Strong industry development underway as part of the $110billion SCORE project

The maritime industry’s importance to Malaysia is undeniable; in 2008 an estimated 95 per cent of Malaysia’s international trades are transported by ocean-going vessels. The size of the industry from a global perspective is also impressive, the United Nations Conference on Trade and Development ranked Malaysia 21st in a list of 35 most important maritime countries and territories as of January 1, 2009, in terms of deadweight tonnage of its merchant vessels.

Malaysia has undergone a transformation, and demand for shipping services in the country is rising fast, in tandem with its growing trade. Malaysia is now in the league of the largest trading nations in the world, as evidenced by its ranking by World Trade Organisation as the twenty-first largest exporter of merchandise trades and the twenty-eighth largest importer of merchandise trades in 2008. This growing need for shipping services and associated services presents a large opportunity for foreign and domestic firms. In fact, the Malaysian government has outlined that increasing support for the Malaysian shipbuilding industry is a priority and major investment in port infrastructure and shipyards will see capacity to undertake larger projects increase.

Generally, continuing growth in the burgeoning oil and gas sector in Malaysia and surrounding region is fuelling strong performance in the maritime industry through demand for support vessels for offshore operations, and associated services. Malaysia’s national shipping line, MISC, is a major player in global energy transport and is the world’s largest owner/operator of LNG tankers. With a growing LNG industry in Malaysia and neighbouring countries such as Australia, this sector has a geographic advantage and provides many opportunities to those with exposure to the maritime industry in Malaysia.

Strong investment in supporting infrastructure, services and industries also provides additional support to a growing industry. Sarawak is also home to one of the most advanced maritime academies in the world. The Sarawak Maritime Academy was officially opened in 2008 with the purpose of producing more local seafarers. This policy has led to many internationally qualified graduates, and has had a bolstering effect to the marine industry in Malaysia, insuring that the industry is locally sustainable and reducing the likelihood of a crippling skills shortage as the industry grows.

Malaysia, due to its geographic position in the epicentre of global resources trade, the already growing and significant industry base that provides a solid footing for expansion and broad ranging government support, is one of the hottest markets for the maritime industry in the next decade.