KUANTAN: The East Coast Rail Link (ECRL) project is expected to provide great benefits to entrepreneurs in expanding the market as well as strengthening economic growth, especially on the East Coast.
Deputy Minister of Economy, Datuk Mohd Shahar Abdullah said that the development of the ECRL is not just about providing a modern transportation network, but also forming an economic ecosystem that encompasses the supply chain of goods and services such as construction, operation and maintenance.
He said the development would also create new business opportunities through the logistics sector, warehouses and industrial areas that would develop along the ECRL line.
“When there is a transit-based development and cargo-based ECRL development as well as industrial parks, it will open up more commercial opportunities in states along the ECRL such as Pahang, Terengganu, Kelantan and Selangor,” he told Bernama recently.
Mohd Shahar, who is also the Member of Parliament for Paya Besar, said that industry players also have the opportunity to expand their markets to other states with lower logistics costs and shorter delivery times.
Apart from that, he sees that rail transport facilities will enable entrepreneurs to ship local products more efficiently, thus increasing the company’s operational capacity and productivity.
“With a wider market, it creates more opportunities. There is a difference between producing 10,000 units and producing 20,000 units. The more products we produce, the more competitive our prices are,” he said.
He said that ECRL is also expected to have a positive impact on the tourism sector, thus stimulating local economic activities.
According to him, the increase in the number of tourists will benefit small traders, food and handicraft entrepreneurs as well as producers of local products such as batik.
Meanwhile, he also reminded industry players to take advantage of the opportunities that will be created through the country’s infrastructure projects by adapting business models to the use of new technologies and not just relying on traditional business models.
Previously, the ECRL project in Pahang was reported to have reached 97.33 percent progress, while the entire mega project scheduled for completion this December recorded 93.66 percent as of last April.
— BERNAMA
