Saturday, November 8, 2025

When Fresh Turns Rotten: Brunei’s Long Road to Becoming a Regional Trade Hub

“Brunei’s dream to be a service hub for trade remains alive — but can it flourish if efficiency at our main gateway still moves at yesterday’s pace?”


KopiTalk with MHO

Brunei's dream of becoming a trade and logistics hub isn't a new idea—it's been around for over 20 years, starting with the Service Hub for Trade and Tourism (SHuTT) initiative. 

The goal was to turn Brunei into the go-to place for the BIMP-EAGA region, making it more than just an oil and gas producer; it aimed to be a key player in the global movement of goods, services, and people.


Back then, Dato Paduka Malai Haji Ali bin Malai Haji Othman, who was the Permanent Secretary at the Ministry of Communication, called for a shift in mindset. 

He said, “We must promote the concept of import and export through Brunei and communicate through Brunei. We have imagined ourselves as the infrastructural link between the people of Brunei and the rest of the world.” 

This really summed up what SHuTT was all about: a forward-thinking vision of connectivity, commerce, and competitiveness.


Fast forward over 20 years, and that same vision is facing a familiar problem: inefficiency at the nation’s own gateway. 

Recently, a public complaint made the rounds online, saying that a shipment of perishable goods was stuck at Muara Port for over two weeks, even though all import procedures were followed. 

The frustrated importer detailed heavy losses from spoiled products and extra storage costs due to the delays. 

While the source of the letter hasn’t been confirmed, it struck a chord with business owners and the public who have long grumbled about slow and inconsistent port clearances.


One former factory worker shared on social media that customs delays forced his company to work around the clock to meet export deadlines, resulting in losses and layoffs. 

Another commenter said the Royal Customs and Excise Department was “slow and unreasonable” and would only act when “pushed from higher up.” 

These anecdotes paint a picture of ongoing inefficiency that hasn’t improved, even with new tech, reforms, and automation.


The timing of this issue is ironic. 

Muara Port, Brunei's main maritime gateway, is currently undergoing a big transformation thanks to a partnership between Darussalam Assets Sdn Bhd and Beibu Gulf Holding (Hong Kong), known as the Muara Port Company (MPC). 

Established in 2017 under the Belt and Road Initiative, this partnership aims to turn Brunei into a modern logistics and transhipment hub. 

The upgrades include building a new 250-meter berth, deepening the port waters, and installing post-Panamax cranes and automated systems. 

Once completed in 2027, the upgraded terminal will be able to accommodate larger vessels and handle double its current capacity.


MPC Chief Operating Officer Fazilah Yassin called the project “a milestone for Brunei’s logistics future,” promising job creation, better efficiency, and stronger ties to regional markets. 

But incidents like the alleged clearance delay could undermine these goals. 

Modern equipment may boost capacity, but true efficiency is about how quickly and transparently goods move through the system.

Brunei's efforts to make Muara Port a hub have followed a familiar pattern: big dreams and investments, but then slow administrative processes. 

Past initiatives from the SHuTT days stumbled not due to lack of ambition, but because of bureaucracy, limited private sector involvement, and fragmented decision-making. 

Foreign partners came and went, and while the infrastructure improved, the systems to make things run smoothly didn’t keep up.

If Brunei really wants to be a service hub for trade in the region, the Muara Port issue should be seen as part of a bigger problem, not just a one-off incident. 

The country’s economic vision under Wawasan 2035 aims for competitiveness, productivity, and innovation, but it can’t achieve these goals if efficiency is still bogged down by outdated processes or fear-based compliance.

There are practical reforms that can be done. 

A dedicated fast-track lane for perishable goods, real-time clearance tracking, and publicising average release times could help rebuild trust among traders. 

Most importantly, the civil service needs to shift from just following procedures to focusing on service - rewarding speed, accountability, and public trust.

Brunei has put a lot of money into its ports, airports, and digital infrastructure. Now, it needs to invest in building the confidence that drives commerce. 

For all the cranes, berths, and policies, the real measure of a service hub is how well it serves its people and partners - with reliability, responsiveness, and sincerity.

The delay at Muara Port might seem small to some, but it represents a bigger truth. 

A nation’s trade reputation isn’t built on policy papers but on the daily service it provides. 

If Brunei wants to realise its long-held dream of being a regional trade hub, every container, inspection, and decision needs to move with purpose - because in trade, just like in trust, delays can lead to decay. (MHO/11/2025)
 
 

No comments: