KOTA KINABALU – The Lahad Datu Palm Oil Industrial Cluster (POIC) port is one of the best ports in the region and is set to bring development to the local area, said Sabah Chief Minister Datuk Seri Hajiji Noor.
He said the port has the potential to become among the main transhipment hubs in the region.
“Its strategic location – right at the centre of East Asia – has a huge advantage in handling bulk cargo that can be processed at the port before being exported to China, Japan, Korea, Taiwan and Hong Kong.
“Lahad Datu POIC port has one of the best comprehensive facilities in the region. Its natural depth (for docking) is up to 20m, on par with the world’s best ports such as Rotterdam Port.
“Surely, this new infrastructure will generate socio-economic development for the locals, including job opportunities.
“This port will also boost Sabah’s industrial sector, which is one of three main sectors in the Sabah Maju Jaya development plan,” he said.
He said this when launching the port and the POIC bulk tank operation facility in Lahad Datu, today.
Hajiji said the port industry is one of the main catalysts and backbones of Sabah’s development, particularly those involving shipping and cargo.

Lahad Datu POIC was established in 2005 and was aimed to develop the downstream palm oil industry, as well as adding value to 1.4 million ha of palm oil estates in Sabah – and at the same time create jobs and business opportunities.
POIC also develops additional industrial clusters other than palm-oil-based industry in response to investors’ demands, such as ports and logistics; biomass; bio-refinery factories; oil and gas; and small and medium enterprises.
Hence, the Lahad Datu port was constructed and completed in 2018 as a global shipping hub, taking advantage of being located along a main shipping route – the Lombok-Makassar Strait.
“I am confident and believe that with the strength and opportunities available, Lahad Datu POIC port can develop and become more competitive in the future. Generally, I am sure this port will not have any significant challenges interrupting its growth.
“Its strategic location – in the centre of main commercial (shipping lanes) is the main factor that would attract more shipping companies to use this port,” he said.
He said POIC Sabah Sdn Bhd through its subsidiary POIC Logistics Sdn Bhd is fully responsible for handling the operation of the port, as well as building facilities that are more comprehensive, advanced and complete in the Lombok-Makassar Strait region.
Currently, the port has a container terminal, dry bulk terminal, liquid bulk terminal and barge docking harbour.
“Hence, we hope that local industry players will make use of the facilities in this port.
“This port will be the catalyst to the state’s economic development, especially in Sabah’s east coast, and will become the state’s main entry and port for trading,” he added.
To increase the capability of POIC in growing the industrial activities on Sabah’s east coast, Hajiji said that the state government has agreed to several proposals and new initiatives.
These include creating a free-zone industrial park in Lahad Datu, establishing a Satellite Biomass Collection Centre, building Lahad Datu International Airport, as well as setting up a maritime academy and health and treatment centre in Lahad Datu POIC’s commercial land.
“All these initiatives that will be done in POIC will give huge benefits to the public, and at the same time boost the economy on Sabah’s east coast,” he added. –The Vibes, September 5, 2022