KOTA KINABALU: Kota Kinabalu Industrial Park (KKIP) in Sepanggar is expected to boost a production zone in Sabah to surpass twenty per cent in terms of Gross Domestic Product (GDP) contribution by 2020. The stream rate is nine per cent.
Chief Minister Datuk Seri Musa Aman, who was formerly KKIP Chairman, pronounced a State's expectations upon KKIP have been tall as it is an entrance indicate plan (EPP) underneath a Economic Transformation Programme (ETP).
Pleased which a Performance Management as well as Delivery Unit (Pemandu) is anchoring KKIP as a concentration for a expansion of production in Sabah underneath a ETP's production as well as logistics sector, he pronounced Pemandu is aware of a State's heading industrial park's strength as well as weaknesses.
"One of KKIP's assets is a outrageous areas for industrial expansion which has placed it in a enlightened position to attract as well as capture heavy industries such as automotive producers which can serve as a spring house for start-ups as well as expansion of small as well as middle enterprises (SMEs)," he said.
The International Trade as well as Industry Ministry has since released a licence to TC Manufacturing Company (Sabah) Sdn Bhd (TCMC Sabah), a subsidiary of Tan Chong Motor Holdings Berhad, to make as well as assemble luxury newcomer as well as commercial vehicles during a plant to be sited inside of KKIP.
"This will turn a initial vehicle assembly plant in a Brunei, Indonesia, M! alaysia as well as Philippines-East Asean Growth Area (BIMP-EAGA) region," he pronounced when officiating during a KKIP Showcase Seminar & Exhibition 2013 - Moving Forward with a SMEs - during a Pacific Sutera here Tuesday.
His debate was review by Deputy Chief Minister cum Resource Development as well as Information Technology Minister Datuk Dr Yee Moh Chai.
The State Government is now in a process of seeking in to alternative aspects of this ultimate expansion which is expected to bring about a far-reaching operation of socio-economic benefits.
"The investiture of an vehicle industrial cluster during Industrial Zone 9 of KKIP will embody not only a anchor tenant for a assembly plant, but a host of vendors to support it," pronounced Musa.
The assembly plant will have a multiplying outcome as there will be a need for seats, air-conditioning, engines as well as alternative items which vehicles require, he said, adding it is additionally envisaged which a plant for lorry as well as bus body office building work will be set up as well as alternative associated automobile attention activities during a cluster would embody production of motorcycles as well as newcomer coaches.
"Eventually, this cluster could turn an vehicle heart for a BIMP-EAGA region. Activities in a new automobile attention cluster will additionally outcome in origination of 5.263 jobs," he said.
Despite a strengths as well as certain outlook, Musa pronounced KKIP contingency take batch of areas where improvements should be done as well as severely address a little of a inherent weaknesses.
"Greater efforts will have to be done to accelerate a take up rate to a much aloft turn so which this premier industrial park can be developed as planned. KKIP has to push for a aloft turn of set-ups in a industrial zone as w! ell as n ot concede expansion to remain stagnant," he said, adding a single of a issues can be looked in to is a rate of land price offering to investors.
Musa pronounced there have been many as well as points for KKIP in attracting investments as well as a single of them is a vital location being in a heart of a BIMP-EAGA region.
"An critical care when planning a production enterprise during KKIP is a actuality which a products would have a outrageous consumer marketplace of over 50 million inside of a nearby BIMP-EAGA territories," he said, whilst job upon entrepreneurs to look during a marketplace potential over Sabah as well as set targets which embody a wider horizon, even over a BIMP-EAGA region.
Another advantage is which KKIP is only 10 kilometres away from a Integrated Container Port during Sepanggar Bay, he said, adding such vicinity to a port benefits industries, comforts trade as well as import as well as encourages shipment of products.
"Port comforts have been essential for a sustainability of production industries, a as well as indicate for investors. There is additionally solid physical phenomenon supply from KKIP Power Sdn Bhd as well as there have been plans to have gas supply sourced from Sabah Oil as well as Gas Terminal in Kimanis to meet gas demands in KKIP," he said.
The State Government remains mindful of key challenges in a subsequent phase of KKIP's progress, he said, adding it is seeking in to a little of a difficulties expressed by investors, including entrance to resources which they need for a production process.
"We have been additionally addressing logistics constraints associated to shipping costs as well as time, as well as alleviation in infrastructure development.
These have been among counts which you have been actively posterior with a applicable au! thoritie s as well as a Federal Government in seeking lasting solutions to ensure which KKIP moves brazen but further hindrance," he said.
"With a bigger goal in mind, as well as with over 23,000 new jobs to be combined by 2020 in KKIP, you contingency move brazen by being proactive as well as by essay for excellence, we am assured which KKIP can a single day broadcast to be a driving force for industrialisation in Sabah," he said.
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