SEGAMAT: Cargo movement across northern Johor, southern Pahang, Melaka and Negri Sembilan is set to be more efficient with the reactivation of the Segamat Inland Port, a move expected to boost rail freight, cut logistics costs and support the government’s road-to-rail agenda.
Transport Minister Anthony Loke said the inland port, established in 1997, had never fully achieved its original purpose as a cargo collection and consolidation hub for manufacturers in the region.
“Today, we are reactivating it to ensure more cargo is transported by rail,” he said after witnessing the exchange of lease agreements and strategic collaboration documents for the project yesterday.
Infinity Logistics and Transport was selected through an open tender to operate the facility.
Loke said the inland port would serve as a logistics hub for northern Johor, attracting manufacturers from Segamat, Muar, Batu Pahat, Melaka, Negri Sembilan and southern Pahang.
The project, he said, would help spread economic growth beyond southern Johor, where industrial development has largely centred on Johor Baru, Pasir Gudang and the Port of Tanjung Pelepas.
“Northern Johor also has strong industrial potential, particularly Muar’s furniture industry, which relies heavily on exports,” he said.
Manufacturers will be able to consolidate containers at Segamat before moving them by rail directly to major ports, improving efficiency while reducing the number of heavy vehicles on the roads.
The inland port will also house Customs facilities, enabling import and export clearance to be carried out on site.
Operations have already begun in phases, with trains using a dedicated spur line connected to KTM’s main rail network without disrupting existing services.
Loke said the rail network would eventually link Segamat to Port Klang, Pasir Gudang, the Port of Tanjung Pelepas, northern Peninsular Malaysia, Thailand and Kuantan.
He stressed that rail freight’s success would depend on an integrated multimodal transport system, with lorries handling first- and last-mile deliveries while rail carries cargo over longer distances.
Infinity Logistics and Transport managing director Datuk Seri Chan Kong Yew said the company views Segamat as a logistics corridor connecting northern Johor, southern Pahang, Melaka and Negri Sembilan to the nation’s ports and global markets.
“We estimate businesses could reduce logistics costs by between 10% and 15% by shifting freight from road to rail,” he said.
Chan said the company had already secured commitments from major customers and leading shipping lines ahead of the official launch.
Also present were Port Klang Authority chairman Ean Yong Hian Wah, Sekijang MP Datuk Seri Dr Zaliha Mustafa, Deputy National Unity Minister R. Yuneswaran, Johor public works, transport, infrastructure and communications committee chairman Mohamad Fazli Mohamad Salleh, and Johor deputy state secretary (development) Ahmad Nazir Mohd Nazir.
