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Kota Kinabalu: To stabilise the sector, STIA called on the Government to introduce several urgent measures:

• Enhance investment incentives to attract both local and foreign investors into modern, technology-driven wood-based manufacturing.
• Accelerate ITP development and expansion to reduce dependence on natural forests and to secure long-term raw material supply.
• Introduce targeted financing schemes and incentives to support industry upgrading and sustainability compliance.
• Strengthen cross-agency cooperation to streamline approvals and reduce red tape, and regulatory processes for plantation and downstream industry development, while promoting digitalisation systems across government agencies to enhance inter-agency coordination and ensure a faster, more efficient delivery system in Sabah.
• Support skills development programmes to prepare young Sabahans’ workers for a modernised timber ecosystem.

“These measures are not merely requests — they are necessary steps to ensure the industry’s survival and long-term alignment with global sustainability expectations,” said Tan.

STIA reaffirmed its readiness to work closely with the State Government and relevant agencies to chart a clear transformation pathway for the sector.

“With the right support, the timber industry can continue contributing to the State’s economic development while transitioning toward more sustainable and resilient production models. 

“Embracing Industry 4.0 will further enhance productivity and secure a robust, future-ready supply chain,” Tan said.