KUCHING: The State Transport Ministry has reiterated that it will look into the increase in transport and logistic costs and study the matter together with those in the logistics industry.
Minister Datuk Seri Lee Kim Shin in replying to Padungan assemblyman Chong Chieng Jen said his Ministry through a special platform namely, the Sarawak Public Transport Committee Meeting scheduled to be held in June, will deliberate on the matter.
“This is how the Gabungan Parti Sarawak (GPS) government operates, that is to engage with the stakeholders first to find out the real issue rather than making sweeping statements to gain cheap publicity,” he said in a press conference at the State Legislative Assembly (DUN) Complex on Wednesday (May 25).
He went on to say that it is imperative to understand correctly that the issue is not merely confined to Malaysia or Sarawak but the whole world.
“This is due to the disruption in the global supply chain from the point of production until the delivery of goods to the consumers.
“All these are the results of the two-year COVID-19 pandemic followed by the geo-political tension especially involving the war between Ukraine and Russia and most importantly the hike in oil prices from USD80 per barrel in 2019 to USD112.8 per barrel on May 25.”
Since the issue is not restricted just to Sarawak, he said Chong, who is also Stampin MP, should have brought up the issue in the recent Dewan Rakyat sitting.
“In fact, the federal government provides diesel fuel subsidies to land cargo operators including those from Sarawak as one of the measures to cushion the impact of the rising cost of transport and logistics.
“This approach is certainly different from the style of the Padungan assemblyman who made promises in the past but failed to fulfil when he was in the Pakatan Harapan (PH) government as a Deputy Minister.
“For example, his promises that the oil and gas royalties will be retained at five per cent and that Sarawak will be getting 20 per cent of oil profit as extra and that 50 per cent of tax revenue collected in Sarawak will be returned to Sarawak,” he said.
Lee said the GPS government through his Ministry has constant engagement with the transport industry players especially from the logistics and forwarding companies.
The Consumer Price Index for March 2022 clearly shows that Sarawak is among the three states that have registered the lowest increase in inflation at 1.7 per cent which is below the national average of 2.2 per cent.
“It is significant to note that Penang, the state under the Democratic Action Party (DAP) administration, registered an increase in inflation at 2.2 per cent,” he said.
Earlier on Tuesday when Lee was delivering his ministerial winding-up speech, Chong had sought clarification on issues related to the logistics industry.
“Of late, the cost of logistics has escalated, thereby contributing to the inflation, and increase in prices of goods.
“My question is to seek clarification from the Minister on what is the plan of the state government to help the logistic companies to lower their cost of logistics, thereby helping to curb inflation and the rising price of goods,” he said.
In reply to Chong, Lee said: “We have engaged with the logistics stakeholders and are now studying the matter.”
Chong in a statement later said that the Ministry of Transport’s response that it is still studying the matter is totally unacceptable.
