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CPE520 - Site Selection

This document provides information about the Samajaya Free Industrial Zone located in Kuching, Sarawak, Malaysia. It is a 337 hectare industrial estate that is home to several multinational corporations. It is located 8km from the main city and nearby port, reducing transport costs for imported raw materials. The zone has access to reliable electricity and water supplies from local providers. Sarawak also offers a young and skilled workforce, as well as incentives for manufacturing companies including competitive land pricing and tax breaks. The equatorial climate and accessibility from other countries further reduce business risks and costs for companies operating in the zone.

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0% found this document useful (0 votes)
73 views3 pages

CPE520 - Site Selection

This document provides information about the Samajaya Free Industrial Zone located in Kuching, Sarawak, Malaysia. It is a 337 hectare industrial estate that is home to several multinational corporations. It is located 8km from the main city and nearby port, reducing transport costs for imported raw materials. The zone has access to reliable electricity and water supplies from local providers. Sarawak also offers a young and skilled workforce, as well as incentives for manufacturing companies including competitive land pricing and tax breaks. The equatorial climate and accessibility from other countries further reduce business risks and costs for companies operating in the zone.

Uploaded by

Jaymac
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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SITE LOCATION: SAMAJAYA FREE INDUSTRIAL ZONE

1. Location & Land Value


Samajaya Free Industrial Zone, which located in Kuching, Sarawak is a hi-tech & electronic
industry estate developed by the Ministry of Industrial Development (MID) since 1992. It is around
8km away from main city. The total developed land is 337 hectares. The selling price is RM2.50
per sq. feet (filled land). It is home of multinational corporations such as MEMC Kuching Sdn.
Bhd., Hitachi Global Storage Technologies Malaysia Sdn. Bhd., Tiayo Yuden (Sarawak) Sdn.
Bhd., X-FAB Sarawak Sdn. Bhd., Toko Electronic (Sarawak) Sdn. Bhd. and OMG Electronic
Chemicals Sdn. Bhd. are operating in Sama Jaya Free Industrial.
2. Availability of Raw Materials
Graphene is made from graphite, which is imported from oversea. Since distance between the
Samajaya Free Industrial Zone to nearby port (Pending Port) is around 8km, the transport cost
can be reduced.

3. Nearness to Sources of Operating Power


The Sarawak SESCO Berhad is the main supplier of electricity in the State. SESCO Berhad
provides ample electricity for industrial, commercial and residential use. The sources of power
generation capability available in the State are coal, gas, diesel and hydroelectric. SESCO
Berhad offers competitive industrial tariffs for its electricity supply. Water is readily available in
Sarawak and adheres strictly to the international standards of the World Health Organization
(WHO) for drinkable water. Water charges for domestic/commercial/industrial usage from
Kuching Water Board (KWB), Sibu Water Board (SWB) and LAKU Management Sdn Bhd, Miri,
are very reasonable.

4. Labour Supplies
With around three quarters of the State population aged below 40 years, Sarawak has a young,
productive and trainable workforce. Sarawak maintains an excellent standard of education
centred around high quality international schools, colleges, polytechnics and universities. The
English language is widely used, and educational and training institutions are continually
developed to meet the growing needs of industry. Sarawak’s labour force can provide educated,
skilled, semi-skilled, and young workers to meet the needs of a high-technology business
environment.

5. Logistic
Samalaju Free Industrial Zone is easily accessible from the major cities of the world; Sarawak
can be reached within three hours by air from Hong Kong, six hours from Japan, four hours from
Australia and two hours from Indonesia and about an hour from Singapore and Brunei. This saves
a logistic cost since products can export directly to the buyer; no need transit.

6. Climate
Sarawak is relatively untouched by natural disasters such as typhoons, earthquakes and tropical
cyclones. It has an equatorial climate with relatively uniform temperature, high humidity and
abundant rainfall. This eliminate the risk of natural disaster and the production can run smoothly
without external causes.
7. Government Policy
Malaysia offers one of the most attractive incentives packages in the ASEAN region. Tax
incentives and other facilities for the manufacturing sector are provided for in the Promotion of
Investment Act 1986, Income Tax Act 1967, Custom Act 1967, Sales Tax Act 1972 and Excise
Act 1976.

Aside from the Federal Government’s incentives, Sarawak itself offers a number of special
investment incentives. These include the competitive pricing and generous rebate on the price of
industrial land, and flexible terms with low initial down payment. Foreign companies may also own
industrial land.

References:

 https://www.sarawak.gov.my/
 https://www.google.com.my/maps/place/Sama+Jaya+Free+Industrial+Zone,+93350+Ku
ching,+Sarawak/@1.5214634,110.3967398,15z/data=!3m1!4b1!4m5!3m4!1s0x31fba693
9d35e8ef:0x73338a5a678db42c!8m2!3d1.521463!4d110.405453

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