PETALING JAYA: The Federation of Malaysian Manufacturers (FMM) is urging the Port Klang Authority (PKA) to retain the current RM20 minimum warehouse- handling charge for small consignments.
The proposed 50% increase to RM30 would place a disproportionate burden on small and medium-sized enterprises (SMEs) and low-volume shippers, said FMM president Jacob Lee Chor Kok.
The proposed increases in warehousing and freight- forwarding charges should not be approved in their current form, as most warehousing charges are set to rise by about 30%, he said.
Besides the minimum charge increasing to RM30, the proposed rise in cargo-handling charges at warehouses is 37.5%, so the rate would go up from RM12 to RM16.50 per tonne, he said.
FMM is also concerned about a proposal to raise the less-than-container-load (LCL) cargo terminal-handling charge to RM60 per cubic metre.
“The proposed RM60 rate would be 11.1% higher than the current rate and 9.1% higher than the scheduled 2027 rate. (See graphic for phased increases since 2025)
“FMM therefore questions the need for another revision before the existing phased increase has been fully implemented and its impact assessed,” said Lee.
He said the higher charge would affect manufacturers that bring in small and frequent shipments of raw materials, components, machinery parts and urgent replacement items.
“SMEs and manufacturers producing specialised or lower- volume products would be more exposed because they have fewer opportunities to consolidate shipments and spread logistics costs across larger cargo volumes,” he said when contacted yesterday.
Lee said manufacturers are already facing higher labour, energy, raw material, compliance and logistics costs.
“Where the extra costs cannot be absorbed, manufacturers may have to pass them on to consumers through higher prices,” he added.
FMM proposed that the PKA keep the current terminal-handling charge until the RM55 rate takes effect on Jan 1, 2027.
It also wants the authority to study the impact of that rate for at least 12 months before considering another increase.
FMM also called for detailed and independently verified cost data to support each charge, and a single published list of allowed LCL fees.
Federation of Malaysian Freight Forwarders president Datuk Dr Tony Chia said the proposal is timely as LCL warehousing and freight-forwarding rates have not been reviewed for 10 years.
“The PKA engaged us and studied the charges after 10 years.
“They are trying to reduce the impact of the increases,” he said.
Chia said the review covers LCL cargo handled at container freight stations and warehouses, including those within port terminals. It is not limited to e-commerce shipments.
“Any loose-container cargo or consignment handled by container freight station operators and consolidators, for both imports and exports, will be involved,” he said, adding that the charges are regulated by the PKA and warehouse operators have to follow the prescribed rates.
“Costs have gone up, including fuel, equipment and maintenance. The authority has the power to review these regulated charges,” he said.
Chia said any increase would eventually be passed on to importers and exporters, with SMEs and online sellers likely to feel the impact more.
