COST OF TRANSPORTATION IN MALAYSIA

Assalamualaikum and salam sejahtera and salam 1 Malaysia to all my blogger readers. We create this blog on purpose to fulfill our assignment under course Management of Transportation that has been lead by Sir Mohd Zamri Yahya. Based on the title above is about the Cost of Transportation In Malaysia. So that, we want to give our opinion about this topic.

As you know,Malaysia have 5 mode of transportation which is road, railway, air, water and last but not least is pipeline. First, we will explain more about each mode of transportation. First, Road Transportation. Road Transportation is the most commonly used in Malaysia because of accessible and ideally suited for transporting goods over the distances, where the distance is near or far. Road transportation is not only economical, but also quicker. It is also can provide door to door service which is collect and transport the goods from seller’s warehouse and deliver it right at the door step of the customers. Second is Air Transportation. Air Transportation offers the advantage of speed and can be used for long-distance transport and reach the destination in very less time. It is also vital during emergencies such as floods. So that, foods, medicine and other requirements can be supplied to victims with the help of helicopters. Third is Sea Transportation. Sea Transportation is the least expensive and slowest mode of freight transport. It is generally used to transport heavy products over long distances when speed is not an issue and it can move products all over the world. Forth is Railway Transportation. Railway Transportation is typically used for long-distance shipping and less expensive than air transportation. It is also cheaper than road transportation. This is because of the goods transport in bulk quantities are carried from a desired destination to the other. The last mode of transportation is Pipeline. Pipeline which is used to transport of liquids and gases. They also can be used to deliver certain products such as petroleum, chemicals and slurry coal which in Malaysia, company that commonly use this transportation is PETRONAS Gas Berhad.

Variety of mode transportation are good for national economies growth and also make logistic activity running smoothly, but the are implication that lead increasing cost of transportation in Malaysia. The main factor that lead this problem is core resource to move every mode of transportation which is fuel. Fuel cannot be renewable and become decrease day to day. Current issue in Malaysia is the increasing price of fuel, so this give impact of increasing price per unit of goods and also the cost of transportation. This not only burden to supplier or company that use transportation to delivery goods, but this also burden customer to pay extra to cover the cost. 

Second implication is distance. If the transportation is delivery in fixed capacity, it will not effect much of the cost of transportation, but it will give impact if there are not fully utilize the space of the mode. Malaysia geographical also become the factor of distance such as inland area in Sabah and Sarawak make the shipper difficult to delivery goods there. So that, the cost of transportation will increase according to the place and destination. This also depends on customers willingness to pay different rates for the same capacity or service. 

Packaging also can be considered as an inevitable factors which needs due consideration before goods are transported from one place to another. The mode of transportation are very often influences the type of packaging required. Different mode will need different packaging for goods and the packaging will change the weight and volume which will increase the cost of transportation.