RM1.8b investment to develop bamboo industry

KUCHING: A new collaboration between the Sarawak Timber Industry Development Corporation (STIDC) and two Chinese companies is expected to lead to the development of bamboo processing industry in Tanjung Manis and Demak here.

STIDC General Manager Zainal Abidin Abdullah said an estimated RM1.8 billion investment is being made by the two companies, G-Cove Technologies Co. Ltd. and Sichuan Vanov New Material Co. Ltd., through a Memorandum of Understanding (MoU) signed last month.

He said this initiative aligns with the Sarawak government’s goal to develop the bamboo industry in Sarawak, and STIDC has been entrusted with realising this industry.

“We have successfully convinced investors from China to invest in the bamboo industry, specifically in bamboo fibre.

“Through this collaboration, we have signed an MoU with G-Cove and Babo from China in the manufacturing of fibre and pulp from bamboo in Sarawak,” he said to the media at the STIDC Qurban Programme here Tuesday (June 18).

Zainal explained that the products to be produced include tissue paper and packaging materials such as boxes made from bamboo.

In May, Deputy Premier Datuk Amar Awang Tengah Ali Hasan witnessed the signing of the MoU between Pusaka Timber Industries Sdn Bhd and G-Cove Technologies Co. Ltd. and Sichuan Vanov New Materials Co. Ltd.

Sichuan Vanov New Materials Co. Ltd. produces integrated pulp and bamboo fibre-based products in Meishan, China.

To meet the increasing demand for eco-friendly bamboo fibre-based products such as tissues, wet wipes, moulded boxes, and diapers, Sichuan Vanov New Materials Sdn Bhd is considering Sarawak as a base to expand their capacity to meet market demand.

Meanwhile, the core business of G-Cove Technologies Co. Ltd. is manufacturing moulded boxes for food, medical packaging, and industrial uses, utilising bamboo pulp produced by Sichuan Vanov New Materials Co. Ltd.