Centralised port authority will boost economic growth

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Kuching Chinese General Chamber of Commerce and Industry secretary-general Datuk Jonathan Chai & Lecturer Nivakan Sritharan from the Faculty of Business, Design and Arts at the Swinburne University of Technology Sarawak Campus.

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KUCHING: A centralised port authority will revolutionise port management in Sarawak, leading to increased capacity, streamlined procedures and enhanced competitiveness.

Lecturer Nivakan Sritharan from the Faculty of Business, Design and Arts at the Swinburne University of Technology Sarawak Campus said a unified port authority has the ability to implement standardised procedures and regulations.

This in turn will help simplify the customs clearance processes and reduce bureaucratic hurdles for both importers and exporters he said.

“Centralising port authorities has the potential to create a more appealing environment for private investment and foster innovation.

“It leads to expedited cargo clearance times, reduced transaction costs, and increased trade volumes. Ultimately, this boosts economic activity and enhances international competitiveness,” he told New Sarawak Tribune.

He cited successful models like the Port Authority of Singapore and Shanghai International Port Group, with both serving as the centralised authority responsible for managing and operating the respective country’s port facilities.

As a result, he said ships have experienced quicker turnaround times, reduced congestion, and smooth cargo handling which led to cost savings for businesses and increased competitiveness for the economy.

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“Similarly, this approach from the Sarawak government encourages the advancement of new technologies, services, and business models that enhance efficiency and productivity within the maritime sector.

“A well-functioning port ecosystem, overseen by a centralised authority, also has the potential to create job opportunities in different sectors,” he added.

Furthermore, Nivakan noted the opportunity for private sector investment and innovation, citing partnerships between port authorities and private entities to finance and develop infrastructure projects.

“This approach allows private investors to contribute essential funding, expertise, and innovation, while port authority grants access to port facilities, regulatory support, and long-term planning guidance,” he added.

However, he said building a skilled workforce capable of managing and operating the Sarawak Ports Authority may be one of the challenges during the transition.

“Port operations require a diverse range of technical expertise, including maritime logistics, terminal management, vessel operations, and cargo handling. Transitioning to a centralised authority requires recruiting and training personnel with specialised skills and knowledge in these areas.

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“Investing in human capital development programmes, capacity-building initiatives, and knowledge transfer partnerships will help build a competent workforce capable of driving the success of the port authority,” he said.

Meanwhile, Kuching Chinese General Chamber of Commerce and Industry secretary-general Datuk Jonathan Chai stressed the importance of having representation from the business community on the authority’s board to address private sector concerns effectively.

He also called for hiring skilled individuals to manage port operations efficiently through the process of corporatisation and privatisation.

“Most importantly, we hope that the charges would be kept at a competitive and reasonable rate after the process of centralisation is completed.

“It would be great if we could streamline all the rules and regulations across all ports in Sarawak to enhance user-friendliness, professionalism, and cost-effectiveness,” he said.

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