Datuk Seri Musa Haji Aman’s Hari Raya Aidilfitri 2014 message

Posted on : 30-07-2014 | By : sabah today | In : News

30th July, 2014
Assalamualaikumwarahmatullahiwabarakatuh,
1. All praises to Allah SubhanahuWataala because with His grace, today we welcome Hari Raya Aidilfitri. On behalf of my wife Faridah Haji Tussin and our family, I extend Hari Raya Aidilfitri greetings to Muslims in Sabah, and in the rest of Malaysia. In this blessed and peaceful nation, we are able to welcome and celebrate Hari Raya Aidilfitri without worrying about our safety, and that of our relatives and friends. In our prayers, let us remember those who are unable to freely celebrate the arrival of 1 Syawal due to war or oppression, and who observed the fast with great challenges. Let us also say a prayer for those who are working tirelessly in areas of strife to bring food packages, medical relief and other needs.
2. Muslims worldwide have spent Ramadan fasting, fulfilling one of the five pillars of Islam. During the holy month, we were given the opportunity to increase our good deeds and to enhance our piety, with many choosing to say their prayers in congregation. Ramadan is a time to reflect on the virtues of patience and abstinence, and to think of the blessings that have been given to us. For Muslims, the dawn of Hari Raya Aidilfitri is a special time to seek forgiveness from family and to strengthen ties not only among Muslims, but also with Malaysians from all walks of life through the practice of exchanging greetings at open houses.
3. In Sabah, we are determined to strive for excellence. The fact that we are a melting pot of diverse cultures, backgrounds and faiths has led us to emerge as a state that is able to effectively contribute to Malaysia’s growth. We must strengthen unity, work with one another, and respect each other even when we differ in opinion over certain matters. Let us find common platforms to seek solutions whenever there is a need to discuss difficult issues.
4. Sabah as a state, and Malaysia as a nation, have each gone through decades of change. Those who came and led before us made many sacrifices, and it was their wish to see Malaysia stay strong and stay united. It is troubling that there are certain quarters that are bent on destroying what has been built over the years. In a multi-racial society, we must respect and support one another, and we cannot allow any group or individual to undermine the deep bonds that we have. Unity and harmony must not be sacrificed to meet the agendas of a few.
5. Sabah is seeing continued growth through the effective implementation of programmes that also benefit the people by increasing income levels, including in rural areas. The Economic Transformation Programme (ETP) and the Sabah Development Corridor (SDC) remain on track, with the focus on some key areas such as oil and gas, and the downstream processing of palm oil starting to show results. The focus on agriculture, tourism and manufacturing as stated in our Halatuju or State Development Agenda are serving as the backbone of Federal Government-led programmes, and are proof that we made the right decision when these target sectors were identified over a decade ago. In tandem with economic growth, we are focusing efforts on improving infrastructure, reducing poverty, and in ensuring that every qualified school leaver has access to higher education through the introduction of training centres and relevant places of learning statewide. Skilled and knowledgeable workers will assist Sabah in becoming a state that is competitive within Malaysia and the Southeast Asian region.
6. The issue of security is one that has been widely debated, more so in the past year. The government understands concerns and frustrations raised by the people, as security is something that cannot be compromised in order for the state to function effectively. Let me assure you that we are working hard to find solutions and to come up with strategies to improve security in Sabah, especially on the east coast. I wish to seek the cooperation of Malaysians in Sabah to not harbour those who have bad intentions, and to immediately inform security forces if there are individuals or groups that behave in a suspicious manner. Security is a serious matter, and it should not be used by certain groups to gain political mileage either. At a time like this, we must band together and offer solutions, instead of hurling criticisms. I also wish to thank the Armed Forces, Police and other security related agencies including the Eastern Sabah Security Command (ESSCOM) for your challenging work in keeping Sabah as safe as possible. I am aware that many of you are working during this festive season, and I hope you will soon have a chance to meet your families, and enjoy a belated celebration.
7. While we rejoice during this celebration, we must also remember the less fortunate. I am pleased that various groups and individuals continue to bring cheer to those who are disadvantaged. Through Berbuka Puasa events, and presentation of Duit Raya or gifts in the form of hampers and clothing, you have kept the spirit of giving, alive.
Once again, on behalf of my wife and family, I wish the people in Sabah “Selamat Hari Raya Aidilfitri. Maaf Zahir dan Batin.”
Thank you.
(Source: New Sabah Times)
30th July, 2014
Assalamualaikumwarahmatullahiwabarakatuh,
1. All praises to Allah SubhanahuWataala because with His grace, today we welcome Hari Raya Aidilfitri. On behalf of my wife Faridah Haji Tussin and our family, I extend Hari Raya Aidilfitri greetings to Muslims in Sabah, and in the rest of Malaysia. In this blessed and peaceful nation, we are able to welcome and celebrate Hari Raya Aidilfitri without worrying about our safety, and that of our relatives and friends. In our prayers, let us remember those who are unable to freely celebrate the arrival of 1 Syawal due to war or oppression, and who observed the fast with great challenges. Let us also say a prayer for those who are working tirelessly in areas of strife to bring food packages, medical relief and other needs.

