KUALA LUMPUR (April 19): Kedah Rubber City (KRC) has attracted over RM2.2 billion committed investments in advanced latex product development, production of feedstock, manufacturing, storage warehousing and logistics despite the ongoing Covid-19 pandemic.
In a statement today, Kedah Menteri Besar Muhammad Sanusi Md Nor said KRC is an attractive destination for businesses in the medical devices sector, particularly for medical glove manufacturers to expand their operations.
“I am happy with the Northern Corridor Implementation Authority’s (NCIA) investment performance where RM6.8 billion in approved investments was secured in the first quarter of 2021 (1Q21).
“This exceeded the approved investment target for Kedah this year by more than 20%,” he said.
Muhammad Sanusi also said proximity to raw materials and the lucrative border trade with Thailand had added to the pull factor for rubber industry players to invest in KRC.
He expects more than 4,500 jobs to be created for the locals, which would indirectly impact positively on the socio-economic development in Kedah.
Meanwhile, NCIA chief executive Datuk Seri Jebasingam Issace John said linked with the Malaysian rubber industry value chain, KRC is the first dedicated rubber industrial park in the country that is anticipated to accelerate the Malaysian rubber industry to be a regional high-value rubber manufacturing hub in ASEAN.
“With NCIA’s integrated human capital programmes and Kedah’s enhanced economic and talent ecosystem, investors will be able to capitalise on the comprehensive supply chain and available skilled workforce, as well as take advantage of the network of surrounding industries and institutions of higher learning,” he said.
Spanning nearly 505.86ha, KRC is a national project under the Northern Corridor Economic Region’s Strategic Development Plan 2021-2025.
It is now ready to accept investors following the completion of Phase 1 basic infrastructure works.
Investors would have access to critical feedstock to produce rubber products through the construction of a storage tank farm in the Penang Port.
“A logistics hub complete with a depot and warehousing facility will be established in KRC to complement the storage tank farm.
“Committed investors are expected to start construction of their facilities by 4Q21 and commence operations by the second half of 2023 (2H23),” KRC said.
Source : The Edge Markets – 19 April 2021 (Monday)
Source Link : https://www.theedgemarkets.com/article/kedah-rubber-city-attracted-over-rm22b-investments-amid-covid19-pandemic-says-mb