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Penang Sets Sights on Tuna Hub Status as Industry Gains Momentum

By Abigail Cheong3 min read

Pulau Pinang, 17 September2025 — Malaysia is increasingly reinforcing its ambition to become a regional centre for tuna landings, processing, and export, with Penang emerging as a focal point of this push. Recent developments in landings, infrastructure plans, and state government policy suggest the sector is entering a growth phase with both domestic and export implications.

In 2024, Penang saw its tuna landings more than double from approximately 177,000 kilograms in 2023, valued at RM3.19 million, to 431,000 kilograms, valued at RM7.76 million. State Executive Councillor Fahmi Zainol highlighted that this sharp rise underscores a latent industry with capacity for further scaling.

Recognising the opportunity, the Penang government has earmarked Bagan Ajam as a location for a new dedicated tuna port. The proposal covers the creation of a deep-sea fishing and tuna specifically landing port that meets international and EU standards. A budget in the range of RM150 million to RM300 million is under discussion. The idea is not only to boost landing volumes but to attract foreign vessels, improve logistics, build downstream processing capacity, and expand Malaysia’s footprint in the premium seafood export market.

Currently, Penang primarily uses the Butterworth deep-water wharf (Dermaga Dalam, Butterworth) for landings. While not originally designed for intensive tuna operations, this facility has taken on greater importance as tuna landings increase. There is widespread recognition among state officials that additional infrastructure — dedicated jetties or landing ports configured for high-volume tuna catch, cold chain systems, and processing plants — will be needed to transition from landing hub to processing hub.

The state forecasts that a new dedicated tuna port in Bagan Ajam could raise landings by 30 to 50 percent over five years, given improved facilities, regulatory support, and investor interest. Fahmi Zainol noted that sourcing suitable land and ensuring adequate sea depth are among the technical challenges to be addressed.

Economic and social implications are strong. Expansion in the tuna industry would generate employment both in the fisheries sector and in ancillary services — cold storage, transport, logistics, packaging — and potentially increase export revenues, with premium markets such as Japan and Taiwan in view. Moreover, more established processing would add value locally rather than simply being a raw material landing point.

Politically, the tuna push fits Malaysia’s broader strategies under its 13th Malaysia Plan, which emphasises high-value agriculture/food chain activities, blue economy development, and enhancing food security. Penang’s leadership sees the objective not just as commercial potential, but also as a catalyst for sustainable development, coastal community livelihoods, and maritime capability.

That said, there are hurdles. Infrastructure cost, environmental and regulatory approvals, land access and sea-depth issues, ensuring cold chain integrity, meeting international quality standards (especially for premium seafood markets), and engaging investment players are all necessary pieces. Ensuring consistency in supply, avoiding post-harvest losses, and securing damage control in logistics are also essential.

If successful, Penang’s tuna initiative could shift Malaysia’s role in the regional seafood supply chain — from being a landing point to being a processing and export hub. It could also attract foreign fishers, bolster export volume and value, and enhance food security, while creating more skilled jobs locally.

Author

  • I am Abigail, a journalist at The Ledger Asia, covering business and finance with a focus on the Malaysian Stock Market and key economic developments across Asia. Known for clear, accessible reporting, I deliver insights that help readers understand market trends, corporate movements, and regional news shaping the Asian economy.