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Put off new charges, DP urged

Put off new charges, DP urged

Daily Express8 hours ago

Published on: Wednesday, June 25, 2025
Published on: Wed, Jun 25, 2025 Text Size: Tony (right), Joseph (second right) and others during the 20th FMFF AGM and 129th Council Meeting held in here, on Saturday. Kota Kinabalu: The Federation of Malaysian Freight Forwarders (FMFF) has urged DP World, operator of the Sapangar Bay Container Port (SBCP), to postpone the implementation of new container removal charges, warning that the move will further burden Sabah consumers and strain the already congested port system. The matter was raised during FMFF's 20th Annual General Meeting and its 129th Council Meeting held in here, hosted by the Sabah Freight Forwarders and Logistics Association (SABFFLA). Effective July 15, DP World will impose a charge of RM45 for each 20-foot container and RM90 for each 40-foot container not cleared after five days. This reduces the current free storage period from eight days, previously offered under Sabah Ports Sdn Bhd. FMFF described the move as 'premature, unfair and unjustified', citing worsening yard congestion and lengthy delays in container movement and customs processing. 'A container can take three to four hours to be delivered at the earliest, factoring in yard and gate delays. In some cases, hauliers are made to wait up to six hours inside the port,' said FMFF President Datuk Dr Tony Chia and CT Forwarding & Transport Sdn Bhd Director Joseph T.K. Chong in a joint statement. They noted that forwarding agents also face prolonged delays in moving containers to the Customs Examination Area (CEA), with processing sometimes taking several days.
Advertisement Given the circumstances, they stressed that meeting the new five-day requirement would be impossible and the additional cost burden would ultimately be passed on to consumers. 'DP World must first resolve operational inefficiencies and ensure the port ecosystem is ready before enforcing new charges,' they said. FMFF is also calling for immediate short-term solutions to ease the congestion while awaiting the port extension project's completion in 2027. 'Changes to SOPs and the free period must go hand in hand with improved productivity and efficiency, until such improvements are in place, the current eight-day free period must be retained,' the joint statement added. FMFF, which represents more than 1,600 logistics companies nationwide through eight state associations, maintained that performance benchmarks must be met before any new cost-related policies can be justified. * Follow us on our official WhatsApp channel and Telegram for breaking news alerts and key updates! * Do you have access to the Daily Express e-paper and online exclusive news? Check out subscription plans available.
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