KOTA KINABALU: The Sabah Timber Industries Association (STIA) urged the State Government to take urgent and decisive action to safeguard the timber and wood-based sector as it faces mounting economic and global pressures.
“Sabah’s timber industry remains a vital contributor to the State’s economy, providing employment, supporting rural communities and generating significant export revenue,” said STIA President Tan Peng Juan.
He noted Sabah recorded RM1.13 billion in forest product exports in 2024 but warned that the industry risks struggling to sustain itself without stronger government intervention.
Tan cited heavy reliance on tropical logs, labour shortages, and stricter global sustainability requirements as ongoing challenges.
He stressed the need to accelerate Industrial Tree Plantation (ITP) development to secure long-term raw material supply.
“The road ahead for ITP will not be easy and will involve significant challenges.
"The industry will not be able to overcome these challenges without strong and sustained government support,” he said.
STIA proposed five immediate actions: boosting investment incentives, accelerating ITP rollout, targeted financing for upgrading, streamlining regulations, and strengthening workforce skills to meet Industry 4.0 demands.
“These measures are necessary steps to ensure the industry’s survival and long-term alignment with global sustainability expectations,” Tan added, reaffirming STIA’s commitment to work closely with the government on sector transformation.