Govt striving to improve security, says Musa

Posted on : 28-07-2014 | By : sabah today | In : News

July 28, 2014
KOTA KINABALU: Security, especially that affecting the state, is a serious matter, Chief Minister Datuk Seri Musa Aman said.
“It should, however, not be used by certain groups to gain political mileage either. At a time like this, we must band together and offer solutions, instead of hurling criticisms,” Musa said in his message to Malaysians in Sabah in conjunction with the Hari Raya Aidilfitri celebration which starts today.
Musa pointed out that the issue of security is one that has been widely debated, more so in the past years, and the government understands the concerns and frustrations raised by the people, as security is something that cannot be compromised in order for the state to function effectively.
“Let me assure you that we are working hard to find solutions and to come up with strategies to improve security in Sabah, especially in the east coast. I wish to seek the cooperation of Malaysians in Sabah to not harbor those who have bad intentions and to immediately inform security forces if there are individuals or groups that behave in a suspicious manner.
“I also wish to thank the Armed Forces, Police and other security agencies, including the Eastern Sabah Security Command (ESSCom) for your challenging work in keeping Sabah as safe as possible. I am aware that many of you are working during this festive season, and I hope you will soon have a chance to meet your families, and enjoy a belated celebration,” he said.
Musa also pointed out that in Sabah, the people are determined to strive for excellence and the fact that the state is a melting pot of diverse cultures, backgrounds and faiths has led it to emerge as a state that is able to effectively contribute to Malaysia’s growth.
“We must strengthen unity, work with another, and respect each other even when we differ in opinion over certain matters. Let us find common platforms to seek solutions whenever there is a need to discuss difficult issues,” he said.
Sabah, as a state, and Malaysia, as a nation, have each gone through decades of change, Musa said, adding that those who came and led before us have made many sacrifices, and it was their wish to see Malaysia stay strong and stay united.
He lamented that it is troubling that there are certain quarters that are bent on destroying what has been built over the years.
“In a multi-racial society, we must respect and support one another, and we cannot allow any group or individual to undermine those deep bonds that we have. Unity and harmony must not be sacrificed to meet the agendas of a few,” he said.
According to the Chief Minister, Sabah is seeing continued growth through the effective implementation of programmes that also benefit the people by increasing income levels, including in the rural areas. The Economic Transformation Programme (ETP) and the Sabah Development Corridor (SDC) remain on track, with the focus on some key areas such as oil and gas, and the downstream processing of palm oil is starting to show results.
The focus on agriculture, tourism and manufacturing as stated in our Halatuju or State Development Agenda are serving as the backbone of Federal Government-led programmes, and are proof that the state government has made the right decision when these target sectors were identified over a decade ago.
In tandem with economic growth, the state government, he said, is focusing efforts on improving infrastructure, reducing poverty, and in ensuring that every qualified school leaver has access to higher education through the introduction of training centres and relevant places of learning statewide.
“Skilled and knowledgeable workers will assist Sabah in becoming a state that is competitive within Malaysia and the Southeast Asian region,” he said.
“While we rejoice during this celebration, we must also remember the less fortunate. I am pleased that various groups and individuals continue to bring cheer to those who are disadvantaged. Through Berbuka Puasa events, and presentation of Duit Raya or gifts in the form of hampers and clothing, you have kept the spirit of giving alive.
“Once again, on behalf of my wife and family, I wish the people in Sabah ‘Selamat Hari Raya Aidilfitri Maaf Zahir dan Batin’,” said Musa.
(Source:The Borneo Post)
July 28, 2014
KOTA KINABALU: Security, especially that affecting the state, is a serious matter, Chief Minister Datuk Seri Musa Aman said.

18 years of laying the foundation for KKIP

Posted on : 27-07-2014 | By : sabah today | In : News

July 27, 2014
CHAIRMAN of KKIP Sdn Bhd, Datuk Raymond Tan Shu Kiah, credits former Chief Executive Officer (CEO) Datuk Chong Hon Len for having done a good job in laying the foundation for the industrial park to move forward despite various constraints. “His long services on record deserves respect and recognitions.” He said.
All in all, Chong had served 18 years, first as General Manager when KKIP Sdn Bhd was incorporated as a fully-owned subsidiary of the Sabah Economic Development Corporation (Sedco) in 1994, and later as CEO until his retirement in November 2011. Three phases of Ready-Built Factories (RBFs) in the industrial zone, the Salut Commercial Centre and early development of the residential component were initiated during his tenure. Beginning 2009, the focus was on housing development to meet the need for accommodation facilities for the company’s growing workforce of executives, managers, administrative staff and workers.
By 2011, the idea of developing a biotech park was conceived – hence the proposed 60-acre Biotech Park at KKIP to promote the biotechnology industry. “The biotech park is considered as one of our Entry Point Project (EPPs) to drive economic activity under the Government’s Economic Transformation Programme(ETP) to transform Malaysia into a high-income nation by 2020,” he said. Chong recalled that Chief Minister Datuk Seri Musa Aman, who was the first Chairman of KKIP, held the fort in the infant years. “He had a vision for the Park’s future growth and development and guided us along the way. During his stewardship, he often emphasised the need to cut costing,” he said.
(Source: Daily Express)
July 27, 2014
CHAIRMAN of KKIP Sdn Bhd, Datuk Raymond Tan Shu Kiah, credits former Chief Executive Officer (CEO) Datuk Chong Hon Len for having done a good job in laying the foundation for the industrial park to move forward despite various constraints. “His long services on record deserves respect and recognitions.” He said.

Pemandu finds KKIP right spot for automotive, logistics

Posted on : 27-07-2014 | By : sabah today | In : News

July 27, 2014
TAN revealed that the Performance Management and Delivery Unit (Pemandu) under the Prime Minister’s Department, has already identified KKIP as the right location for the proposed automotive and logistics hub. Pemandu is one of the world’s top 20 leading government innovation teams.
The Minister said he is happy that KKIP Sdn Bhd (KKIPSB) is applying for the industrial park’s designation by the Federal Government as the 7th Automotive Hub in Malaysia.
“CEO Dr Tarsiah has been talking enthusiastically about her application and pushing for the designation, which I fully support. When the Minister of International Trade & Industry (Miti), Datuk Seri Mustapa Mohamed was here, I specifically requested in our forum that the proposal be given due consideration.
“The idea is to create that much-needed identity for KKIP by having anchor industries. KKIP is vast-only having 260 ready-built factories (RBFs) of a mix of SMEs and SMIs is no big deal,” he opined.
(Source: Daily express)
July 27, 2014
TAN revealed that the Performance Management and Delivery Unit (Pemandu) under the Prime Minister’s Department, has already identified KKIP as the right location for the proposed automotive and logistics hub. Pemandu is one of the world’s top 20 leading government innovation teams.

