KUCHING, Nov 16 — Signs of economic recovery among users of Sarawak timber is starting to be felt by the state timber industry in the second quarter of this year, followed by an increase in export value in the third, the Second Minister of Planning and Resource management, Datuk Amar Awang Tengah Ali Hasan said.
Awang Tengah, who is also the Minister of Public Utilities, said the export value in the third quarter of this year increased by six per cent to RM1.7 billion, compared to RM 1.6 billion in the second quarter.
“Based on the positive market flow in the second and third quarters of this year, I am confident that Sarawak’s timber industry has a high resilience and can continue to recover, although at a moderate rate until the end of this year,” he said, while replying to points raised for his ministry on the 2010 Budget in the State Assembly here today.
He also said that this is evident from the export value of wood products last month which reached a high of RM624 million or an increase of 11 per cent compared to the RM561 million in September.
The export value also increased by seven per cent to 719,000 cu m in October this year compared to 669,000 cu m in September.
Sarawak was also affected by the global economic downturn earlier this year with the total export revenue from January-June this year showing a decrease of 25 per cent to RM3 billion compared to RM4 billion for the same period last year.
“Proactive steps taken by the government such as reducing the royalty rate from RM65 cu m to RM50 cu m, extending the royalty payment period from 14 days to 90 days, relaxing the timber quota requirement and increasing activities to encourage export, helped the local industry face the economic downturn,” he explained.
On the downstream timber industry, he said, it had contributed RM8 billion in foreign exchange revenue last year, and this can used as a yardstick to prove the success of sustainable forest management in Sarawak. ? Bernama
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