The East Coast Economic Region: Poised For Transformation 3. The ECER At A Glance 4. The Agriculture Cluster 6

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2 The East Coast Economic Region: Poised For Transformation 3 The ECER At A Glance 4 The Agriculture Cluster 6 The Livestock Sub-Cluster 9 Cattle Goat Poultry The ECER Halal Park Development 26 Investment Opportunities 28 The ECER Incentives Package - Livestock 30 Contact Us 33

3 The East Coast Economic Region (ECER), covering the states of Kelantan, Terengganu, Pahang and the district of Mersing in Johor, is now poised to become a dynamic region in South East Asia by offering various opportunities to manufacturers and investors. Strategically located in the east coast of Peninsular Malaysia, the ECER has the potential to become the main gateway for trade and industry within the Asia Pacific region, which commands a total population of about 2 billion people. The vision and mission that will guide the transformation of the ECER into a developed Region by 2020 is defined by three main characteristics distinctive, dynamic and competitive. The distinctiveness of the ECER is portrayed through its natural beauty, abundant resources, unique culture and heritage known throughout the world. To maintain this characteristic, a balanced and sustainable development is emphasised. The dynamism of the ECER reflects the potential for the Region to grow and develop at a faster pace through innovation and a shift in economic orientation, structure, technology and mindset. The competitiveness of the ECER lies in its ability to attract local and foreign direct investments.

4 The vision is for ECER to be a developed Region by The ECER s vision is defined by three main characteristics: Distinctive Dynamic Competitive Scope of ECER Land Area : 66,736 sq km (51% of Peninsular Malaysia) Total Population : 3.9 million (2005), or 14.5% of Malaysia s total population Total Initiatives : 189 projects Total Investment : RM 112 billion ( ) Key Clusters Mission To move the economy up the value chain To raise the capacity for knowledge and innovation To address persistent socio-economic inequalities, constructively and productively To improve the standard and sustainability of the quality of life To strengthen the institutional and implementation capacity Key Clusters Tourism Oil, Gas & Petrochemical Manufacturing Agriculture Education Key Enablers Social & Human Capital Development Transportation Infrastructure Property Environment East Coast Economic Region Development Council To accelerate the growth and development of the ECER, a special vehicle has been established through the East Coast Economic Region Development Council (ECERDC). Key Enablers The ECERDC plays a leading role in promoting and stimulating economic and social development as well as private sector investment in the Region. The Council acts as the one-stop centre to fast track investment applications and approvals. It provides counselling, advisory services and processes tax incentives and non-tax incentives for projects. To meet the varying needs of investors, the ECERDC also customises incentives on merit basis to be recommended for approval by the National Committee on Investment (NCI). ECER Projected Growth by 2020: GDP Growth Rate 8.5% GDP RM 65,930 million GDP Per Capita RM 13,510 Population 4.88 million Source: Strategic Framework for the ECER SEZ 4 5

5 Cattle (Dairy & Beef) Cassava 6 7

6 in the assigned commodity - Cattle, Goat and Poultry. 9

7 , , , ,000 10,380 13,300 16,000 20,000 integration within pineapple growing areas. The establishment of the Nucleus Cattle Research & Innovation Centre in Muadzam Shah, Pahang will play a key role in improving the genetic quality of cattle in the ECER region and the nation

8 Located on a 240-hectare site, the Nucleus Cattle Research & Innovation Centre in Muadzam Shah will carry 1,300 superior genetic breeders, including superior bulls and a team of qualified 12 13

9 (ii) Dairy Anchor Farms 14 15

10 There is a good future for goat farming in Malaysia. The Boer is the breed identified to be the backbone for the development of the goat industry in Malaysia. The performance of this breed has been superior to the local Katjang and the crosses. The main aim of the goat-farming sector in Malaysia is to produce goat meat (chevon). It has been recorded that goat meat is the most widely consumed meat in the world

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13 Permanent Poultry Production Park Maran, Pahang Poultry Processing Park Gambang, Pahang Maran, Pahang Raub, Bera, Pekan & Kuantan Poultry Processing Parks at Gambang, Pahang 22 23

14 A Regional Centre for Halal Products has been established in Universiti Sultan Zainal Abidin (UniSZA), Terengganu to focus on: Plan, Gambang is identified as the location for poultry processing and complementing the existing plants in Maran, Pahang