Plan for KKIP to have own IPP

Posted on : 27-07-2014 | By : sabah today | In : News

July 27, 2014
PROVIDING  the KKIP Industrial Zone with a much-needed Independent Power Producer (IPP) is on the cards, according to the Chairman of KKIP Sdn Bhd, Datuk Raymond Tan Shu Kiah.
“I have made an application to the Ministry of Energy, Green Technology and Water for KKIP to have an IPP. In fact, I have been applying for a licence for three years already.
“If we own an IPP, we don’t need to buy a bulk supply from SESB. I am informed that our application is now with the Energy Commission. It has go through certain procedures,” he said.
At this juncture, Tan envisaged a KKIP power plant with a generating capacity of 60 kilowatts minimum or 80 kilowatts.
“One suggestion is to operate the plant with gas flowing from Gayang, albeit not much, as part of the supply is taken up by Sabah Energy Coporation. Basically, we are trying to negotiate with Petronas on the Gas supply,” he said.
(Source: Daily express)
July 27, 2014
PROVIDING  the KKIP Industrial Zone with a much-needed Independent Power Producer (IPP) is on the cards, according to the Chairman of KKIP Sdn Bhd, Datuk Raymond Tan Shu Kiah.

selamat hari raya!

Posted on : 27-07-2014 | By : sabah today | In : Greeting

Sabah has highest potential for biotech: Tan

Posted on : 27-07-2014 | By : sabah today | In : News

July 27, 2014
CHAIRMAN for KKIP Sdn Bhd, Datuk Raymond Tan Shu Kiah drew attention to the Government’s Bioeconomy Transformation Programme (BTP) which was launched by Prime Minister Datuk Seri Najib Tun Razak in October 2012.
Actually, the BTP is an extension of the Government’s Economic Transformation Programe (ETP), he said.
“ETP is very general. It is the entirety of what the PM is talking about. Creating downstreaming processing activities in the manufacturing sector…that’s what ETP is about.
“In specific terms, we are making use of the biotechnology industry to create bio-economy under the Bio-economy Transformation Programme (BTP).
“This is another sector of downstream industry that can be brought in to Sabah. And I did say Sabah has the highest potential because of agro products, marine resources and biomass.
“Another important sector of bio-economy, apart from food production, is healthcare and pharmaceuticals. Once you create the biotech park, that’s where all these will come in,” he elucidated.
Quoting the PM, Tan said the BTP has become a “game changer” for Malaysia to achieve a high-income nation status by the Year 2020. “The BTP is seen as the catalyst for the Economic Transformation Programme (ETP). Towards this end, bio-economy is set to take centre stage from now to develop the nation’s economy through bio-based industries.
In fact, Malaysia is targeted to become a major exporter of bio-based products beyond 2020.
“Datuk Seri Najib even announced on allocation of US$27 million (RM85 million) for the implementation of bio-economy projects under the Bio-economy Transformation Programme (BTP). This will further strengthen the biotechnology industry and boost the country’s bio-economy,” he said.
This, he added, shows that the PM recognises the enormous potential of bioeconomy for Malaysia’s future economic growth “for a productive, competitive and innovative economy”.
The PM made the allocation announcement at the 7th Meeting of the Malaysia Biotechnology International Advisory Panel (BIO-IAP) 2013 in San Francisco, USA. The Bio-economy Transformation Programme (BTP) aims to leverage biotechnology as an engine of economic growth in tandem with the Action Plan outlined in the National Biotechnology Policy.
Touching on the BTP’s five goals, Tan said these are – To increase Malaysia’s Gross National Income (GNI); Creation of quality jobs for Malaysian’s; Improving the income of the Rakyat; Promotion of a “Green” Economy; and to improve health and well-being of the people.
Subscribing to the concept of bio-economy, he is optimistic that it could be yet another key to enhancing the manufacturing sector in Sabah.
“Let me explain. Bio-economy or bio-based economy actually refers to all economic activity derived from scientific and research activity focused on biotechnology.
“The concept of bio-economy covers the agriculture industry and all manufacturing sectors which develop or process biological resources (examples, plants, animals and microorganisms) into any form.
“Bio-economy is closely linked to the evolution of the biotechnology industry. In fact, the application of biotechnology to agriculture, health, biomass or energy industry is a classic example of bio-economic activity,” he said.
“Bio-economy allows the use of available biological resources more effectively than previously, using innovative methods. It also widens the resources’ fields of application based on new scientific knowledge and findings.”
Simply, biotechnology is the use of living systems to develop or make useful products. Another definition is that biotechnology is any technological application that uses biological systems or living organisms to make products or processes for specific use.
Tan added: “Biotechnology is nothing new. For thousand of years, Man has used it in agriculture, food production and medicine, and today it has expanded to other applications like pharmaceuticals, and even development of stem cells and regenerative medicine.”
The National Biotechnology Policy charts the direction for the development of the biotechnology industry and bioeconomy in Malaysia.
(Source: Daily express)
July 27, 2014
CHAIRMAN for KKIP Sdn Bhd, Datuk Raymond Tan Shu Kiah drew attention to the Government’s Bioeconomy Transformation Programme (BTP) which was launched by Prime Minister Datuk Seri Najib Tun Razak in October 2012.

