The logistics sector plays a pivotal role for ASEAN integration into regional and global value chains which accounts for about five per cent of gross domestic product (GDP) in the region, said Minister at the Prime Minister’s Office and Minister of Finance and Economy II Dato Seri Setia Dr Awang Haji Mohd Amin Liew bin Abdullah at the ASEAN Economic Ministers (AEM) meeting yesterday.
In view of the sector’s significant role in fostering economic development, the minister added that it is important to ensure a well-developed and efficient logistics network, due to its impact on the economic activities, trade cost competitiveness and supply chain connectivity.
“We were pleased to work with the Organisation for Economic Cooperation and Development (OECD) and ASEAN Secretariat in embarking this project three years ago, as part of the ASEAN Competition Action Plan (ACAP) 2016-2025, towards a more pro-competitive regulations and elimination of competition distortions, to enhance market efficiencies,” he said.
Dato Seri Setia Dr Awang Haji Mohd Amin Liew also pointed out that five sectors – transport by road, inland waterway and maritime, freight forwarding, warehousing, small package delivery services and value-added services are the key for the development of the enterprise sector, particularly the micro, small and medium enterprises (MSMEs) and new start-ups, which can generate economic growth and employment.
An assessment of the impact of state-owned enterprises on competition entitled OECD Competitive Neutrality Reviews: Small-Package Delivery Services in ASEAN was also carried out by the OECD, which has become more relevant, due to the rapid growth of e-commerce amid the COVID-19 crisis.
Date of Release: 10 September 2021
September 29, 2021
