E-commerce boom will put Malaysia on global logistic map

 |Oct 5, 2017
File pic credit RGB Stock.

KUALA LUMPUR: Evolvement of the e-commerce sector will put Malaysia on track as a leading Asean logistic hub, hence putting it on the global logistic map, said Transport Minister Datuk Seri Liow Tiong Lai.

With the fast pace of e-commerce growth, digital economy would contribute to an increase of around 1.4 per cent to Gross Domestic Product (GDP).

“With the excellent logistics infrastructure to facilitate trade by 2020, the e-commerce sector is expected to grow up to RM114 billion.

“This is in line with our aspiration to become the leading ASEAN logistics hub and the preferred logistics gateway to Asia,” he said at the 56th International Federation of Freight Forwarders (FIATA) World Congress here today.

Liow stressed that with the presence of world class infrastructure such as the Digital Free Trade Zone, the KLIA Aeropolis, new sea ports and rail connectivity, it would undoubtedly be a significant catalyst to the logistics industry.

Capitalising on the e-commerce boom, the new KLIA Aeropolis is focused on increasing its cargo and logistic traffic as top world freight forwarders would be operating from there.

“It will be our gateway to South East Asia with 1,250 flights weekly,” he said, adding that Malaysia aimed to increase its cargo volume from 726,000 tonnes to 3.0 million tonnes by 2050.

Upon completion of the DFTZ by 2025, the e-commerce hub was anticipated to handle goods worth more than RM280.8 billion in the Asean region.

“With the holistic logistic ecosystem, it is expected that goods can be delivered to ASEAN countries within 72 hours,” he said.

KLIA Aeropolis, built on 404.7 hectares surrounding KLIA and launched last year was expected to attract about RM7 billion in foreign and domestic investments.

Meanwhile, FIATA President Zhou Huxiang, praising the economic development in the country, said Malaysia was now one of the critical logistics hub in the ASEAN region.

“Malaysia has managed to diversify its economy and recover quickly from the global financial crisis.

“It is now attracting investments from international logistics and e-commerce enterprises,” he said.

The five-day conference themed, “Logistics Bringing Global Trade”, attracted more than 1,500 participants from 77 countries. – Bernama