Johor looks to new markets

To date, the port has played a prominent role in catalysing the development and success of the Pasir Gudang industrial estate and its surrounding areas. But it now needs to gear itself up in order to keep its market share in metal cargo and to take advantage of growing markets – namely palm oil and oil and gas.

Datuk Mohd Sidik Shaik Osman, chairman of Johor Port, said: “Industries in Pasir Gudang are growing to the extent that it they have now expanded to the Tanjung Langsat industrial area. Therefore, Johor Port needs to gear itself to cater for the growth and expansion of these industries so as to ensure that the port remains as a vibrant gateway for the southern region of Malaysia.”

The redevelopment will need some creative thinking though due to space constraints, there will be a need to build vertically to create extra capacity for new multi-story warehouse storage facilities.

The expansion plan will be conducted in phases and will include the acquisition of new equipment, repair of the wharves and the creation of four new additional berths dedicated to handling liquid cargo. This year alone, the port will be looking to invest around RM100m (USD$31.5m).

The port plans to cash in on Johor’s and Malaysia’s growing dominance in the palm oil industry and the fact that the coastline of southern Johor looks set to be developed into an oil and gas hub under the country’s Economic Transformation Program (ETP).

“As such, the port will continue to play a key role in facilitating the needs of the oil and gas sector”, Mr Sidik added.