Appeal to renew Kosan contract for another 10 years

PANTAI Manis assemblyman Datuk Seri Panglima Haji Abdul Rahim Ismail has appealed to Chief Minister Tan Sri Musa Haji Aman to consider renewing Koperasi Serbaguna Sanya Berhad’s (Kosan) contract to supply shoes and school uniforms for another 10 years from 2019 to 2028.

The Umno representative said the State Government has been providing primary pupils in Sabah, including children in Sekolah Jenis Kebangsaan Cina (SJKC) and mission schools, with shoes and school uniforms every year since 1976, which benefitted the people, especially those living in rural areas without fixed income.

“The body that is responsible and making this happen is Kosan, a cooperative established under the Cooperative Act on June 3, 1976.”

Abdul Rahim said Kosan currently operates two factories, namely a clothes factory in Tuaran and a shoe factory in Pantai Manis, Papar, the only shoe factory left in Malaysia now as others have either shut down or relocated to other countries.

He said Kosan provided job opportunities to some 400 staff who worked in the two factories and its headquarters in Likas.

Abdul Rahim said Kosan used to provide shoes and school uniforms for primary one to primary three students only but the government had awarded the cooperative with a new contract worth RM20 million annually to supply two pairs of shoes and two sets of uniforms to all primary schools in Sabah for the year 2009 to 2018.

However, he said the RM20 million yearly contract signed previously had been slashed to approximately RM9 million.

“As a result, Kosan currently is only able to supply a pair of shoes and a set of school uniform to each primary pupil from 2016 to 2018.

“Kosan is forced to accept the reality despite having to bear losses for three consecutive years due to the increasing production costs, implementation of the minimum wage policy and pricing of the products which remain far below the market price,” he said when debating the State Budget 2018 in the State Legislative Assembly yesterday.

Abdul Rahim said the Kosan board members had paid a courtesy call on him on November 16 to convey their predicaments and seek his assistance.

He said the supply for 2018 were all ready and in the process of delivery.

“But Kosan cannot acquire raw materials for 2019 as the contract has not been renewed.

“The employees are unable to continue in the production and consequently, they have been suspended from work temporarily for two weeks without pay.”

As Pantai Manis assemblyman, Abdul Rahim appealed to the Chief Minister to consider renewing Kosan’s supply contract from 2019 to 2028 as requested by the cooperative.

Abdul Rahim said he was making the appeal on behalf of the 120 workers at the shoe factory in Pantai Manis and no less than 800 of their family members, as well as the 300 workers and staff at the factory in Tuaran and Kosan headquarters and some 2,000 family members of the employees.

On another note, he also urged the relevant authorities to crack down on drug abuse and distribution in the area.

Last year, he said 393 individuals were arrested for drug-related offences, including 58 drug dealers, 100 individuals for drug possession and 235 who tested positive for drugs.