Logistics, Transport Sector Remains Key Driver Of Malaysia’s Economic Growth - Transport Sec-gen

By Jailani Hasan

SHAH ALAM, Nov 8 (Bernama) -- The logistics and transport sector continues to play a crucial role as a key engine of Malaysia’s economic growth, contributing between four and six per cent to the national gross domestic product in recent years, said Ministry of Transport secretary-general Datuk Seri Jana Santhiran Muniayan.

He said the sector’s significance is further reflected in employment figures, with the transport and storage subsector providing jobs for about 670,000 people or roughly five per cent of the national workforce.

“This number continues to grow, driven by expanding e-commerce, warehousing, and regional supply-chain activities that sustain Malaysia’s role as a key trading hub in ASEAN,” he said at the Chartered Institute of Logistics and Transport (CILT) Malaysia Convocation 2025 at the Shah Alam Convention Centre here today. 

Jana Santhiran said that despite the country’s robust growth, the industry continues to face several challenges, particularly in human capital development.

“Among the key issues are skills mismatch, high turnover in operational roles, limited talent readiness, and the need to enhance capabilities in sustainability, energy efficiency, and carbon management,” he said.

He emphasised the need for a more strategic approach to workforce development, one that focuses on upskilling, professional accreditation, and continuous learning.

“In this regard, CILT has been an indispensable partner to both the government and industry in nurturing competent, ethical, and future-ready professionals. 

“Through its internationally recognised programmes, CILT ensures Malaysia’s logistics practitioners remain aligned with global standards,” he said.

Jana Santhiran added that the ministry values its collaboration with CILT, as it supports ongoing initiatives under the National Transport Policy and the Malaysia MADANI framework to develop a sustainable, innovative, and human-centric transport ecosystem.

“The government, through Budget 2026 and other policy frameworks, continues to prioritise the industry’s development by promoting green logistics, digitalisation and multimodal connectivity, as well as talent development across public and private sectors,” he said.

He noted that Malaysia’s logistics market, valued at about US$29 billion this year (US$1=RM4.17), is projected to expand to nearly US$38 billion by 2030, growing at an average annual rate of five per cent.

“This growth will be fuelled by regional integration, e-commerce expansion, digital transformation, and the global shift toward low-carbon operations. To fully capture these opportunities, we must continue investing in technology, talent, and trust,” he said.

Jana Santhiran also commended 18 officers from the ministry who were among those conferred as Chartered Members of CILT this year.

“Their perseverance in balancing studies, official duties, and family responsibilities is a testament to their professionalism, discipline, and dedication to public service,” he added. 

A total of 581 graduands were recognised at the event, comprising 355 graduates from public and private universities and 226 professionals from the logistics and transport industry.

-- BERNAMA