Q. Why is there a need for a SEZ?

A. Because of the instability of global economy over the last year, these initiatives will fuel the ability of ECER to meet its Master Plan target to become a developed region by 2020. The focused nodes and free zones will attract and concentrate foreign and local investments into the region. Supported eventually by four major ports and modern urban townships, the initiatives allows the ECER to tap into its strategic location and access to local, regional and international markets.It also accelerates the transfer of knowledge & technology while increasing domestic consumption. There is also a stronger focus on state-ofthe-art infrastructure to support the movement of people, goods and services.

Q. What are the targets for these initiatives?

A. These initiatives are positioned to generate inward investments of RM90 billion by year 2020;  contribute RM23 billion (US$ 6.53 bn) to national GDP; create 220,000 out of the 560,000 jobs under the ECER master plan and speed of approvals for processing of applications under the ECER’s One Stop Centre.

Q. Will these initiatives draw away investor interest in other ECER districts? Does this deviate from the objectives of ECER which is to create employment and eradicate poverty within the poorest segments of the Malaysian economy?

A. Other projects and initiatives under the ECER Master Plan will continue as planned. While the SEZ’s focus is on manufacturing and industrial activities, projects for the tourism, agriculture and education clusters will continue uninterrupted outside the SEZ. In fact, the rest will act as hinterland catchment areas supplying feedstock to support the development of the Collection, Processing and Promotion Centres (CPPC) for the agro based industries and manufacturing products meant for the domestic and export markets.

Q. Why don’t these initiatives focus on any specific sector for growth?

A. To fast track growth, the SEZ will focus on the key economic drivers in: High Value Manufacturing especially in the following clusters i.e Palm Oil Industrial Cluster, Automotive , Bio Fuel, Furniture and Biotech industries, Free Zones Oil, Gas and Petrochemical especially in the downstream petrochemical industries and polymer parks Agro processing / Food including Halal parks, Fishery processing parks, poultry processing industries Education, ICT and Knowledge Based Clusters such as Universities, Cybercenters, Knowledge Innovation Zones, Maritime Training Centers and Science Parks Tourism including Mainland Coastal Tourism, Urban Tourism, Eco tourism and Heritage and Cultural Tourism Logistics such as Port Expansion, Logistics and Distribution Center, Multi modal Transit Hubs, Marine Supply Base, Cruise Terminals , and Expansion of Airports. These drivers will also be supported by key enablers in soft and hard infrastructure, supporting institutions and services.