Automotive hub, biotech park the new frontiers

Posted on : 27-07-2014 | By : sabah today | In : News

July 27, 2014
DEPUTY Chief Minister-cum-Industrial Development Minister Datuk Raymond Tan Shu Kiah does not balk at calling a spade a spade. Despite the accomplishments for a State that is more geared towards agriculture, he sees the efforts so far in manufacturing as weak and needing be bolstered up. Ha said this is clearly reflected in the low rating in terms of revenue generated by the manufacturing sector compared with earnings from commodities.
“Looking at the dismal figures, how could I brag to say that we are performing well versus the commodities? At this stage, I am pushing the manufacturing sector forward quite single-handedly. Boosting this sector and making it vibrant has to be a new development agenda for KKIP.
“We have completed three phases of Ready-Built Factories (RBFs) and the fourth will be ready by the end of the year. I am happy with what KKIP is today- with a sound foundation, and more than two-thirds have been developed.
“So what do we do with the remaining less than one-third? I believed it is high time to move on to the next level as we cannot just continue to build a lot of factories and shop offices.
“If there is anything that I could possibly do, it’s basically to take the next stride by creating specific industries and hubs as KKIP’s anchor industries. I am here to advocate stepped-up industrial activities to intensify the manufacturing sector,” he said.
In the first quarter of this year (January to March 2014), data from the Malaysian Investment Development Authority (Mida) indicated that Federal Manufacturing License (FML) approved projects for the manufacturing sector in Sabah chalked up a capital investment of RM520.8 million.
In contrast, figured from the Federal Statistics Department for revenue generated by the major commodities in Sabah showed RM3.9 billion in March 2013 and RM3.8 billion in March this year (2014). Against the odds, Sabah is still among the Top Five in the country in terms of industrialisation, according to Tan, who is also Chairman of KKIP Sdn Bhd. “But to be honest, we are not there (Top Five) if we do not have the oil and gas industry at our doorstep.
“Similarly, we won’t be there without POIC’s (Palm Oils Industrial Cluster) production of crude palm oil (CPO) and biomass. There is huge potential in downstream activities in both sectors. But other than these two components, what else have we moved?
“That’s why I am anxious to get the automotive hub and biotech park off the ground or even halal food production for that matter,” he said.
Tan spoke passionately about the two proposed hubs, saying these have the capacity to boost the manufacturing sector. “I want goods to be manufactured here and not being imported into Kota Kinabalu. For what? Just to assemble here? There is insufficient production of goods  in the State,” he pointed out. The Minister envisioned the automotive hub and biotech park as new frontiers for KKIP to progress forward and beyond. Progressing forward and beyond is the theme of KKIP’s 20th anniversary celebration.
“I am considering Phase 5, Phase 6 but it must be connected with the automotive hub and biotech park that I am advocating. I want to create those industries to woo investors. “The land is available, you can buy the industrial lots or RBFs. But what is of utmost importance is that I want the right sector to be there. I am a bit more excited because there isn’t much space left at KKIP-18.33pc of the 1,735 acres of industrial land in Phase One to be exact.”
Asked on the 60 acres earmarked for the biotech park in KKIP, Tan said:
“You cannot just say, ‘Oh, I have got 60 acres for biotech and that’s it.’ I am deliberating on how I should get it started. I am serious about creating a technology commercialisation platform because only when you have this facility, will there be a pool of vendors and suppliers, thus creating the supply chain.
“In other words, w hen you develop a centre of research, which is fundamentally a ‘heart’ for generating business activities, and you have the technology, you must commercialise it. So until you have that, you won’t be able to see a park materialise. You may end up with just a research centre for university students.”
The KKIP Sdn Bhd Chairman went on to dwell at length on the upcoming automotive hub.
“When you start an assembly plant, there should be a minimum of 20 vendors creating parts from the door to the handles, tiles, panels, everything, that are to be fitted at the plant. For example, the car assembly plant that will be built by Tan Chong Motor Holdings Bhd will be meaningless without the vendors’ supply. Some people have the notion that you merely put up an assembly plant and then import all the parts from China to be assembled here.
“No, you must build all the parts here. I am glad to learn that a Japanese company that specialises in glasswork (for car windows) is coming in as one of the vendors.” The Minister is elated that Tan Chong Motor is expected to bring in an investment value of RM650 million in setting up the long overdue assembly plant coupled with a full network of vendors.
“Í have actually been working to get Tan Chong Motor off the ground. In fact, it started even before my time when the company was offered the land.”
(Source: Daily Espress)
July 27, 2014
DEPUTY Chief Minister-cum-Industrial Development Minister Datuk Raymond Tan Shu Kiah does not balk at calling a spade a spade. Despite the accomplishments for a State that is more geared towards agriculture, he sees the efforts so far in manufacturing as weak and needing be bolstered up. Ha said this is clearly reflected in the low rating in terms of revenue generated by the manufacturing sector compared with earnings from commodities.

