The development of Westports Holdings Bhd’s phase two container terminal expansion from terminals 10 to 17 is a significant step to strengthen Malaysia’s position as a global maritime and logistics hub.
Westports executive chairman and group managing director Datuk Ruben Emir Gnanalingam Abdullah said the construction of eight new container terminals will double Westports’ container handling capacity from 14 million twenty-foot equivalent units (TEUs) to 28 million TEUs.
“The construction of these new container terminals (Westports 2 expansion) is not only crucial to meet current demand but also to prepare for the anticipated growth in trade volume over the next decade,” he said in his welcoming speech at the groundbreaking ceremony today. Ruben noted that nine terminals are currently operating at an 80 per cent capacity and are expected to reach full capacity in the coming years.
“This prompted us to make the decision to expand terminal capacity,” he added.
He said Westports 2 expansion is expected to c
ontribute RM55 billion to the Malaysian economy over the project’s duration based on PricewaterhouseCoopers’s economic impact assessment report dated Dec 12, 2022.
“To date, Westports has contributed nearly RM4 billion to the government through corporate taxes and lease payments,” he said. This is projected to rise significantly over the next 30 years due to the new Westports 2 agreement.
“In addition, the land purchased for the development of Westports 2, valued at over RM600 million, will eventually be transferred to the government free of charge,” he said.
Westports 2 will also include the creation of a new free zone covering 222.58 hectares. This is expected to attract foreign direct investments (FDIs) and encourage regional and global distribution centres to be set up.
IKEA, Robert Bosch, and Marks and Spencer are already operating there.
A tripartite collaboration between Westports, the Federal and the Selangor State Government was also announced at the same event.
“Westports is proud to launch
the Selangor environmental conservation and cultural alliance in collaboration with Selangor Maritime Getaway and Yayasan Hijau Malaysia.
The partnership is committed to sustainable environmental conservation of mangrove swamps, marine life, and community development, Ruben added.
Port Klang took the 11th spot in Lloyd’s 2023 list of top 100 ports from 13th place in 2022. Transport Minister Anthony Loke Siew Fook targeted Port Klang to be in the top 10 next next year.
The port showed positive growth in container handling, with a 10.5 per cent increase in import and export trade versus a year ago. In 2023, Port Klang handled a total of 14.06 million TEUs, representing a 6.3 per cent increase from 13.22 million TEUs in 2022.
Source: BERNAMA News Agency