SMA to state govt: Temporarily use Sim Kheng Hong Port to solve Senari Port congestion problem

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KPA’s hand-out photo shows freight trucks queuing at Senari Port Terminal. – File photo

KUCHING (May 6): The Sarawak Manufacturers’ Association (SMA) has suggested the state government to temporarily use the Sim Kheng Hong Port to solve the port congestion problem at the Senari Port.

SMA made this suggestion following the Senari Port’s congestion problem that has not been resolved since its computer system outage on March 27, causing inconvenience to containers loading and unloading at the port.

“Our members are suffering a rising of cost price because of the port congestion and shipping companies transfer their cost of expenses to importers and exporters.

“It badly affects the manufacturers in the Kuching region,” said SMA in a statement today.

SMA thus urged suggested the authorities to use the Sim Kheng Hong Port as a temporary solution to address the port congestion issue.

It also called on the Kuching Port Authority (KPA) to benchmark itself with the international port standards and upgrade the Senari Port’s system as soon as possible.

It added that it was high time for the government to inject fund into upgrading the facilities at the Port.

According to SMA, a food manufacturer who imports the aluminium cans would have to pay an extra charge of US$200 per 40-feet container.

It claimed that manufacturers in Sarawak could transfer such cost to consumers.

“As a Sarawak manufacturer, we cannot transfer the cost to end users as we need to compete with national and international brands.

“Sarawak manufacturers need to maintain their competitiveness with quality and value-worthy products,” pointed out SMA.

SMA lamented that such additional cost, which it described as unnecessary, would only increase the burden of Sarawakian entrepreneurs.

It cautioned that this would also discourage young entrepreneurs from starting up a business in the state.

“This is because Sarawak as a whole is losing competitive advantage and subsequently young entrepreneurs will move elsewhere with unemployment on the rise and manufacturing industry being downsized.”

With this, SMA hoped that the state government could look into the subject matter and help Sarawakian entrepreneurs solve the problem.