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In what is seen as a subtle move to
subvert and undermine Malaysia's
efforts to develop Port Klang as a
regional transshipment, Singapore is
said to be seeking US Customs
Service to direct all US-bound
transshipment containers handled at
the Malaysian port to be examined at
the republic's port.
Singapore, which rushed in to become
the first port in the world to sign
the Container Security Initiative
(CSI) introduced by US Customs as
part of US government's unilateral
attempt to enforce global maritime
security programme, has allowed US
Customs official to be stationed in
the republic to carry out the CSI.
Under the terms of the CSI, US
customs inspectors will be assigned
to ports where they will use US
Customs automated systems to
identify potentially high-risk
containers US-bound containers that
pose a terrorist threat.
Most of the 20 ports worldwide
identified by US as generating
substantial volume of trade with US
ports have signed or expressed their
intentions to do so.
Singapore, quick on heels following
signing the agreement with US
government to allow US Customs to be
stationed on its sovereign soil,
acquired surveillance and equipment
to scan the containers at a cost of
more than US$3 million.
Industry sources said the move by
Singapore would compel mainline
operators now serving Port Klang
direct to US-bound containers to be
feedered to Singapore for
transshipment to US ports.
"It would be imprudent if shipping
lines were to unload US-bound
containers picked up at Port Klang
for inspection at Singapore.
Overall, it would save time and cost
if the lines simply have the
US-bound containers from Port Klang
to be feedered to Singapore and omit
calling Port Klang for the specific
service," said an agent of a major
shipping line calling US West Coast
ports direct.
It is understood that the US Customs
official in Singapore has been in
contact with his counterparts in
Malaysia but the Malaysian Customs
is said to have resisted request
US-bound containers from Malaysia
inspected in Singapore.
Sources said although Malaysian
Customs may not have much choice but
to eventually sign the CSI, any move
to direct containers for US Customs
examination at Singapore would be
counter-productive and undermine
national interest.
"The intention of Singapore is clear
- to re-capture the transshipment
traffic it had lost to Port Klang
over the past five years by any
means," said a shipping line.
Meanwhile, government sources said
it was pre-maturely announced last
month that Malaysia had agreed to
station US Customs at Port Klang,
and Pelabuhan Tanjung Pelepas.
"There are no US Customs officials
in Malaysia yet and it is still a
matter of negotiation and decision,"
the source said.
Parallel to the CSI, US government
has also initiated the Customs Trade
Partnership Against Terrorism (C-TPAT)
designed to enhance security along
the whole supply chain.
Nearly all major liner companies
have signed the agreement with US
Customs that also includes other
providers of transport services such
as brokers, warehouse operators,
logistics services providers and
manufacturers.
Last week, the managing director/CEO
of Malaysia International Shipping
Corporation Bhd, Datuk Hj Mohd Ali
Hj Yasin said although the national
shipping does not call at US ports
it would have to sign the agreement
"as there is really no way out, if
it is not mandatory"
He said if the shipping corporation
enrolls in the C-TPAT it would make
matters smoother for the entry of or
transshipment of containers carried
by its vessels from other ports.
Carriers wanting to join must
provide executive summary on
security measures including vessel
controls, manifest procedures and
personnel backgrounds.
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