How to apply International Integrated logistics service (IILS) from MIDA
How to apply International Integrated logistics service (IILS) from MIDA
What is an International Integrated logistics service (IILS)?
In Malaysia, the company must obtain an International Integrated Logistics Services (IILS) status from MIDA (Malaysian Investment Development Authorities) before acquiring the Freight Forwarding Agents/Customs Agent Licence from the Royal Malaysian Customs Department (RMCD).
The IILS status company is required to be involved in the following activities:
• Warehousing
• Transportation
• Freight Forwarding
• Distribution
• Other value-added services (Example: break bulking, palletising, labelling, etc)
And to fulfil the following criteria:
• Owned 20 units of commercial vehicles and 5,000m2 warehouse space;
• Employ majority of Malaysians;
• Use Malaysia as a hub for logistics supply chain services;
• Substantial usage of ICT infrastructure
Client’s Challenges
ABC Sdn Bhd is an existing logistic service provider. The company is planning to expand its business by providing freight forwarding services.
However, ABC Sdn Bhd has no ideas on how to get the Freight Forwarding Agent licence from the RMCD. The company is also not familiar with the procedure to obtain IILS status from MIDA.
How KTP help our client?
KTP conducted a meeting with the company’s directors. After understanding the business plan from the directors, we advised the company to apply for the IILS status with MIDA.
KTP advised and assisted the company throughout the application:
• To ensure the criteria are fulfilled by the company
• To advise the information or documents required for the application
• To assist the company in forecasting the revenue and costs
• To ensure the completeness of the information and documents required before submitting the form
• To liaise with the MIDA officer on the issues raised from the application.
Impacts
The company successfully obtained IILS status from MIDA. The company is eligible to proceed with the application for Freight Forwarding Agents/Customs Agent Licence from the RMCD.
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