THE Lahad Datu Palm Oil Industrial Cluster (POIC) still faces hurdles attracting investments, said Sabah Industrial Development and Entrepreneurship Minister Datuk Phoong Jin Zhe.
Phoong pointed to high startup costs, security concerns in Sabah’s east coast region, and the need to improve existing infrastructure as factors deterring investors from the industrial estate and its port facility.
“A crucial step is for the Federal Government to engage in discussions and reconsider the travel ban imposed in the east coast region of Sabah by some countries. Putrajaya can engage with the ambassadors of Japan and the western countries.
“Incentives and the lifting of travel bans are among the pertinent issues I hope to draw attention to the Federal Government so the Lahad Datu POIC would become an attractive and favourable investment destination,” said Phoong in a statement in Kota Kinabalu, today.
Phoong made these remarks following his visit to the Lahad Datu POIC today, some 404 kilometres southeast of Kota Kinabalu.
Expressing his commitment to work with the Federal Government, particularly the Commodities and Plantation Ministry, the Luyang assemblyman said Lahad Datu POIC had so far attracted RM4 billion in investments since its inception in 2005.
He also noted that the majority of the 4,217 jobs created have been filled by locals.
Lahad Datu POIC obtained the Free Trade Zone status from the Federal Finance Ministry on March 16, 2023, and it also secured the Free Zone status on March 11 this year.
The Lahad Datu POIC facilities comprise a container terminal, dry and liquid bulk terminals, as well as an industrial estate.
Sabah was also earmarked for biomass development in the state, with plans to develop several biomass collection centres, according to Phoong. – April 26, 2024.
