IN recent news, we read that the Malaysia Agreement 1963 (MA63) is being implemented, as stated by the federal government.

What steps should the Sabah and Sarawak governments take to ensure that it is implemented in a fair and effective way?

First, they need to understand their own limitation and provision set out in MA63.

The lowest hanging fruits are the abolition of the cabotage policy implemented in 1983 and the rice monopoly, in 1970.

Cabotage policy

The cabotage policy was a brainchild of the then prime minister, Dr Mahathir Mohamad.

Under the Merchant Shipping Ordinance 1952, the Shipping Licensing Board justifies the re-routed shipping lanes into Port Klang.

Therefore, all ships should make the port call in Port Klang before continuing their journey to Kuching Port and Kota Kinabalu Port.

The shipowners continue to make money with additional charges such as shipping fees and storage at the expense of the people of Sabah and Sarawak.

Moreover, it increases the prices of goods for Sabah and Sarawak. This has been happening for the past 40 years.

However, the Intergovernmental Committee report states that although shipping is under the federal list, there should be no discrimination on the existing shipping lanes, but maintain as per 1963.

How do we regain our trade routes from 1963?

To fight these rich shipowners is an absolute folly.

So what we need is to convince the premier and chief minister that the provision in MA63 specifically mentioning the non-discrimination in the shipping lanes.

Therefore, the non-compliance with the 1952 Merchant Ordinance is legitimate and legal.

So we don’t adhere to the ordinance and liberate the trade routes as a state government.

Moreover, the state does not stop the shipowners to continue their trade, but rather opens it up.

The spillover effect on these will be incredible and revive port cities such as Sandakan, Lahad Datu and Tawau to return their glory days.

We can now import machinery direct into Sabah, corn from the Philippines and many various trade items. This will also create more job opportunities and businesses in the state.

As a bonus, Malaysia (Sabah) will have the full benefit as it will kick-start the Brunei Darussalam-Indonesia- Malaysia-the Philippines East Asean Growth Area.

Rice monopoly

Rice imports should not be monopolised by the federal government and in turn given to a private entity, Padiberas Nasional Bhd (Bernas).

Rice is a staple food for all of Asia. We ate it and other people made extra money out of it, at our expense. It has been going on since 1970.

If you look into the Federal Constitution, agriculture is listed under the concurrent list.

Both the state and federal governments are covered by this.

We have jurisdiction in the laws of Sabah to expand agriculture in the state.

But this was all taken away after the 1969 declaration of the Emergency Ordinance, and it is time to get it back.

Bernas should be improving rice growing in Sabah, but cannot do so on a bigger scale as the land and rice plantations are on native lands.

The natives stopped cultivating padi for a period of time, and everything was stuck.

The same rules apply in dealing with the cabotage policy. The Sabah government must declare that it is opening up rice importation into the state.

Bernas can continue its business in the state but the monopoly must end.

Therefore, the revival of the Sabah Padi Board must take place, which addresses licensing issues and proper budget allocation by the state.

Finally, the emancipation of the cabotage policy and rice monopoly will complement each other in one swift move with maximum effectiveness. – February 1, 2023.

* Remy Majangkim reads The Malaysian Insight.

* This is the opinion of the writer or publication and does not necessarily represent the views of The Malaysian Insight. Article may be edited for brevity and clarity.