By Neil Brian Joseph
Aim to boost manufacturing contribution to State GDP from 7.5% to 35%
KOTA KINABALU: The State Government is aiming to increase the manufacturing sector’s contribution to the State’s Gross Domestic Product (GDP) from 7.5 percent (back in 2017) to 35 percent in the year 2025.
Speaking at the opening ceremony of the 15th State Legislative Assembly sitting, Head of State Tun Juhar Mahiruddin said the State Government would continue to work to achieve that goal; and that it would enhance its technology mastery, in line with Industrial Revolution 4.0.
He said, the State Government would also increase the availability of raw materials for processing and added value; these materials would include raw palm oil, oil and gas, timber and agricultural products.
“In addition, the State Government will empower the capacity of small and medium enterprises (SMEs) with the target of producing 100 SMEs each,” said Tun Juhar in his officiating speech.
Tun Juhar revealed that numerous initiatives had been taken by the State Government to decrease the investment cost and to increase logistics efficiency so that Sabah would be able to attract more lucrative investments especially to industrial clusters and parks such as the Sipitang Oil and Gas Industrial Park (SOGIP); the Palm Oil Industrial Clusters (POIC) of Lahad Datu and Sandakan; and the Kota Kinabalu Industrial Park (KKIP).
Apart from that, Tun Juhar said, the State Government would also strengthen its efforts to enhance regional development in line with the country’s development agenda, which was outlined in the mid-term review of the Eleventh Malaysia Plan.
“From 2008 to December 2018, the Sabah Development Corridor (SDC) had recorded a total cumulative committed investment of RM166.84 billion of which RM81 billion of the total had already been realized,” he disclosed.
He further disclosed that the State Government would also undertake a feasibility study on the construction of a proposed major port in Kudat, to serve as the main entry and exit point of the State trade centre.
“This is to to accommodate the port’s utilization capacity as well as long-term demand following the expected trade surge in the region over the next 15 to 20 years,” added Tun Juhar.
On the State Government’s efforts to revamp the Sabah Electricity Sdn Bhd (SESB), Tun Juhar said that it would improve the System Average Interruption Duration Index (SAIDI) to 225 minutes in 2019.
He also said that the state’s water supply will be improved, especially in the supply of treated water, through the construction of new water treatment plants, water dams and new downstream water reservoirs as well as developing eco-friendly water supply systems.