Manufacturers want federal subsidies to apply in Sarawak

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KUCHING: The Sarawak Manufacturers’ Association (SMA) is calling on the federal government to apply subsidies recently announced under the Malaysian Economic and Rakyat Protection Assistance Package (Permai) nationwide including in Sarawak, which is currently under the Conditional Movement Control Order (CMCO).

SMA president Joseph Lau asserted that the federal government should not use the evaluation of economic impact based on administrative differences.

“Sarawak is part of Malaysia and with the whole Malaysia being under lockdown, Sarawak incurred the same impact as other states. Sarawak manufacturers are also struggling to survive during this pandemic.

“We want to voice out to the federal (government) that subsidies should cover the whole of Malaysia and cannot exclude Sarawak, which has better control on the Covid-19 pandemic,” he said in a statement on Saturday.

Lau thanked the state government for encouraging foreign direct investment in the electronics industry in Samajaya and Samalaju since the pandemic last year. He said this had helped some local manufacturer suppliers to sustain their business operations.

He also called on the state government to provide a wage subsidy for employers in Sarawak to help them retain workers, should the ones provided by the federal government fail to provide the needed support to the private sector.

“It is also appreciated if the state government can provide a discount on water and electricity bills to the local industries. In 2020, the Sarawak government had offered a zero-interest bank loan, which has helped some manufacturers — but we still need the state government to continue supporting those who need the emergency working capital,” he added.