MIRI: Malaysia Productivity Corporation (MPC) and BIMP–EAGA Business Council (BEBC) have officially signed a Letter of Collaboration, marking a pivotal step toward enhancing productivity and efficiency in the logistics sector.
The partnership focuses on strengthening cross-border trade and connectivity between Malaysia (Sabah and Sarawak) and Brunei.
The collaboration signing ceremony was held in Miri, Sarawak, with YBhg. Datuk Zahid Ismail, Director General of MPC, and YBhg. Pengiran (Dr.) Haji Haris Pg Haji Duraman, Chairman of BEBC, representing their respective organisations.
Both parties share a unified vision to future-proof the logistics industry by implementing targeted programmes that address key challenges and streamline operations to reduce costs.
Representing BEBC Brunei as Country Directors, Thomas Koh and Haji Alimen Haji Jaafar were present to witness the signing demonstrating BEBC Brunei’s active and direct involvement in driving cross-border connectivity efforts among Brunei, Sabah, and Sarawak under the BIMP-EAGA framework.
Cross-border trade between Sarawak and Brunei increased by 23.8pc in 2023, reaching RM3.76 billion. This significant growth underscores the urgent need for reforms to eliminate regulatory and logistical barriers such as permit duplications, inconsistent transit fees, and manual customs procedures that have traditionally impeded smooth goods movement.
Key focus areas of the collaboration include; Streamlining regulatory frameworks and closing infrastructure gaps to improve connectivity; Driving digital integration and productivity frameworks, led by MPC, including digitised permit systems and harmonised customs processes; Simplifying processes to reduce clearance times; Strengthening business partnerships to connect value chains and unlock new economic opportunities; and Promoting sustainable and resilient trade practices to ensure long-term competitiveness.
The partnership aims to reduce transport costs by up to 50pc through the removal of redundant permits and improved procedures. By 2030, the collaboration targets a 25– 30pc increase in trade volume, a reduction in clearance times, and the creation of over 15,000 new jobs in the logistics sector.
MPC will lead the development of productivity frameworks and digital reforms, while BEBC will ensure the industry’s needs are effectively represented. The sustained cooperation among Sabah, Sarawak, Brunei, and related authorities is vital to maintain efficient, secure, and future-ready trade flows.
This initiative positions BIMP-EAGA as a competitive economic corridor in the ASEAN and Indo-Pacific regions, contributing significantly to Malaysia’s national productivity and economic growth.
