Ferry operators in Malaysia’s Langkawi, voted Asia’s second most beautiful island after Vietnam’s Phu Quoc last year by American magazine Condé Nast Traveler, have cut daily services by 40% after industrial diesel prices more than doubled.
Trips to the resort island were reduced from five to three per day starting March 25, as operators grapple with soaring fuel costs, The Star newspaper reported.
The move follows a more than 100% increase in industrial diesel prices, which has driven up operating costs and placed significant pressure on ferry operators in Langkawi, New Straits Times reported.
Many transport operators are not permitted to purchase subsidized diesel at fuel stations and must instead rely on higher-priced industrial supplies.
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Langkawi Island in Malaysia. Photo by Pexels/Sergey Nikolaev |
General manager Baharin Baharom warned that without stabilization measures, such as regulated schedules, fare adjustments, or policy intervention, ferry operators could be forced to shut down in the near term.
“Reducing trips is not a choice but a necessity to ensure we can continue operating,” he said, responding to criticism that the cuts were profit-driven.
Fares have long been kept low to support tourism, but rising costs are now posing a serious threat to the industry’s sustainability.
The Malaysian government announced that the subsidized RON95 petrol price will remain at RM1.99 per liter to shield consumers from rising fuel costs, despite a sharp surge in global oil prices, for the period from March 26 to April 1, Malay Mail reported.
Located about 30 km off northwestern Malaysia, Langkawi is an archipelago of 99 islands and famous for being a duty-free destination as most necessities on the island are tax-free.
The island has a tropical monsoon climate with a short dry season from December to February and a long rainy season from March to November.
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