KL-S'pore shipping war

KL-S'pore shipping war

KUALA LUMPUR (AFP): Malaysia is to double terminal handling fees for cargo shipped via Singapore as it steps up shipping rivalry with Singapore, officials said yesterday.

The Malaysian authorities are bent on retrieving shipping business lost to neighboring Singapore.

"A meeting will be held among officials of the transport ministry, shippers, freight forwarders and ports to decide on the implementation date," a transport ministry official said.

The move followed a cabinet directive on Wednesday that all government imports come through the main west coast Port Klang, Malaysia's premier port, without passing through Singapore.

Transport Minister Ling Liong Sik said Thursday that exporters and importers would have to pay higher terminal handling charges for conducting transactions via Singapore port.

If doubled, local shippers, even in Malaysia's southern Johore state nearest to Singapore, would find it cheaper to use Port Klang, he said.