KOTA KINABALU: The Sabah United Chinese Chamber of Commerce(SUCCC) welcomed the State Government’s decision to temporarily ban the export of scrap iron, saying it is a very practical move.
Its President, Tan Sri Andrew Liew, (photo) said the Chief Minister, Datuk Seri Haji Hajiji Haji Noor, wants to ensure that the State’s steel industry has sufficient supply of raw materials and the market can be stabilised for the time being so as to prevent the supply chain from falling into a shortage situation.
He also welcomed the State Government’s announcement that the ban on the export of scrap iron will be lifted once the mechanism has been formulated for the imposition of the RM200 per metric tonne State Sales Tax on scrap iron exports.
He praised the Chief Minister’s smart insights and meticulous and decisive decisions, which will guarantee the survival prospects of local steel production lines, scrap iron industry reproduction and related businesses in the current new normal economic environment.
Hajiji said in Friday that due to the lack of iron ore resources in Sabah, scrap iron should be kept in the State to ensure its continuous and stable supply of production.
Andrew, who is also a member of the Sabah State Economic Advisory Committee (SEAC) Member and Vice President of the Malaysian Chinese Chamber of Commerce and Industry (MCCCI), also said that this measure can somewhat reduce the cold winter conditions and unemployment risk rate of the steel industry in the post-epidemic era, which is beneficial to the economic recovery process.