The crime of human trafficking is a phenomenon that practically affects every part of the world. The
crime is generally influenced by various political as well as socio-economic factors. Oftentimes,
victimization, causal factors, and policy response receive the most attention in human trafficking
studies, while other aspects like the market system or supply and demand in human trafficking are
given little focus. Hence, the objective of this paper is to analyze the market system and the intrinsic
elements that influence the supply and demand in human trafficking, with a reference to the case study
of Sabah, Malaysia. The qualitative data for this paper were obtained through personal observation and
interviews with public officials from the government enforcement agencies like the Royal Malaysian
Police, Immigration Department of Malaysia, as well as former traffickers, ex-victims, and
academicians. Besides, various reports from the government, non-governmental organizations, and
news media helped to collate and provide a comprehensive analysis of the subject matter. Using
perspectives from the economics of crime, this paper examined the macro and micro-level factors that
regulate the supply and demand in human trafficking. The findings suggest that the supply of trafficked
labour in Sabah is influenced by macro-level factors like globalization, unequal economic
development, demographic factors, and domestic conflict, while the demand for trafficked labour is
amplified by the factors such as consumers, exploiters, socio-culture, and the state. These elements are
essential in regulating the market system of supply and demand in human trafficking. An inclusive
understanding of supply and demand in human trafficking is important as it has implications for
knowledge development as well as policy responses to disrupt the market forces that sustain the crime.