Taking KKIP to the next level

Posted on : 27-07-2014 | By : sabah today | In : News

July 27, 2014
If real estate prices are an accurate barometer of an area’s importance to the economy, the price per square foot of land that the Kota Kinabalu Industrial park fetched during its infancy and what it commands now at adulthood provides a good case study.
Back in 1994 when it was launched, the prices were quoted in unbelievably low terms like RM7 per square foot, according to KKIP CEO Dr Hjh Tarsiah T2 Taman. Even then the value was partly subsidised to attract pioneers.
Now, in its Phase Two, the demand is so great that there is a waiting list for buyers willing to acquire it at RM28 per sq foot.
Hence, the KKIP of today is a far cry from its “teething” years when critics even labelled it as a “white elephant” because the Ministry of Industrial Development and fledgling KKIP Sdn Bhd ( management) were struggling to promote the industrial zone to potential investors.
Efforts were also hampered by the Asian Financial Crisis (1997-1998) that resulted in only few takers for industrial land there. At one stage, the government-linked company even owed contractors to the tune of RM50 to RM60 million.
The gradual recovery from 2002 saw KKIP bounce back and is currently making money.
A random Daily Express survey found investors were generally happy, citing proximity to the Sepanggar Bay Container Port as the key advantage. A deep-sea port, it is located about 7km fornt the industrial zone.
Chairman of KKIP Sdn Bhd, Datuk Raymond Tan Shu Kiah, could not agree more.
“That is the biggest advantage. They are there because of the logistic. In any business undertaking, logistics costs you, it will even ‘kill’ you if you are not in the right place,” he said.
Other pluspoints – Fully prepared industrial lots with basic infrastructure (access road, drains sewers and street lights); Provision of utilities (power and water supply); Underground telecommunication infrastructure; KKIP’s direct access to the Kota Kinabalu International Airport( KKIA).
A well-established furniture-maker said she did not mind buying industrial lots at KKIP although land cost was more than the market price because she could enjoy availability of power and water supply.
“Furthermore, being located in a government-owned industrial park and compliance with government regulations enhances my company’s image and  makes it easier for us to deal with international groups,” she added.
Asked after 20-years what would the Government consider to be KKIP’s greatest achievement, Tan, who is also State Industrial Development Minister, said:
“Getting the right people to invest in the park is, perhaps, the biggest achievement. If you can’t get people to invest by buying properties or starting business operations there, then you have failed.
“One success story is that we have got 261 companies in operation at KKIP. Many of them have taken up the Ready-Built Factories (RBFs) for warehousing, manufacturing goods and research activities. So if you say there isn’t anything happening there for the last two decades, then it is wrong.”
From Tan’s observation, KKIP is matured and well-developed in terms of infrastructure.
“Now we are going to have an alternative access road to Sepanggar Port through the KKIP site. The urgency was prompted by a landslide along the existing road.
It took five years to get the project off the ground. That road with a tunnel through the hill was my initiation which started during my tenure in the Ministry of Infrastructure Development,” he said.
On May 20 this year, Chief Minister Datuk Seri Musa Aman officiated at the opening of the Sepanggar Port Tunnel in Sepanggar. Dubbed “Hole Through”, the RM60 million tunnel is expected to be completed next April.
Tan visualises taking KKIP to a greater level.
“Presently, it is very much a mixture of SMEs and SMIs and they generate more than RM2 billion worth of investments while creating more than 7,000 jobs.
“But, personally, I think that people don’t very much identify with KKIP probably because it does not have an anchor feature. It’s different if you create a biotech hub.
Then people will associate KKIP with this line of business having been established there,” he reasoned.
He said KKIP’s aspiration is to have a biotechnology park within the complex as biotechnology is now the “in” thing. Tan, himself, reiterated his offer of land for setting up a biotechnology research centre in the park.
Back in 2011, 60 acres were earmarked for the purposed and then Chief Executive Officer (CEO), Datuk Chong Hon Len was “selling” the concept to potential investors.
“I am in total agreement with it. But when you create a biotechnology park, you need to have a researched centre,” said Tan.
That year, the Minister had gone to see then Federal Minister of Science, Technology and Innovation, Datuk Maximus Ongkili because it so happened that there was an allocation for several states to have a biotechnology centre of research.
“I told Dr Max that Sabah should have one and that the proposed centre can be allocated in KKIP. After all, we have plans to have a biotechnology park and we need to have a research centre set up there complete with machines and laboratories.
“I was told that their only difficulty in setting up the centre in Sabah was the need to buy the required land. I remember offering land in KKIP during the meeting with DR Max. I said, ‘You don’t have to buy the land. I am prepared to offer the land, say one or two acres, to the Ministry of Science, Technology and Innovation so long as they agree to build the biotechnology research centre there.”
While the Ministry had a budget to the tune of about RM30 million which was sufficient to put up the centre, it had no budget for land purchase, according to Tan. That prompted him to make the land offer to the Minister concerned.
Asked on the status of the offer, he said: “The matter is still with the Ministry (Science, Technology and Innovation) but now we have a new Minister in charge. I am still very serious about it. My offer stands – so long as they are going to put up the R&D centre in KKIP, I am prepared to offer the land as far as KKIP is concerned,” he assured.
Rest of the interview:
DE: The KKIP Investors Council has raised concerns relating to the Federal Government’s Cabotage Policy which is said to result in increased freight costs. Is there light at the end of the tunnel?
Tan: If you ask me, honestly speaking, to say that everything is under Cabotage is too generalised. I think some of the people who are operating in KKIP relate only to one word ‘Cabotage’ But whether that word ‘Cabotage’ reflects their problems or not, they are not sure.
DE: Why do you think so?
Tan: You see, for example, some of them are not happy because of the handling charges.
DE: Ships have to call at Port Klang before coming to Sabah. Hence the soaring transportation charges.
Tan: In fact, there are ships from China that come direct to Sabah to load our products, and then directly send them to China. If you talk to Anita Fragrance, she will tell you all about it. She is catering to the big market in China, and we have been promoting her products at the Nanjing Expo in China. They were doing quite well and getting huge orders from China. China buyers come to pick up their consignment direct from Kota Kinabalu.
DE: Have you talked to any of the operators in KKIP?
Tan: When I talked to them, I want to find out what is the real problem they face. Let’s say they have a customer from China who wants to buy goods direct from Sabah. It has happened before with other operators and they are quite happy about it.
DE: Is this a negotiated arrangement?
Tan: Yes, the potential buyers just come direct to Sabah for the purpose. Why can Anita do it and you can’t? I also want to find out, that’s besides the point.
DE: What about the handling charges?
Tan: Handling charges, storage charges. All these on the ground activities have nothing to do with Cabotage. But there is a lot displeasure about services, port services, in particular. Now, port services have nothing to do with Cabotage.
DE: This is under challenge?
Tan: It is again another challenge because your port services are not good. Your port services are related to logistic costs, your handling charges is killing. It’s eating into my profits. But what has it got to do with Cabotage? It’s nothing. So I talked to the operators and said, ‘OK’, you have got problem from exporting or you have got problem with handling charges.’ Some of them have other problem because when the thing comes in, just the holding time of the loading and unloading has doubled up their costs, you see. So where do I go from here? Some of them are basically not happy with port services. Some of them may have problem with exporting, some of them may not be happy because they can’t store anything in the port.
DE: Why?
