China firms in bamboo ventures


KUCHING: Two China-based companies have provided a shot in the arm for Sarawak’s large-scale bamboo processing industry, with an estimated investment of RM1.8bil.

Sichuan Vanov New Materials Co Ltd (Babo) and G-Cove Technologies Co Ltd had recently signed an memorandum of understanding (MoU) with Sarawak Timber Industry Development Corp (STIDC) in China for the proposed bamboo processing projects.According to STIDC general manager Zainal Abidin Abdullah, Babo and G-Cove Technologies would invest in manufacturing facilities to produce bamboo fibre and pulp in Tanjung Manis, central Sarawak, and Demak here.

“We have convinced investors from China to invest in the bamboo industry in Sarawak, specifically in the production of bamboo fibre,” said Zainal at an event in Sarikei recently.

He said the Chinese companies would be producing tissue paper and packaging materials, such as boxes from bamboo.

Babo is one of the major bamboo fibre producers in China with bamboo pulp production capacity of 300,000 tonnes per year, requiring one million tonnes of green bamboo sourced from renewable bamboo plantations through both commercial plantations and community farming.

G-Cove Technologies, meanwhile, manufactures moulded boxes for food, medical packaging and industrial uses that utilises bamboo pulp produced by Babo.

During Sarawak Deputy Premier Datuk Amar Awang Tengah Ali Hasan and his delegation’s recent visit to Babo facility in Meishan City in May, group president Shen Gen Lian mentioned that Babo is considering to invest in an integrated mill to produce bamboo fibre and related products in Sarawak.

For an integrated bamboo production line, the investment cost is estimated to be at least US$100mil.

Awang Tengah is also Sarawak International Trade and Investment Minister.

The China visit was also part of Sarawak’s initiatives to attract new investments in bamboo-based industries in Sarawak.

According to him, Babo’s investment will further catalyse the development of bamboo plantations and downstream processing industry in Sarawak.

Zainal said Babo is considering Sarawak as a base to expand its bamboo products’ production capacity to meet the increasing demand for eco-friendly bamboo-fibre based products.

The Sarawak Bamboo Industry Development Masterplan 2020-2030 has outlined eight strategic directions to develop commercial bamboo plantations statewide.

The targeted establishment of at least 1,000ha of bamboo plantation will be carried out in collaboration with the licensed planted forest holders and native customary rights landowners.

Another plan is to establish at least 200 bamboo community projects involving smallholders.

According to Sarawak Premier Tan Sri Abang Johari Tun Openg, Sarawak’s targeted to develop 10,000ha of commercial bamboo plantations and 1,640ha of community bamboo plantations by 2030 to ensure the sustainability of the bamboo industry.

By 2030, Sarawak aims to have various bamboo-based industries,and to generate RM200mil in export earnings of various bamboo-based products.

The STIDC,which was tasked by the Sarawak government to spearhead the development of the bamboo industry, will provide bamboo seedlings from its nursery in Tanjung Manis. The nursery targets the production of 500,000 seedlings a year in efforts to boost large-scale bamboo planting.Last August, STIDC inked an MoU with Rich Venture Plantation Sdn Bhd to establish a commercial bamboo plantation on the company’s land. Under the collaboration, STIDC will provide technical consultation and bamboo seedlings to Rich Venture.

Follow us on our official WhatsApp channel for breaking news alerts and key updates!

Sarawak Timber , bamboo

   

Next In Business News

G Capital commissions solar plant
Cangyu Space, Angkasa-X in satellite tie-up
SCIP sells Johor land to Singapore partner
Mixed views on carbon tax introduction
Accrelist completes acquisition of 28.53% stake In MClean
KNM in talks for FBM Hudson Italiana sale
Pertama Digital gets My Digital contract
Ringgit ends lower against greenback
GSC unveils 53rd cinema location at KL East Mall
Sunway City Iskandar Puteri seals RM380mil land deal for data centres

Others Also Read