KUCHING: Sarawak Economic Development Corporation (SEDC) and Shan Ying International Holdings Co Ltd (Shan Ying) of China signed a Memorandum of Understanding (MoU) on April 3, 2019 in Ma’anshan City in Anhui Province of China.
According to a press release issued by SEDC, both parties will collaborate on the establishment of a pulp and paper manufacturing plant in Samalaju, Bintulu.
The signing ceremony and exchange of MoU documents were witnessed by Chief Minister Datuk Patinggi Abang Johari Tun Openg. SEDC was represented by its chairman Tan Sri Datuk Amar Abdul Aziz Haji Husain while Shan Ying was represented by Shan Ying’s chairman Wu Mingwu.
Speaking at the exchange of MoU documents ceremony Aziz said SEDC welcomed new investors and business partners in developing Sarawak’s vast potentials. The mega pulp and paper project, he added, would be one of many that would bring Sarawak’s economy to greater heights.
“This is also in line with SEDC’s core objectives, one of which is the development of pioneering and strategic projects in Sarawak,” added Aziz.
He thanked Sarawak government, the Chief Minister for the trust given to SEDC. He also thanked the host for welcoming the state’s delegation to Nanjing and working together with SEDC on the historical event.
Meanwhile, Abang Johari, in his speech, said that Sarawak welcomed the proposed investment for the pulp and paper manufacturing plant in Sarawak.
“The project is a value-added industry based on imported recycled paper without having to exploit the state’s natural resources. The clean, safe and environment friendly technology uses our renewable energy from hydroelectric infrastructure,” he added.
Abang Johari pointed out there would always be demand for high quality paper for printouts and packaging for products bought through online shopping.
The Chief Minister was also impressed with Shan Ying’s environmentally and eco-friendly technology for paper production which includes an extensive waste water treatment facility.
“This is also in line with Sarawak government’s emphasis on clean and safe investment environment for the state.
“With Shan Ying investing in the Sarawak Corridor of Renewable Energy (Score), there will be economic spin-offs benefits for the people of Sarawak.
“There will be an expected demand for skilled manpower that requires sharing of technical expertise, leading to development of training centres and technical colleges that can produce skilled manpower needed for such industries, uplifting the education and technical level of its people and, in turn, benefitting the whole community. This will definitely contribute greatly to the Sarawak’s economic growth,” said Abang Johari.
Shan Ying, established in 1957, is an international China-based Fortune 500 company, principally engaged in the manufacture and distribution of paper products. It is one of the large industrial papermaking enterprises and extra-large packaging board manufacturers in China.
It is also Shanghai Stock Exchange listed company subsidiaries in China and has wholly-owned companies based in the USA, UK, Germany, Netherlands, Japan, Australia, and Hong Kong.
Shan Ying has built a domestic and foreign regenerated fibre recycling network, water transport terminals, a private power station, industrial wastewater treatment facilities and other supporting systems. It boasts an annual yield of 3,050,000 tonnes of paper and 1 billion m2 of cardboard and paper carton, ranking top in the industry in terms of production scale.
In Sarawak, the company intends to establish a fully automated pulp and paper manufacturing plant in Samalaju Industrial Park with a production capacity of 2 million tonnes per annum and manned by 2,500 personnel.
The USD1.8 billion (RM7.3 bln) project will be implemented in two phases. Construction of Phase 1 of the plant will commence in 2020 and is targeted to be completed and operational by 2023. Phase 2 will commence immediately after completion of Phase 1.
