Port Klang poised to be LME distribution hub in Asia
Port Klang is poised to become Asia's leading distribution hub for the London Metal Exchange (LME) following its accreditation as the exchange's Good Delivery Point, according to a report in the StarBiz.
The tabloid said that the move will further enhance Malaysia's image as a major regional logistics centre for LME trade, quoting Port Klang Free Zone general manager Chia Kon Leong.
He said that Port Klang's listing was fast-tracked as it had always been LME-ready with its excellent port infrastructure, strong logistics support and sound operational systems.
Mr Chia said that the port was strategically located to capitalise on the burgeoning LME trade from producing regions such as Australia and Europe to the vast consuming markets of South-east Asia and China/Far East.
'We reckoned that Port Klang is targeting to receive 150,000 to 200,000 tonnes of metals within the next six months,' he said.
Mr Chia had earlier witnessed the presentation of the Letter of Accreditation from the exchange's CEO Martin Abbott to Malaysian Transport Minister Ong Tee Keat at the LME boardroom in London last Friday.
Established for over 130 years, the LME is the world's premier non-ferrous metals market, offering futures and options contracts for aluminium and aluminium alloy, copper, nickel, tin, zinc, lead and plastics.
With a turnover in excess of US$3 trillion per annum, the LME also contributes to the UK's invincible earnings to the tune of more than £250 million (S$596 million) in overseas earnings each year.
Port Klang's listing as a Good Delivery Point was approved by the LME on May 8, thereby allowing the port to receive LME-traded metals since June 10.
The accreditation is of immense significance to Malaysia as there are now only two other approved listed delivery locations in South-east Asia, namely Pasir Gudang in Johor and Singapore.
LME delivery points are mainly in major ports around the world, which must meet strict criteria before they are approved for the handling of metals and plastics traded through the exchange.
The tabloid said that the move will further enhance Malaysia's image as a major regional logistics centre for LME trade, quoting Port Klang Free Zone general manager Chia Kon Leong.
He said that Port Klang's listing was fast-tracked as it had always been LME-ready with its excellent port infrastructure, strong logistics support and sound operational systems.
Mr Chia said that the port was strategically located to capitalise on the burgeoning LME trade from producing regions such as Australia and Europe to the vast consuming markets of South-east Asia and China/Far East.
'We reckoned that Port Klang is targeting to receive 150,000 to 200,000 tonnes of metals within the next six months,' he said.
Mr Chia had earlier witnessed the presentation of the Letter of Accreditation from the exchange's CEO Martin Abbott to Malaysian Transport Minister Ong Tee Keat at the LME boardroom in London last Friday.
Established for over 130 years, the LME is the world's premier non-ferrous metals market, offering futures and options contracts for aluminium and aluminium alloy, copper, nickel, tin, zinc, lead and plastics.
With a turnover in excess of US$3 trillion per annum, the LME also contributes to the UK's invincible earnings to the tune of more than £250 million (S$596 million) in overseas earnings each year.
Port Klang's listing as a Good Delivery Point was approved by the LME on May 8, thereby allowing the port to receive LME-traded metals since June 10.
The accreditation is of immense significance to Malaysia as there are now only two other approved listed delivery locations in South-east Asia, namely Pasir Gudang in Johor and Singapore.
LME delivery points are mainly in major ports around the world, which must meet strict criteria before they are approved for the handling of metals and plastics traded through the exchange.