KUALA LUMPUR, Jan 18 (Bernama) -- The Malaysian Investment Development Authority (MIDA) will be organising a Seminar on Furniture and Wood-Based Industry on 23 January 2019 at the Le Meridien Hotel, Kota Kinabalu Sabah. The event is organised as part of MIDA’s effort to promote Sabah as the next investment destination for wood and wood-based industry in Malaysia.
 
The hosting of this event in Sabah is a step in the right direction which acknowledges the furniture and wood-based industry as one of the key industries to be developed in Sabah. It is also in line with the State Government’s measure to safeguard local industries and boost more downstream activities which will eventually increase the economic development and living standards of the local communities in Sabah.
 
The seminar comes at a time when Sabah Chief Minister, Datuk Seri Panglima Mohd Shafie Apdal had recently announced his plan to make Sandakan as a furniture centre in Sabah. Sandakan was chosen for its proximity to several Forest Management Units (FMUs) within the State, which is ideal for downstream value-added timber activities.
 
Themed, ‘New Era of Manufacturing for Furniture & Wood-Based Industry’, the seminar will focus on automation and smart manufacturing to promote the adoption of industry 4.0 among the wood-based industry players. Participants will be updated on the latest government policies and strategies; the promoted industries and industrial park in Sabah; as well as insights on MIDA’s organisational mechanism in promoting and coordinating investment development in the furniture industry.
 
The Government through MIDA has been facilitating the development of wood and wood-based industry through a range of facilities and supports.
 
CBS Products Sdn Bhd, for example, is a manufacturer of eco-friendly biomass products in Bintulu, Sarawak that has benefitted from the Pioneer Status incentive approved by MIDA. According to Dato Hii Poh Bing, Chairman of Cipta Group of Companies, “When we first started venturing into green biomass manufacturing, we encountered a lot of difficulties in making good quality briquette charcoals, as well as in marketing and finance. With the incentive granted by MIDA, our company survived throughout the years and even undertake the Research and Development (R&D) activities to improve our briquette charcoal's quality”.
 
HeveaBoard Berhad, Malaysia's first Japanese Industrial Standards (JIS) certified particleboard manufacturer has its own story. According to Mr Yoong Hau Chun, Group Managing Director of HeveaBoard Berhad, “Over the past 25 years since incorporation, HeveaBoard has greatly benefited from the incentive and facilities offered by MIDA. We also received import duty exemption on machinery, parts and special materials for our new plant which helped to reduce our project costs. Our Plant 2 uses the ‘state-of-the-art’ machines from Germany. To recruit and train the specialist personnel needed, we managed to obtain Training Grants and Expatriate Work Permits. This has contributed to enhancing the skills of our staff in managing such machines. The recent incentive received by our company was the Investment Tax Allowance (ITA) for the Greentech project on waste heat recovery. We look forward to consult MIDA in optimising the facilities provided by the Government for our future business plans”.
 
Segamat Panel Boards (SPB) Sdn Bhd’s Managing Director, Mr Peter Fitch said that “As a foreign investor for more than 15 years in Malaysia, SPB has found MIDA to be a very helpful, efficient and informative in facilitating investments in Malaysia. MIDA is a ‘one-stop’ initial point of contact that can facilitate introductions to all the government and private bodies to ensure your investment is smooth and problem free. MIDA together with the Sabah State Government are promoting Sabah as the new growth hub for furniture and timber-related businesses in Malaysia. We would recommend new and existing related companies to consider Sabah for their next major investment seriously.”
 
As at September 2018, a total of 2,919 projects on furniture and wood-based products projects have been approved by MIDA with investment worth RM33.02 billion. Majority of these investment or 67% (RM22.14 billion) were from domestic sources, while the rest (33% or RM10.88 billion) were from foreign sources. The approved investment on furniture and wood-based products in Sabah during the period was 466 projects with total investment of RM5.36 billion.
 
Malaysia is the largest exporter of tropical logs and sawn timber; the 2nd largest supplier of plywood and 9th largest exporter of furniture in the world market. “Made in Malaysia” furniture products are exported to over 160 countries worldwide with the United States being the top export destination followed by Japan, Singapore, Australia and United Kingdom. 

Source: Malaysian Investment Development Authority (MIDA)

FOR MORE INFORMATION, PLEASE CONTACT:
Name: Mr. Mohd Rasli Muda
Director, Food Technology & Resource-Based, MIDA
Tel: 03- 2267 3643
Email: rasli@mida.gov.my 

--BERNAMA