MISC aims big with halal logistics hub

Malaysia Star : MISC Integrated Logistics Sdn Bhd (MILS) expects buoyant demand for MILS Logistics Hub (MLH), the country’s largest halal logistics facility in free commercial zone, which starts operations today.

MILS, a wholly-owned logistics arm of MISC Bhd, provides ocean freighting, distribution, freight forwarding and warehousing services with cold hub facility.

MLH has two joint-venture (JV) partners, ETB Seafrigo and SterilGamma via their respective JV companies €“ MILS Seafrigo Cold Chain Logistics Sdn Bhd and MILS-SterilGamma Sdn Bhd.

MILS managing director and chief executive officer Hilmi Mohd Nashir told StarBiz that MILS Seafrigo, which managed the country’s first halal-certified cold hub within a free commercial zone, received its first shipment today.

MILS signed a service agreement with its first customer, Prima Agri-Products Sdn Bhd, in May for the cold hub facility.

“We are ready to do business and expect 50% of the space for our cold hub to be taken up by end of next month,” he said.

MILS Seafrigo provides multiple temperature-controlled facility with storage temperature ranging from 18 degrees Celsius to -25 degrees Celsius.

It is equipped with mobile racking solution to accommodate 8,380 pallet positions of frozen products and 1,008 pallet positions of chilled products.

For the dry facility, Hilmi said, they were in final discussion with major fast-moving consumer goods companies to utilise the modern warehouse.

“We target 50% take up rate for the dry warehouse by year-end or early next year,” he said.
The first phase of MLH’s dry warehouse comprises 250,000 sq ft of built up space, 15,000 racking pallet positions and 130,000 sq ft of floor space.

MILS-SterilGamma will provide sterilisation and decontamination services for medical devices, wood-based products and plastic packaging.

The company has invested in two units of ethylene oxide (ETO) chambers to provide quality services of sterilisation and fumigation.

The ETO sterilisation facility is in compliance with market certification requirement from Australia, Japan, the US and Europe.

Its next step is to acquire electron beam sterilisation facility to support the halal hub initiative by decontaminating food and other perishable products to enhance the quality and prolonging the product shelf life.

“The process is expected to improve the level of acceptance of Malaysian food products by developed markets,” said Hilmi, adding that the logistics hub was also equipped with Customs facility.

On future expansion, he said, MLH had the land to double up the current capacity.

“In fact, we can expand more than that if we decide to do multi-storey warehouse. But, we are going to be prudent on expansion and follow the demand trend from our customers,” he said.