Tan: Because the port is running out of space, they were asked to discharge their empty boxes out of the port area. So there are many things connected to what you call shipment. To generalise everything into Cabotage is not right. But the State Infrastructure Development Ministry is handling this. I keep asking the Minister (Tan Sri Pairin) because port services come under Infrastructure.
DE: Recently, there was a suggestion to suspend the Cabotage Policy.
Tan: I also don’t understand. Why suspend it? What does it mean? Anyway, the Federal Minister concerned did not respond, which is bad. Maybe they did not have a proper Minister in charge at that time. Hisham (Datuk Seri Hishammudin) was just “babysitting” the Transport Ministry.
But now (Datuk) Liow has been appointed to the portfolio. I would suggest that Pairin catch up with him and say “Hello, after sitting on it for so long, is there any finality, any what we call definitive conclusion?” People still sing the same song, ‘Cabotage!’ This is a nice word and should be made into a song. You are unhappy with the lorry, it’s Cabotage, you are unhappy with the storage, it’s Cabotage.
It’s so catchy but when you start to look into the issue, operations wise, you understand that a lot of are talking about Cabotage but they really do not know what they are talking about.
DE: There is also the complaint of poor Internet connectivity. How do you propose to resolve this.?
Tan: I think the KKIP management could probably negotiate with the Malaysian Communication & Multimedia Commission (MCMC) to set up some kind of a hub station. They do provide certain bytes for certain locations. I think KKIP should be doing that and they should have it because part of KKIP is a learning centre. When you go by world-ranking, whether the country performs well or not is not just from industry but also from education, environment and so on.
DE: People query why KKIP must sell its industrial land expensively at RM28 per square foot.
Tan: Well, I have to provide amenities such as access road, power and water supply and proper drainage system. That’s why KKIP land sold per square foot is not cheap. Those days, when Datuk Tham Nyip Shen (then Chairman of KKIP Sdn Bhd) was talking about RM17 per square foot, people jumped up and questioned why.
DE: Sarawak was then selling at RM2 per square foot.
Tan: But no infrastructure was provided. After 20 years, KKIP is selling land at RM28 per square foot. I still think it’s cheap.
DE: Would you consider reducing the prices?
Tan: I am prepared to sell the land at a much cheaper cost if I can attract a bigger size investment. And that is the point I am telling the Management provided it attracts the right investment. If you are buying it at the previous rate. I may not even want to sell it to you. But I would negotiate if you come in to create the automotive hub or biotech park. Basically, I am eyeing the major industries that will capture a bigger volume of investment.
DE: What do you have in mind?
Tan: The circle of investment I am looking at could be well around RM200 to RM300 million. So long as you are connected with the biotech park, I am prepared to consider the price. May not be RM28 per square foot. Because of the industry, the price would likely come down. But if I don’t attract the right industry and I merely build and sell, KKIP Sdn Bhd will be like any other developer. What’s the difference? If the right industry comes by, I will look into their business plan and total investment before I even consider land cost. It’s because it costs me substantially to prepare the site and provide the power distribution network.
We need to know what challenges investors face: Tan
DE: Some investors claim that other industrial zones like in Kolombong offer better incentives. What is your view?
Tan: I don’t know what Kolombong Industrial Zone is offering that I can’t offer.
DE: Some investors claim that the 100pc pioneer status previously enjoyed at KKIP is now reduced to 70pc, and wonder who made the decision. How far is this true? They also say that it is still 100 pc in the Sabah Development Corridor (SDC) under the Sabah Economic Development Investment Authority (Sedia).
Tan: No.Pioneer status tax incentive is not 70 pcs but 100 pc which means tax-free for five years.
It is basically a Federal Government incentive. It also depends on the economic sector you are involved in and the type of investment. So it is related to investment.
DE: The investors also maintain that it is 100pc pioneer status tax incentive for the Kolombong Industrial Zone.
Tan: It is not related to the place. It has nothing to do with land or industrial to do with land or industrial park. It is related to the industry concerned. For example, the biotechnology industry qualifies for pioneer status tax incentive.
DE: Investors are not happy with what they call unstable power supply.
Tan: If you ask me, if any of the IPPs breaks down, for whatever reason, we will suffer blackout. So in terms of the sensitively of our supply, in short, we are quite unstable. It is the biggest challenge, so to speak.
DE: There are some operators that have moved out, including a Taiwan-based company. What could be the reason (s)?
DE: We have to find out why. But it could be related to business, it could be unstable power supply, it could be short of raw materials, it could be anything. However, in terms of utilities, if you talk about it, Yes, Number One, supply is unstable. We cannot avoid, we cannot hide ourselves to say our power supply is consistent.
DE: But since KKIP has been in existence for 20 years, why was a viable solution not found by now?
Tan: Well, I have proposed for KKIP to have our own IPP.
DE: But you have Independent Power Producer (IPPs) within KKIP?
Tan: No, ARL, for example, is not owned by us. What KKIP did was to set up a company called KKIP Power Sdn Bhd to distribute power. We buy electricity in bulk from SESB. I am looking at 5 Kilowatts. We do that for the 260-odds investors and operators which is why we have built all the distribution lines; all the sub-stations, cabling and distribution lines are owned by KKIP.
DE: How much has been expended on providing the distribution network?
Tan: KKIP Sdn Bhd would have spent a few hundred million in terms of electricity distribution infrastructure. However, I cannot generate power because I’ve got no IPP. Nevertheless, the bulk supply of 5 Kilowatts (5KW) is guaranteed because I maintain the distribution network. You know, I made very little, in fact, worse now when SESB raised the electricity tariff.
DE: This is another bone of contention raised by the KKIP Investors Council (KIC). The Council together with the Federation of Sabah Industries (FSI) has submitted a Memorandum of Understanding on the hike in Electricity tariff to SESB.
Tan: While SESB raised the tariff, KKIP Sdn Bhd can’t do likewise with our supplier (KKIP Power). The bulk supply of 5 Kilowatts must be standardised with the tariff. As such, if you sell, you must give me one or two sen less. Otherwise, who is going to pay for the maintenance of the distribution infrastructure? We are paying for it. I am just getting SESB to sell power at KKIP at one or two sen less so that I can take care of 260 operators. Considering the few hundred million we have spent on the sub-stations and transmission lines, it’s not fair.
DE: What action can the Government take to keep investments coming into the State?
Tan: This is one of the thing I dwelled on previously but it never caught attention. To gain investors’ confidence, the Government must not only be supportive but also be attentive to their investments.
In other words, we need to know as they progress, what kind of challenges they are facing. In the beginning, we could offer handholding services but later, what if the industry lacks certain raw material supply. What if the industry suddenly faces utility cost. So it is important to be attentive to their challenges.
DE: What are the other possible challenges?
Tan: For example market change. If they have been in the same business for 10 to 20 years, and feel that the market has changed, they must know how to innovate. The Government is all for creativity and innovation to make sure your investment is sustainable. This is what I have been stressing – sustainability. I don’t want you to set up business in KKIP, which is only fantastic for the first10 years, and subsequently, you close shop because of market change.
Come on, do apply some technology to improve the quality. I mean today, if you are still producing goods like 20 years ago, with no improvement, no innovation and no proper marketing strategies, then it’s difficult.
(Source: Daily Express)
July 27, 2014
If real estate prices are an accurate barometer of an area’s importance to the economy, the price per square foot of land that the Kota Kinabalu Industrial park fetched during its infancy and what it commands now at adulthood provides a good case study.

