Shortage despite log export ban

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Shafie being briefed by Superwood Industries Sdn Bhd managing director Tan Peng Juan during his visit to the factory.

TUARAN: Despite the ban on export of logs from Sabah since May last year, factories in the state are still facing a shortage of raw materials.

Chief Minister Datuk Seri Shafie Apdal said some of them were importing timber from Peninsular Malaysia to ease the shortfall of raw materials.

“Why should we import raw materials from outside when we have our own? I am sure we have more than enough supply of timber to ensure the continuous existence of the wood-based sector in Sabah,” Shafie said during a visit to two factories – Borneo Benar Sdn Bhd and Superwood Industries Sdn Bhd – in Telipok yesterday.

“We have the potential here. Just look at Borneo Benar, one of our most successful factories in Sabah, and it has manufactured timber constructions in a number of resorts in Maldives.

“That is why we should strengthen our policy to ensure sufficient timber for factories in the State and job opportunities for the locals,” he said, adding that at the same time the relevant government agencies should focus on reviving this industry.

“I am aware that in the last four to five years, due to the insufficient supply, several wood-based factories were closed down and the services of 800 workers were terminated.

“However, I am confident that with the Sabah government’s policy in discouraging timber exports and putting priority on the wood-based industry here, the problem can be resolved,” he said.

Shafie added that meeting the needs of the wood-based industry was the new state government’s priority as the industry could create employment oppurtunities especially for youths in the state.

He stressed that the players in Sabah had the capability to export finished products not only to the existing importers but also to other countries.

“As for the government, apart from providing raw materials we must also provide trained workers, electricity and water supply, and improve our ports so that their materials from the other parts of Sabah such as Sandakan and Tawau will arrive according to their schedule.

“Agencies such as KKIP, Yayasan Sabah and Forestry Department need to connect with these players. Yayasan Sabah, with its supplies should find out what kind of species the industry players need.

“KKIP, apart from providing an industrial park, must find out what infrastructure that need to be upgraded. If the supply and demand are connected, we can create our own industries,” he pointed out.

Shafie admitted the state government is earning royalties from the exported timber, but it should not be seen from one side only.

“To me, royalties from log exports may contribute income to the state, but job opportunity for the people of Sabah is more important,” he said.