MARKET DEVELOPMENT
Agro Sector Remains Main Income For Tawau
Agro Sector Remains Main Income For Tawau
29/05/2013 (Bernama) - The agriculture sector is still the main income earner for Tawau's economy given the large amount of fertile land and numerous oil palm and cocoa plantations as well as palm oil mills.
Prices of oil palm are not severely affected by the current economic downturn, therefore, it remains a source of income for many smallholders in the district.
Although no river pollution has been reported yet, a sound management of the oil palm plantations is crucial. The question of the sustainability of the oil palm industry too needs to be considered.
Speaking to Bernama today in conjunction with the soon-to-be launched Malaysia's largest palm oil exhibition in Tawau, Fireworks Asia Sdn Bhd managing director Jerel Soo said Tawau has the potential to move along with other developing states had it been promoted aggressively.
"This is also due to the booming of the oil palm industry in the district," he said.
Soo noted that the district housed many international players involved in the cultivation of oil palm, production of fresh fruit bunches (FFB) and processing them into crude palm oil and palm kernel.
It is noted a number of downstream producers are involved in palm oil refiners, palm kernel crushers, manufacture of palm-based edible products and specialty oils and fats. This is augurs well for the locals and thus help boosts the economic activities in the surrounding areas.
"There is a lot to be done here in Tawau, as we can see, during our visit, before we decide to organise the international event in Tawau, we have been briefed by the Palm Oil Industrial Cluster's (POIC) officials that the district should be given the chance to host the event.
"We saw many exporters and importers of palm oil, customers, institutional buyers, retail customers and investors, industry organisations representing the interests of the upstream and downstream producers, government agencies associated with the oil palm industry, particularly in respect of research and development and regulatory functions. They are in Tawau and this has encouraged us to have the event in the district," he said.
He said the government has a key role to play beyond creating a facilitative environment in terms of supporting new and competitive growth sectors by providing the policy framework, human capital development, enabling infrastructure and supporting the development of industrial clusters.
"Tawau should be able to endure and move forward," Soo added.
Tawau, being another important town in Sabah, also has good connectivity in terms of facilitating the movement of goods, services and people and thus helped maximising the economic spillover from urban centres to the surrounding hinterland.
More than 100 booths have been taken up by local and international exhibitors for the event, scheduled to be held from June 11-13. The exhibition is expected to be officiated by chief minister Datuk Musa Aman.
Prices of oil palm are not severely affected by the current economic downturn, therefore, it remains a source of income for many smallholders in the district.
Although no river pollution has been reported yet, a sound management of the oil palm plantations is crucial. The question of the sustainability of the oil palm industry too needs to be considered.
Speaking to Bernama today in conjunction with the soon-to-be launched Malaysia's largest palm oil exhibition in Tawau, Fireworks Asia Sdn Bhd managing director Jerel Soo said Tawau has the potential to move along with other developing states had it been promoted aggressively.
"This is also due to the booming of the oil palm industry in the district," he said.
Soo noted that the district housed many international players involved in the cultivation of oil palm, production of fresh fruit bunches (FFB) and processing them into crude palm oil and palm kernel.
It is noted a number of downstream producers are involved in palm oil refiners, palm kernel crushers, manufacture of palm-based edible products and specialty oils and fats. This is augurs well for the locals and thus help boosts the economic activities in the surrounding areas.
"There is a lot to be done here in Tawau, as we can see, during our visit, before we decide to organise the international event in Tawau, we have been briefed by the Palm Oil Industrial Cluster's (POIC) officials that the district should be given the chance to host the event.
"We saw many exporters and importers of palm oil, customers, institutional buyers, retail customers and investors, industry organisations representing the interests of the upstream and downstream producers, government agencies associated with the oil palm industry, particularly in respect of research and development and regulatory functions. They are in Tawau and this has encouraged us to have the event in the district," he said.
He said the government has a key role to play beyond creating a facilitative environment in terms of supporting new and competitive growth sectors by providing the policy framework, human capital development, enabling infrastructure and supporting the development of industrial clusters.
"Tawau should be able to endure and move forward," Soo added.
Tawau, being another important town in Sabah, also has good connectivity in terms of facilitating the movement of goods, services and people and thus helped maximising the economic spillover from urban centres to the surrounding hinterland.
More than 100 booths have been taken up by local and international exhibitors for the event, scheduled to be held from June 11-13. The exhibition is expected to be officiated by chief minister Datuk Musa Aman.