RM3.6 billion Lahad Datu investments

LocalBusiness & Finance
17 Apr 2025 • 7:20 AM MYT
Daily Express
Daily Express

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By: Sabah Publishing House Sdn Bhd

Kota Kinabalu: A total of 119 factories, owned by both local and foreign investors, are currently operating in Lahad Datu with a combined investment of RM3.66 billion, providing 7,305 job opportunities across various sectors, the Sabah State Legislative Assembly was told.

State Industrial Development and Entrepreneurship Minister Datuk Phoong Jin Zhe said that a total of 39 local companies and nine foreign companies are currently operating in the Lahad Datu Palm Oil Industrial Cluster (POIC), with a combined investment value of RM2.386 billion.

He said that investments in POIC Lahad Datu have successfully created 1,950 job opportunities.

“Meanwhile, in the Silam area alone, five plants are currently in operation, with total investments amounting to RM40 million and generating 334 job opportunities.

“The remaining 66 operational factories have attracted investments totalling RM1.2 billion and have created 5,021 job opportunities. The presence of these industries in Lahad Datu is certainly contributing to socio-economic growth and strengthening the industrial sector in the area,” he said.

Phoong was responding to an oral question from Dumi Pg Masdal (Warisan-Silam), who asked about the number of local and foreign companies operating in Lahad Datu and the job opportunities available for Sabahans.

Phoong said his ministry would present detailed data on the participation rate of local residents among the more than 7,000 workers employed across various sectors in Lahad Datu.

“We are ready to provide complete information, including the location of job opportunities and the percentage of local community involvement in surrounding areas. This is not an issue, and we are prepared to disclose the actual figures,” he added.

He added that POIC Lahad Datu was established by the Sabah government in 2005 to lead the development of the downstream palm oil industry in the state.

“POIC Lahad Datu was also set up to generate more job and business opportunities, as well as to improve the living standards of the people in Sabah. To sustain investment momentum, opportunities in supporting industries are being developed, along with the potential for new industries beyond palm oil,” he said.

Spanning 1,780.61 hectares, POIC Lahad Datu is equipped with a range of modern infrastructure and facilities, including road networks, electricity and water supply, warehouses, and ICT services. The area also offers convenient access to port facilities, further supporting the industrial growth of the region.