions like China more efficiently. This connectivity will expedite the flow of Indonesia’s key commodities from Sumatra, such as palm oil and derivatives, coffee, chocolate, tea, and other agricultural products, to the working area (Penang, Kedah, and Perlis) and surrounding regions,’ said Wanton Saragih. BNCT President Director Mohamed Suffian bin Abdul Manaf stated the MoC is a strategic step to strengthen BNCT’s position in the international logistics network. ‘This MoC opens a new logistics corridor linking Sumatra with regional and global markets. BNCT is ready to support international trade flows and enhance national logistics competitiveness,’ said Mohamed Suffian bin Abdul Manaf. The Indonesian Consulate General in Penang stated it would continue promoting initiatives to develop connectivity between Indonesia and its working area, among ASEAN nations, and other regions for national interests.

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