Business

Timber sector sees RM60 mil losses daily under virus lockdown

Estimate doesn’t include contracts lost due to inability to supply customers, says plantation minister

Updated 4 years ago · Published on 03 Aug 2021 9:45PM

Timber sector sees RM60 mil losses daily under virus lockdown
A successful Covid-19 vaccination programme for the agri-commodity sector will see the timber industry quickly resuming operations, bringing in revenue for the country. – AFP pic, August 3, 2021

BANTING – The Plantation Industries and Commodities Ministry has estimated that the timber sector suffers RM60 million in losses a day in the two months it has not been allowed to operate following the implementation of movement controls to curb Covid-19.

Minister Datuk Mohd Khairuddin Aman Razali said the figure is a rough estimate and does not include contracts lost due to the inability to supply to customers.

“All this is disrupted due to (the National Recovery Plan). We now have to persevere to ensure the people do not face a worse Covid-19 outbreak,” he told reporters after visiting the Malaysian Timber Council’s (MTC) industrial vaccination centre under the immunisation programme for the agri-commodity sector in Olak Lempit.

On the programme, he said some 10,000 workers – most of them non-citizens – in the timber and furniture sectors in Selangor will get the jab.

“Demand is very high. At the initial stage, we expected only 8,000 requests, but these have hit 10,000.

“The programme will continue until September – for the first dose, it will be until mid-August, and the drive for the second dose will end on September 18.

“We hope that with the success of the inoculation drive, the timber sector can quickly operate again, bringing in revenue for the country.”

The plantation sector has about 80,000 migrant workers.

Khairuddin said agri-commodity companies seeking to participate in the vaccination programme can apply via the ministry if they have at least 1,000 employees or merge with other firms to get the numbers.

He said MTC has provided a subsidy of RM30 for each employee involved.

“We are giving the Sinovac vaccine from the government for free. The company only has to pay the management cost, which is around RM70.

“We hope this programme will be followed in other timber-based places such as Muar, Johor.” – Bernama, August 3, 2021

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