The Star Online
31 October 2007

KUANTAN: Pahang will be the logistics gateway for the East Coast Economic Region (ECER) to the Asean and the Asia-Pacific regions when upgrading of its ports, airport, roads and rail services are completed.

Prime Minister Datuk Seri Abdullah Ahmad Badawi said that in the heart of this gateway would be the Kuantan Port City project and the upgrading of the Sultan Ahmad Shah airport into a major cargo terminal.

A free trade area will also be set up in the port city project to attract investors to the two goods-moving gateway.

He said the port city project would see a massive upgrading and extension of the existing port and its facilities to position it as the anchor port.

“The project will stretch from the existing port to the Terengganu state boundary and to the edge of the forest reserve.

“The current port’s industrial area will be expanded and a free trade zone will be created to attract more industries so that the port can benefit from the economies of scale.

“This is in addition to the creation of a new township in which roads and rail infrastructure will be improved to facilitate linkages to other industrial areas within ECER,” he said during the launching of the Pahang-level ECER here yesterday.

Abdullah said the Kuantan Port was already the main port in the ECER, forming part of the Kuantan-Kemaman metropolis and the Kertih-Chukai-Gebeng petrochemical hub.

“It will be developed further as a regional hub for trading in petrochemical, palm oil, automotive and container markets to China, Asean and other East Asian countries.

“In addition, it will be made a second gateway for imported vehicles into Malaysia to complement the development of Peramu in Pekan as a regional automotive hub,” he said.

The initiative would encourage more local participation in vehicle manufacturing, distribution and importation as well as component and parts manufacturing, he added.

Abdullah said another major component was the palm oil industrial cluster in which the commodity sourced from the ECER and other markets would be processed into downstream products.

He said the initiative would spur development of integrated crude palm oil, oleo-chemical and bio-diesel activities within a 100ha area of the port city project.

“The port city project is expected to attract investment opportunities in trading, property development and manufacturing sectors and generate at least 5,000 job opportunities,” he said.

Abdullah said the Gambang halal park covering an area of 112ha would be transformed into a major halal food and non-food manufacturing, processing, certification and accreditation and distribution hub.

During the ceremony, Abdullah also witnessed the signing of a Memorandum of Understanding on nucleus cattle breeding and research centre between the Veterinary Services Department, Felda and Mardi.

To be located over 200ha and housing 3,000 breeders, the centre will focus on an accelerated programme to increase the quantity and quality of cattle in the country.

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