State Government holds 30 per cent stake in RM400 million Linaco coconut venture
BELURAN: Chief Minister Datuk Seri Panglima Haji Hajiji Haji Noor said the State Government will hold a 30 per cent stake in the RM400 million high-yield coconut plantation and coconut-based manufacturing facility project developed by Linaco Resources Sdn Bhd in Paitan here.
Yet another Sabah Maju Jaya (SMJ) investment initiative, the State Government is providing 2,000 hectares of land for the high-impact project, which is expected to contribute some RM1.2 billion annually to Sabah’s economy.
Apart from that, Linaco will set up all the necessary infrastructures for the project, which is expected to provide 4,400 job opportunities once fully operational in 2026.
Speaking at the launching ceremony at the plantation site today, Hajiji was happy that the Memorandum of Understanding (MoU) inked between the State Government and Linaco Resources Sdn Bhd to develop Sabah’s coconut-based industry in March last year is finally becoming a reality.
Linaco Resources is investing RM200 million for the development of a high-yield coconut plantation and another RM200 million for the coconut-based manufacturing facility.
“This RM400 million project will definitely create a big impact. With an expected RM1.5 billion annual income, surely the economic spillovers will transform Paitan and create employment opportunities to Paitan and nearby communities,” he said.
The Chief Minister assured that the Gabungan Rakyat Sabah (GRS) State Government will push its development agenda to bring progress to Sabah and its people.
“Hence, a total of RM561.81 million has been allocated to the agriculture sector, which is one of the three main thrusts of SMJ, in this year’s State Budget,” he said.
Hajiji said March 29,2022 will mark the one year anniversary of the Hala Tuju SMJ, Sabah’s development roadmap, and despite the many challenges posed among others by the COVID-19 pandemic, the Gabungan Rakyat Sabah (GRS) state government remained steadfast to pursue investments and managed to bring in three major investments, including Linaco to Sabah.
Hajiji said the other two major investments under the SMJ iniative namely SK Nexilis copper foil factory and Kibing Group Solar Glass Manufacturing Plant at the Kota Kinabalu Industrial Park (KKIP), which he visited last Thursday, were progressing very well.
“I am really satisfied and happy with the latest development as well as the progress of these projects. It is testament that our hard work for the past one year is beginning to bear fruit,” he said.
“We have worked hard to attract investors to Sabah and the GRS government has had several important achievements under its belt,” he said.
Hajiji who is also Finance Minister said the Sabah International Business and Economic (SIBES) 2022 summit in January this year had sparked interests not only among local but also foreign investors on Sabah’s investment potential.
Following the SIBES Summit, 14 foreign diplomats had also met with the Chief Minister to express investment interest in Sabah.
“There are still so much more that we need to do to pursue economic recovery. I am confident that we will succeed in bringing prosperity to Sabah and rakyat if we remain united under one development agenda,” he said.
Deputy Chief Minister and Agriculture and Fishery Minister Datuk Seri Panglima Dr Jeffrey Kitingan Agriculture, Agriculture and Food Industries Minister Datuk Seri Dr Ronald Kiandee, State Secretary Datuk Seri Panglima Sr Safar Untong and Linaco Executive Director Joe Ling were present.