Answer for Written Question PT025

QUESTION

Yang Berhormat Awang Lau How Teck

YANG BERHORMAT AWANG LAU HOW TECK requested the MENTERI PENGANGKUTAN DAN INFOKOMUNIKASI to state the latest analysis of logistics and goods delivery costs for local businesses, including the impact on final prices and export competitiveness. What measures are currently being implemented to ensure that these costs are more competitive without affecting the smooth functioning of the supply chain?

ANSWER

Yang Berhormat Menteri Pengangkutan dan Infokomunikasi

It is a pleasure to share several efforts to improve logistics efficiency and maritime cost competitiveness in Negara Brunei Darussalam, among which are:

i. Strategic Analysis of Costs and Operational Efficiency

Based on the latest internal analysis in line with the implementation of the new Strategic Plan of the Maritime and Port Authority (MPABD), 'Navigating 2030', it was found that although global shipping remains uncertain, local logistics costs in Negara Brunei Darussalam are now more significantly influenced by the speed of operational implementation ('turnaround time') and the effectiveness of digital system utilisation. The MPABD analysis also showed that shortening the time vessels spend at ports has an impact on reducing fees and consequently enhancing business competitiveness.

ii. Implementation Measures to Improve Efficiency and Competitiveness

Under the 'Thriving Maritime Economy' pillar of the 'Navigating 2030' strategic plan, MPABD is implementing several strategic measures to reduce the cost burden on industry and consumers.

Pendigitalan melalui Maritime Single Window (MSW) – MPABD has fully transitioned to the MSW platform to automate port clearance processes. This implementation expedites administrative procedures, reduces duplication of documentation and saves the operating costs of shipping agents and local businesses.

Penggalakan Konektiviti Laluan Perkapalan Langsung – Through cooperation with strategic partners, MPABD is expanding direct shipping routes to major regional ports. This effort aims to reduce dependence on third-party transshipment hubs (transshipment), thereby helping to stabilise and potentially lower basic freight rates for local exporters.

Pemodenan Regulatori – MPABD is also reviewing the fee structure and service charge rates to ensure that they remain competitive at the regional and international levels, while also guaranteeing sufficient revenue for continuous reinvestment in infrastructure and the improvement of port facilities.

iii. Collaborative Governance Approach – MPABD is implementing these initiatives collaboratively with stakeholders to ensure that the effectiveness of the policies formulated is aligned with industry needs.

At the industry level, MPABD engages directly with the Brunei Freight Forwarders Association (BRUFA) to ensure that views and challenges at the operational level are taken into account in policy formulation and initiative implementation.

At the national level, MPABD works closely with MTIC to advance the multimodal integration agenda, including the proposed establishment of a national-level mechanism or special task force for logistics coordination. This measure aims to ensure that every improvement in port efficiency can be directly translated into cost savings for local businesses while supporting the country’s overall logistics objectives. In addition, this effort also ensures that support services are enhanced to meet logistics demand and achieve a smooth and integrated logistics system (seamless logistics).