Mainstream
Effects of cabotage felt
F Saad | 11 Aug 2017 00:30
The partial liberalisation of the cabotage policy allows foreign vessels to carry cargo from major ports in the peninsular without requiring a domestic shipping licence
TWO months after the cabotage policy for Sabah and Sarawak was removed on June 1, the shipping community in the two states are already feeling the adverse effects.

One Sarawak-based shipper says the impact is evident as international shipping companies have begun plying routes previously open to Malaysian ships only.

In fact, foreign container shipping companies went on standby mode just weeks after the government announced the cabotage policy.

East Malaysian shippers say they stand to lose billions of ringgit in revenue. With the industry already facing tough times, many of the smaller shipping companies may go bust.

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