International community in awe of PM’s handling of MH17 tragedy

Posted on : 25-07-2014 | By : sabah today | In : Uncategorized

July 25, 2014
PETALING JAYA: Datuk Seri Najib Tun Razak has taken a risk that no European leaders would but this has earned him the international community’s admiration for his handling of the MH17 tragedy, says The Wall Street Journal.
In an article, it wrote that the Prime Minister took the risk, which was to send officials into a war zone to meet armed rebels whose government almost no one recognised.
“While European governments wrestled with how to get to the site without legitimising the rebels or risking security, Najib put aside diplomatic protocol and safety fears and sent his team,” it said.
The article quoted a source close to the Prime Minister’s Office as saying that what was key to Najib was the outcome of the move.
This resulted in the retrieval of bodies and black boxes from the separatist leaders at Donetsk.
“He was looking at people who controlled an area of land. And on that land was our plane, our bodies, our black boxes,” the source said.
The article said the success delivered a political victory for Najib’s government that was still reeling from missteps after the disappearance of a Malaysia Airlines plane in March with 239 passengers on board.
“But it also handed a gift to the rebels in the form of an accord, signed by the top Malaysian official present in Donetsk, calling the crash site ‘the territory of the Donetsk People’s Republic’,” it added.
The recognition, said the newspaper, could antagonise Kiev and Washington, which strove to not give any credibility to the rebels whose main leaders were Russians.
However, people close to Najib’s office said the dealings did not amount to recognition.
The article also said that Najib steered clear of joining many Western leaders in blaming the rebels for downing the airliner and preserved Malaysia’s traditional stance of not taking sides among the United States, Russia and China.
“Instead, he quietly began looking for a back channel to speak with the insurgents,” it said.
Najib, known as a calm and pragmatic mediator, managed to reach out to rebel leader Alexander Borodai, through an unidentified intermediary.
“Najib’s intervention resolved a diplomatically awkward situation, enabling the bodies to be retrieved and an investigation to be initiated,” it said.
(Source: The Star)
July 25, 2014
PETALING JAYA: Datuk Seri Najib Tun Razak has taken a risk that no European leaders would but this has earned him the international community’s admiration for his handling of the MH17 tragedy, says The Wall Street Journal.

