Business groups in Penang have expressed concern over proposed increases in warehousing and freight-forwarding charges for less-than-container-load (LCL) cargo at Port Klang, warning that such hikes could ultimately be passed on to consumers. The proposed revision affects both import and export shipments handled through warehouses and freight-forwarding facilities at the port.

Datuk Kennyyeh Tan Soo Nam, president of the Penang Importers and Exporters Association, highlighted that businesses are already contending with rising costs across various sectors. He emphasized the need for clarity regarding the reasons behind the proposed rate adjustments. “When everything increases, who will have to bear the cost? This will be passed on to consumers,” Tan said, adding that any increase should be coupled with improvements in service quality and operational efficiency. He also noted that while a rate review might be acceptable if charges have remained unchanged for some time, the extent of the hike will be a critical factor for acceptance.

Calvin Kwan, chairman of the Small and Medium Enterprises Association northern region, underscored the particular impact on SMEs that depend on LCL shipments, as they often do not have the volume to qualify for full container loads. Kwan described it as premature to fully assess the repercussions of the proposed changes, given that the new rates are still undergoing stakeholder consultations. He stressed the importance of ensuring that any adjustments are reasonable, transparent, and proportionate to actual increases in operational costs.

It remains uncertain whether a similar review of charges will be undertaken at Penang Port, according to Kwan. The consultations surrounding the Port Klang proposal continue, with business groups closely monitoring developments to understand how the changes might affect supply chains and end consumers in Penang and beyond.