15 Universiti Sultan Zainal Abidin (UniSZA) in Kuala Terengganu will be the spearhead as the Centre of Excellence for the development of the Halal Products industry in the ECER region. As a Centre of Excellence, UniSZA will help SME food producers to enhance food safety as well as the quality of Halal products to be marketed globally. UniSZA s Regional Centre for Halal Products will facilitate quality control for livestock products, food hygiene and handling. It will assist in new product development, marketing, branding, packaging, R&D, services and training. As a result of increasing awareness and rising demand, Malaysia s exports of Halal products are projected to increase

16 A huge investment opportunity is centred on the establishment of the Collection and Marketing Centre (CMC) for livestock outputs. It will serve as a prime mover and project initiative. It will function as a nerve centre for the development of the industry in the ECER. Additional services provided by the centre include sanitary and phyto-sanitary services (SPS) certification, custom documentation, advisory services, good management practices (GMP), Hazard Analysis and Critical Control Point (HACCP) certification/accreditation and information centre

17 Incentives (To qualify for these incentives, companies must commence operations before 31 December 2015) Muadzam Shah Cattle Research & Innovation Centre - Muadzam Shah, Pahang Goat Breeding & Innovation Centre - Kuala Berang, Terengganu Poultry Parks - Gua Musang, Jeli, Bachok - Kelantan - Chendering, Setiu, Hulu Terengganu, Dungun, Kemaman - Terengganu - Gambang, Kuantan, Raub, Maran, Bera, Pekan - Pahang Grain Based Animal Feed Industry - Gebeng, Pahang Cattle Integration in Oil Palm Plantations - Gua Musang, Tanah Merah Kelantan - Lembaga Kemajuan Terengganu Tengah (KETENGAH), Kemaman Terengganu - Kuantan, Jengka, Bera, Muadzam Pahang Cattle Feedlot in Beef Valleys - Kuala Krai, Pasir Puteh Kelantan - Marang, Terengganu - Kuala Lipis, Rompin Pahang Cattle Feedlot Integration in Paddy Areas - Kemubu Agriculture Development Authority (KADA), Kemasin-Semerak - Kelantan - Besut Integrated Agricultural Development Project (KETARA) Terengganu Beef Feedlot Integration in Pineapple Area - Pekan, Pahang - Rompin, Mersing, Johor Intensive Goat Rearing in Rubber Areas - Besut, Hulu Terengganu Intensive Goat Rearing in Grazing Areas - Machang (under Rubber Industry Smallholder Development Authority (RISDA), Kelantan Green Animal Feed Production (Forage & Silage Industry) - Bachok, Kota Bharu, Pasir Puteh Kelantan Poultry Processing Park Gambang, Pahang Grain-based Animal Feed Industry - Kuantan Port City, Pahang Income tax exemption equivalent to 100% of qualifying capital expenditure (Investment Tax Allowance) for 5 years Income tax exemption of 100% for 10 years commencing from the year company derives statutory income, or Income tax exemption equivalent to 100% of qualifying capital expenditure (Investment Tax Allowance) for 5 years 30 31

18 If you are an investor planning to establish or expand your business opportunities in the East Coast Economic Region (ECER) we will provide you with professional assistance. We will be the first point-of-contact for all your investment inquiries. Companies planning to start or expand operations in the ECER can obtain information and assistance from the East Coast Economic Region Development Council. We will help you harness the ECER s competitive edge and capabilities to achieve your business objectives. East Coast Economic Region Development Council (ECERDC) Tel : /22 Fax : secretariat@ecerdc.com.my Website : Kuala Lumpur Office Level 69, Tower 2 PETRONAS Twin Towers Kuala Lumpur MALAYSIA Tel : Fax : Kelantan State Office Ground Floor & Mezzanine Lot 137 & 138 Bangunan Sutera Inn Prima Jalan Dusun Muda off Jalan Bayam Kota Bharu, Kelantan, MALAYSIA Tel : Fax : Terengganu State Office Ground Floor & 1st Floor 100B Jalan Sultan Zainal Abidin Kuala Terengganu Terengganu, MALAYSIA Tel : Fax : Pahang State Office B8002 Sri Kuantan Square Jalan Teluk Sisek Kuantan, Pahang MALAYSIA Tel : Fax : ECER/V1 32 East Coast Economic Region Development Council (ECERDC) 2010 All rights reserved. No part of this document may be reproduced, stored in a retrieval system, transmitted in any means (electronic, mechanical, photocopying, recording or otherwise) without the permission of the copyright owner (ECERDC). Disclaimer: While every reasonable care has been taken in preparing this document, ECERDC cannot be held responsible for any inaccuracies. All information and specifications are current at the time of preparation and are subject to change as may be required. Renderings and illustrations are artist s impressions only and cannot be regarded as representations of fact. 33