MYEG Collaborates with Federation of Malaysian Freight Forwarders for ZTrade Adoption by Members
- Partners to Also Work Together to Establish ZTrade as National Single Window
Kuala Lumpur, 17 September 2024 – MY E.G. Services Berhad (“MYEG”) announced today a collaboration with the Federation of Malaysian Freight Forwarders (“FMFF”) to promote the adoption of ZTrade among FMFF members and to establish the cross-border trade facilitation platform as the National Single Window (“NSW”).
The Memorandum of Understanding was signed between TS Wong, Group Managing Director of MYEG, and Dato’ Tony Chia, President of the FMFF and Chairman of Customs Affairs, and witnessed by YB Senator Tengku Datuk Seri Utama Zafrul Tengku Abdul Aziz, Minister of Investment, Trade and Industry.
Both MYEG and FMFF agreed to work together on several initiatives related to the positioning of ZTrade as the NSW for domestic trade as well as cross-border trade to and from Malaysia. These include promoting the platform to businesses and government ministries and agencies, providing training and support to users of the platform, and introducing and jointly marketing services presently on ZTrade to FMFF members.
ZTrade is a Web 3 platform that provides verification and exchange of digitised trade documents for the trading of goods between China and its global trading partners. By leveraging ZTrade’s digital solutions, customs clearance can be expedited as there will no longer be any need for manual document verification.
Furthermore, it is envisioned that the adoption of ZTrade as the NSW will see these same benefits of the platform extended to trades between Malaysia and all its other trading partners.
Having gone live commercially in June, ZTrade facilitates faster and more efficient two-way trade by enabling the digital verification of critical trade documents, which currently include Certificates of Origin (“COOs”) issued by the General Administration of Customs of the People’s Republic of China (“GACC”) as well as COOs issued by the Ministry of Investment, Trade and Industry of Malaysia and Phytosanitary Certificate and other product certificates issued by the Ministry of Agriculture and Food Security of Malaysia.
“ZTrade is the first such digital platform of its kind in the world to leverage the power of blockchain technology to enable green-lane access for trades with China and we are pleased that the exporting community in Malaysia will be the first to gain access to this technology. We look forward to seeing ZTrade grow overtime to become a leading ecosystem that will revolutionise international trade by digitising and streamlining processes across the board for all stakeholders,” said TS Wong, Group Managing Director of MY E.G. Services Berhad, which developed the Zetrix blockchain and its leading Web 3 applications, including ZTrade.
FMFF President Dato’ Tony Chia Han Teun said: “The adoption of the digital solutions offered through ZTrade will surely bring a host of benefits such as greater efficiency, simpler and more transparent trade processing, and not to mention significant cost-savings that can be derived from having shipments clear customs processes expeditiously. FMFF is pleased to support any initiative that enhances the efficiency and competitiveness of the Malaysian freight forwarding industry, which is why we are pleased to collaborate with Zetrix to ensure the successful adoption of ZTrade among all our members.”
By leveraging the superior and unique capabilities of Web 3 technology, ZTrade will unlock significant benefits for all stakeholders involved in international trade, which include, among others:
- Reduced costs: The ZTrade platform will help businesses to save money on trade document issuance, management, and exchange costs.
- Improved efficiency: The platform will streamline the trade process, making it faster and easier for businesses to conduct international trade
- Increased compliance: The platform will help businesses to comply with Malaysian trade regulations and standards.
- Enhanced transparency: The platform will provide businesses with greater visibility into the trade process.
- Improved communication: The platform will improve communication between businesses and government agencies involved in the trade process.
Besides expedited customs clearance processes, ZTrade also serves as a platform for companies providing trade facilitation services like shipping companies and trade financing institutions to leverage on the system and enable smart contracts that execute to automate trade processes and transactions. It is envisioned that more value-added complementary services related to international trade, including in areas such as trade finance, insurance, and trade settlement, will be deployed in the near-future.
This collaboration between MYEG and FMFF comes days after MYEG had entered into an exclusive partnership with East Logistics Link Co., Ltd., a wholly-owned agency of the General Administration of Customs of the People’s Republic of China, to co-operate in securing, developing and implementing a national single window to facilitate cross-border trade across the ASEAN region, including Malaysia.
More information on ZTrade is available at https://ztrade.ztradefi.com/
About MY E.G. Services Berhad (“MYEG”)
MYEG is Malaysia’s premier digital services company. Having commenced operations in 2000 as the flagship e-government services provider, MYEG continues to play a leading role in driving technological change in the region, bringing a diverse and complete range of innovations spanning the online delivery of major government services to a variety of commercial offerings in the areas of immigration, automotive and financial services, among others. Committed to staying firmly at the forefront of the global digital revolution, MYEG has embraced the potential of blockchain technology to enhance all aspects of life and is actively pioneering its adoption across the region through its Layer 1 platform Zetrix. Besides its home market, MYEG’s presence spans other key regional markets such as China, Philippines and Hong Kong.
About the Federation of Malaysian Freight Forwarders (FMFF)
The Federation of Malaysian Freight Forwarders (FMFF), established in September 1987, serves as the national association representing freight forwarders in the logistics industry.
Recognised by the Ministry of Transport since 2000, FMFF has a membership of approximately 1,500 nationwide.
FMFF is affiliated with the International Federation of Freight Forwarders Associations (FIATA), the ASEAN Freight Forwarders Association (AFFA), the Federation of Asia Pacific Air Cargo Associations (FAPAA), and the Malaysian National Shippers Council (MNSC).
The organisation actively engages in government forums, providing industry insights through dialogues with the Ministry of Investment, Trade and Industry (MITI), the Ministry of Finance (MOF), the Ministry of Transport (MOT), and other key councils, contributing to policy development and trade facilitation.
The signing of the MOU between TS Wong (黄天顺), Group Managing Director of MYEG (left), and Dato’ Tony Chia (拿督谢汉廷), President of the FMFF and Chairman of Customs Affairs (right), witnessed by YB Senator Tengku Datuk Seri Utama Zafrul Tengku Abdul Aziz, Minister of Investment, Trade and Industry (middle), to promote the adoption of ZTrade among FMFF members and to establish the cross-border trade facilitation platform as the National Single Window (“NSW”).
