M'sian firm proposes to build rail line from Songkhla to Penang


Thai Ambassador Damrong Kraikruan press briefing on the launch of rubber city ,off hatyai southern of thailand

KUALA LUMPUR: A Malaysian company has proposed to build railway tracks linking the sea ports of Penang and Songkhla, said Thailand’s ambassador to Malaysia Damrong Kraikruan.

Thai and Malaysian government representatives are expected to meet in the next few weeks to dwell on the subject, he said, adding that the proposal was mooted by a company which is said to be related to a renowned Malaysian tycoon with a link to the Penang Port.

This idea will benefit both ports as they can serve as transit ports before goods are shipped to international destinations, he told a media briefing on the Malaysia-Thailand trade and investment ties in Kuala Lumpur on Thursday.

This proposal is new and unheard of other than the multi-billion dollar Kra Canal plan, which was tossed as early as 1677 but was not taken up due to cost and environmental concerns.

With renewed interest in the canal plan from Thailand, if it were to materialise, the canal could pose a challenge to ports along the Straits of Melaka such as Port Klang and Tanjung Pelepas Port, as well as the Singapore Port.

The proposed Penang-Songkhla rail line is expected to shorten the transit time of shipment of goods to nine hours compared to nine days via the Straits of Melaka.

Commenting on the Malaysian-Thai relations, Damrong said Thailand had been overlooked by Malaysian business leaders despite its vast opportunities and infrastructure.

“For instance, Thailand has road access to China, and other Indo-Chinese countries, which would benefit Malaysian businesses,” he said.

Malaysia is Thailand’s sixth trading partner and the total trade between both countries stood at US$20bil in 2016. - Bernama

Article type: metered
User access status: 3
Join our Telegram channel to get our Evening Alerts and breaking news highlights

   

Next In Business News

Weststar Group�weighs US$300mil helicopter unit IPO Premium
Tengku Zafrul: Talk of global recession premature, unwarranted Premium
Ringgit appreciates versus US dollar, tracking positive yuan sentiment Premium
SCIB secures EPCC contract worth RM36mil Premium
Duopharma net profit rises 15% in 1Q Premium
Borneo Oil acquires 22.5% in MTSB for RM73.56mil Premium
Chin Hin to dispose of Solarvest stake for RM103.28mil Premium
Dialog's Q3 net profit slips to RM133.07mil, declares 1.30 sen dividend Premium
DNeX, Foxconn unit to build and operate wafer fabrication plant in Malaysia Premium
PetChem buys Perstorp in RM10.5bil deal Premium

Others Also Read