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40 Special Report
The International Gateway of IDR
Port of Tanjung
Pelepas
Port of Tanjung Pelepas (PTP), Asia’s
fastest-growing port with facilities and
services, currently ranked amongst the
best internationally, is a premier world
class port strategically located at the
southern tip of peninsular Malaysia and
at the confluence of the busy east
west trade lanes going into the straights
of Malacca.
Having proved itself as a successful
transshipment hub and a regional
distribution, trade and logistics centre
over the past 6 years, the government of
Malaysia has entrusted PTP with the role
of "international gateway for the southern
region" under Malaysia’s latest and most
ambitious plans to develop Malaysia’s
southern most state of Johor into a new
economic growth area.
The new economic growth area
commonly known as Iskandar
Development Region (IDR) covers an area
of approximately 2200 square kilometers
and provides an attractive investment
environment for a wide range of
businesses. Analysts predict that the IDR
will transform South Johor into a new
international address for businesses and
investments at par with Hong Kong
& Schenzen.
Among the projects identified under the
IDR master plan are for the development
of the Southern Industrial Logistics
Cluster (SILC) which will house
industrial and commercial parks.
Activities planned at these facilities
include "postponed manufacturing,"
where parts and components are brought
in from various sites to be assembled at
these facilities before being re-exported.
Being located within the IDR, the strategic
location of PTP and it’s integrated Free
Zone, will bring value to the IDR by
providing the much needed linkage and
hence giving the region a high level of
international accessibility.
The unique location of PTP has made
Pelepas Free Zone (PFZ), which is located
within the same boundaries an
investment hot spot for investors seeking
to set up base for their operations to serve
not only the South East Asia region but
also the world’s major economies. As the
southern region’s regional logistics and
distribution hub, PFZ has managed to
attract more than RM2 Billion in foreign
direct investments.
The growing importance of PFZ as an
attractive investment location can be
further demonstrated by PFZ’s latest
signings in 2006, which saw notable big
brand names like Intelco (machinery
spare parts distribution), Century
Logistics (development of 200,000 sqf
warehouse space), Cameron International
(oil and gas processing plant) and Geodis
International (logistics company) making
the move.
Other equally impressive names already
operating from within PFZ and enjoying
its many benefits and advantages offered
include BMW Parts Distribution Centre,
Schenker Logistics, Maersk Logistics,
Naigai Nitto, MiEL, Tiong Nam, JB Cocoa,
Flextronics, Ciba Vision, JST, ICBP,
Nippon Express and many more.
In a recent interview, PTP’s Chief
Executive Officer Harun Johari said that
PFZ was very significant to the
sustainable growth of the port. "PFZ
contributed positively to our overall 2006
business results by recording an impressive
57 per cent growth in container through,"
he added.
"Manufacturing facilities located within
PFZ has started to create spin offs in
attracting more local cargo volume
whilst the commercial activities of the
PFZ further enhances PFZ’s
attractiveness through the value added
logistics services it has to offer," he said.
Harun also said that through the interest
generated by IDR and the positive
commitments indicated by foreign
manufacturing firms seeking to form
Supply Chain & Logistics Group | www.sclgme.org