Malaysian manufacturers warned today that rising logistics charges could derail efforts to woo much needed foreign direct investment into the country.

"As local manufacturers struggle to improve their competitiveness and assist the country to quickly recover from the economic crisis by increasing their exports, their efforts are hindered or even negated by the rising costs of logistics in Malaysia," the Federation of Malaysian Manufacturers said in a statement.

"If this issue is not addressed quickly, it could deter foreign direct investments by way of adding to the cost of doing business in Malaysia," it warned.