KKIP’s success story, future plans

Posted on : 25-07-2014 | By : sabah today | In : Uncategorized

THE Kota Kinabalu Industrial Park, (KKIP) did not happen overnight, and its journey was not exactly a bed of roses.
Two decades ago, the 8,325 acres of land, where KKIP now stands was just a piece of jungle.
Today, about 4,005 acres of its Phase 1 had already developed, in progress, or yet to be developed, whilst the balance of 4,320 acres for Phase 2 is waiting to be gazetted.
It had to go through winding roads, luring investors to start their businesses, but today, the self-contained industrial integrated township can now be proud with its achievement of having over RM2.5 billion worth of investments in manufacturing, most of it involving small-and-medium enterprises (SMEs).
It is safe to say that KKIP is a paradise for the SMEs, especially since it is located near the Sepanggar Bay Container Port, which, if translated into business terms, saves transportation costs.
The backbone behind KKIP’s success is its chief executive officer (CEO) Dr Tarsiah T Z Taman, who recently spared some time to share the ‘bitter-sweet- story’ with The Borneo Post.
“When we started KKIP in 1995, it was in a critical condition. One, being that not all of the land belonged to the government. In fact about 80 per cent of the land belonged to individual owners.
“We had to convince land owners back then that these lands needed to be developed. We explained to them that we were not just acquiring the land for the sake of making money, but to develop an industrial park that would be one of the state’s industrial icons. I was the KKIP Sales and Marketing manager at the time.
“After gaining the land owners’ understanding and trust, we proceeded with the first stage of developing the industrial park. But, unfortunately, our biggest challenge then was infrastructure,” said Tarsiah.
She explained that 20 years ago, the stretches at the Sepanggar area was still gravelled, and to make things worse, KKIP’s development was at a critical condition as KKIP Sdn Bhd did not have any grant from either the state or federal governments.
It was at a stage where the company had to borrow money to develop infrastructure facilities, such as roads and electricity supply.
“When we passed that challenge, we had another problem, and that was to market KKIP as an industrial park.
“We started promoting the first cluster that we wanted to develop. It was the Free Economic Zone (FEZ), but that had since been shut down due to the lack of positive response from foreign investors.
“After marketing the FEZ in China, Japan, Korea and Taiwan, only one company from Taiwan signed up, but after three years, they had to stop due to the lack of manpower because our locals were just not interested to work in factories at the time,” she said.
Realising the problem in securing Foreign Direct Investments (FDI) due to the shortage of manpower, KKIP had to re-structure its approach and replaced FEZ with general investments.
After seeing the potential, the state government showed interest and was willing to subsidize and offer rebates to the purchasing processes.
“Back then we were selling as low as RM5 per sq ft. Then it went up to RM7 and RM9. Today,the figure had gone up to between RM28 and RM30, while secondary sales by private owners are being transacted up to RM40 per sq ft,” she said.
For the last 10 years, KKIP has had loans from the federal government and Bank Pembangunan to develop the industrial park.
“It was almost impossible for us to cover our expenses back then, but thanks to the loan and support, we were able to run the business smoothly, and better still, we are now able to pay our debts.”
Today, after facing all the challenges, and after developing various industries in KKIP, they are keen to be part of the industrial development by encouraging SMEs to go beyond Brunei, Indonesia, Malaysia, snd the Philippines – the East Asia Growth Area (BIMP-EAGA) region.
“I am positive that we in KKIP have a role to play to encourage our investors to be part of the force in transforming these small players into multinational companies. But based on our experience, there will always be challenges for us in every stage of our struggle.
“Sadly, most of our SMEs have no passion to go beyond. To them their target is just within this region because they believe the BIMP-EAGA market is beyond their reach,” added Tarsiah, expressing her wish to bring the SMEs in Sabah to greater heights.
It was a passion she kept even from her university years.
Tarsiah remembered that when she did her PhD, her thesis was on the challenges of developing industries.
“I was passionate about the issue and I would like to see our SMEs grow and be at par with the other big companies. They must realise that these successful companies had a humble beginning, and it is not impossible to achieve,” she said.
Giving the C&F Enterprise Sdn Bhd and Hock Min Coffee Factory as examples of food and beverages companies in KKIP, she said they have been operating at KKIP and have successfully marketed their products internationally.
She said KKIP wanted to work closely with the other government-linked-companies (GLCs), and was now aiming high, and that is to expand their business at the Sipitang Oil and Gas Industrial Park (SOGIP).
“We believe SOGIP will be another perfect place for us to expand, and getting oil and gas investors at SME level is coming in.
“KKIP has a good track record, and we are confident in developing other industrial parks based on the success we have achieved at KKIP,” she said, adding another KKIP achievements was its success story in becoming a Research and Development (R&D) and training institution hub.
Having 15 R&D and training institutions operating at KKIP, Tarsiah said it was one of the industrial park’s pride and joy.
As an industrial integrated township, KKIP is not only open for factories but also R&D and training institutions, commercial lots, residential units, schools, tourism spots and recreational facilities.
As of July, a total of 219 factories are operating at KKIP, creating jobs for 7,049 people from its factories (5,611), R&D and institutions (1,114), commercial (176) and utilities (148).
Expecting over RM500 million worth of investment this year, KKIP, which is located about 22km northeast of Kota Kinabalu, is looking forward to achieve its 2020 vision.
KKIP, which is divided into clusters, namely wood-based, food, metal, rubber and plastic, logistic, warehousing, electronic and electrical, automotive, ceramic and other industries hopes that in the next six years, it will house 1,722 factories operating and offering 24,000 job opportunities.
(Source: The Borneo Post)
July 25, 2014
THE Kota Kinabalu Industrial Park, (KKIP) did not happen overnight, and its journey was not exactly a bed of roses.

Coup for Najib over deal to secure black boxes and remains

Posted on : 23-07-2014 | By : sabah today | In : News

July 23, 2014

KUALA LUMPUR: It was a coup for Prime Minister Datuk Seri Najib Tun Razak when he announced early today, that Malaysia had secured agreement for the release of the victims’ bodies and blackboxes on Malaysia Airlines (MAS) Flight MH17, as well as for international investigators to have access to the crash site in Grabove in eastern Ukraine.

Raymond praises PM for manner in dealing with MH17

Posted on : 23-07-2014 | By : sabah today | In : News

July 23, 2014

KOTA KINABALU:  Deputy Chief Minister, Datuk Raymond Tan Shu Kiah (pictured) has praised Prime Minister, Datuk Seri Najib Tun Razak for the manner in which he dealt with the Malaysia Airlines MH17 tragedy.

MH17: Anwar applauds Govt’s handling of tragedy

Posted on : 23-07-2014 | By : sabah today | In : News

July 23, 2014

KUALA LUMPUR: Opposition leader Datuk Seri Anwar Ibrahim has congratulated and thanked the Government for its handling of the Malaysia Airlines MH17 tragedy.

The Permatang Pauh MP also called for those responsible for the downing of the plane to be brought to the International Criminal Court (ICC).

DUSK TO DAWN EAST COAST CURFEW

Posted on : 20-07-2014 | By : sabah today | In : News

20th July, 2014
KOTA KINABALU: A dusk to dawn curfew has been declared in the east coast effective yesterday.

The area of the curfew – from 6pm till 6am – involved the sea about three nautical miles from the coast off Tanjung Punduras in Sandakan, Kinabatangan, Lahad Datu, Kunak, Semporna and Tawau (Jeti Tawau).