How can Malaysia prevent price dumping in its courier services?

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Preventing Price Dumping in Malaysia's Courier Services

The Association of Malaysian Express Carriers (AMEC) is advocating for reforms and forward-looking policies to combat price dumping and its associated issues within Malaysia's courier services industry. These concerns extend beyond the scope of the National Postal and Courier Industry Laboratory (NPCIL) and touch upon the sustainability of the operating environment, national security, and the protection of domestic carriers.
Establishing a Base Rate for Parcel Deliveries

AMEC has highlighted the implementation of a base rate for parcel deliveries as a key measure to address price dumping. This proposed policy aims to create a floor price, preventing excessive undercutting of services that leads to an unsustainable operating environment for local express carriers. While the specifics of its implementation and expected impact on price dumping are not detailed, the intention is to ensure fair competition and viable business operations.
Safeguarding Domestic Carriers and National Security

The prevalence of price dumping is seen as a significant threat to domestic carriers and national security. AMEC argues that low prices create a low barrier to entry for foreign players, potentially leading to increased domestic data exposure and information seepage to foreign countries. This concern is amplified by the fact that the postal and courier industry, which handles shipments containing important information, falls under the purview of the Malaysian Communications and Multimedia Commission (MCMC).
Enhancing Industry Sustainability and E-commerce Growth

Beyond addressing price dumping directly, AMEC is urging for broader reforms to support the express carrier industry. The association acknowledges the efforts of the Ministry of Communications and Multimedia (KKMM) and MCMC, including the establishment of an independent Postal Forum to manage complaints and improve service quality. However, they stress the urgency for further policies that foster growth and ensure the long-term viability of Malaysian companies as national and regional champions in the expanding e-commerce landscape.

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How can Malaysia prevent price dumping in its courier services?

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