Malaysia to Emerge as Global Player in Shipbuilding/Ship Repairing Industry

Malaysia has what it takes to emerge as a global player in the shipbuilding/ship repairing (SBSR) industry, given its features, advantages and competencies. The industry is a key contributor to the nation’s economy, generating RM7.05 bln(approx $ 2.3 bln) of revenues in 2011 and employing 20,000 people.

Ten projects approved in Malaysia related to shipbuilding, ship repairing and related engineering works attracted RM5.978 bln($1.95 bln) in that same year.

The attainment of the targets set by the Malaysia Shipbuilding/Ship Repairing Strategic Plan 2020 (SBSR 2020) should put Malaysia on the map of world’s leading shipbuilding/ship repairing nations. The targets include developing a niche in building medium-size vessels (below 120m and especially OSVs or offshore support vessels) and gaining respectable shares in the global newbuilding market, ship repairing market in the Straits of Malacca and the offshore sector repairing market in the South China Sea.

Launched by Prime Minister Dato’ Seri Najib Tun Razak in December 2011, SBSR 2020 provides a strategic framework for the development of the SBSR industry in a structured and well-planned manner. It also acts as a roadmap for players in the industry to work towards putting Malaysia on the world map of leading players in SBSR.

YB Dato’ Sri Mustapa Mohamed, Minister of International Trade and Industry Malaysia (MITI) said during his keynote speech at the 2nd National Marine Industries Forum (2NMIF) in Kuala Lumpur on 2 October 2012 that Malaysia has what it takes to “make a mark in the industry” amid intense competition from shipyards in the region

In this regard, he said that SBSR 2020 has laid out multi-pronged strategies to enhance Malaysia’s status and capability of an SBSR nation. These include establishing business-friendly policies to support the growth, strengthening the institutional framework, reinforcing the framework to ensure industry integrity and quality products; and attracting and preparing an adequate workforce. These, said the Minister, are the pillars upon which Malaysia can build a name for itself as a global player in the industry.

Echoing the Minister’s optimism, MIMA Chairman Vice Admiral Tan Sri Dato’ Seri Ahmad Ramli Hj. Mohd. Nor (Ret.) said that by fulfilling the targets set in SBSR 2020, Malaysia has wisely focused on leveraging on its existing strengths in building small and medium-sized vessels and in the offshore oil and gas industry to gain global share in this lucrative and competitive field. In doing so, Malaysia can also enhance its competitiveness as a maritime nation.

MIMA co-organized 2NMF with Association of Marine Industries Malaysia (AMIM), Malaysian Industry-Government Group for High Technology (MIGHT) and the Malaysian Joint Branch of RINA-IMaREST, a professional body for marine engineers. The forum was a follow-up to the successful 1st National Marine Industries Forum (1NMIF) held in May 2010

In his closing address, MIMA Director General said a comprehensive approach is needed to elevate the Malaysian SBSR industry to greater heights, given its extensive links with many economic sectors. He expressed his confidence that Malaysia has all the right ingredients to become a world player in the industry and that the SBSR 2020 will blend all the ingredients together to deliver a winning recipe.

The forum was attended by approximately 200 participants from the industry and companies providing support services related to SBSR, Government agencies and the academia. The strong turnout reflected the growing prominence of the forum as the main avenue for the ‘meeting of the minds’ of the industry stakeholders.

In providing the platform for industry stakeholders to brainstorm ideas and discuss issues pertaining to the industry, MIMA hopes to contribute to taking the Malaysian SBSR industry to greater heights and help realize the nation’s goal of becoming a fully developed economy by 2020 through the fulfilment of the targets of SBSR 2020.

[mappress]

Press Release, October 5, 2012