By DayakDaily Team
KUCHING, Oct 10: The Sarawak Timber Industry Development Corporation (STIDC) has accumulated RM212 million in dividends from its subsidiaries and associate companies as of September 2024.
Deputy Premier Datuk Amar Awang Tengah Ali Hasan praised these investment entities, comprising 40 subsidiary companies and seven associate companies, for strengthening STIDC’s financial position and advancing Sarawak’s broader economic development goals.
The group’s activities span various sectors, including timber, bamboo, oil and gas, agriculture, forest plantations, biomass, furniture, ports, airports, aviation, insurance, and hospitality.
“Several of our subsidiaries have fully repaid their investment capital, such as Harwood Timber Sdn Bhd, Tanjung Manis Resources Sdn Bhd, Saratim Insurance Agency Sdn Bhd, Tinamou Sdn Bhd, Teratim Sdn Bhd, Amra Timber Sdn Bhd, Balamra Sdn Bhd, Kestrel Sdn Bhd, and Selah Timber Sdn Bhd. These companies have consistently performed well over the years,” he said.
Awang Tengah made these remarks in his speech delivered by Deputy Minister of Urban Planning, Land Administration, and Environment Datuk Len Talif Salleh, during the opening ceremony of a seminar on Navigating the Companies Act 2016 and Assessing the Duties, Responsibilities, Rights and Powers of Company Directors at Raia Hotel and Convention Centre today.
He acknowledged the successes of companies such as Tanjong Manis Resources Sdn Bhd (TMR) and Green Pellet (Sarawak) Sdn Bhd, which have successfully penetrated international markets.
TMR exports woodchips and palm kernel shells to Japan, while Green Pellet ships wood pellets to South Korea. Meanwhile, Pusaka Capital, STIDC’s investment arm, has diversified into sectors like oil and gas, biomass, bamboo agriculture (pineapple), and renewable energy.
For underperforming companies, Awang Tengah, who is also Minister of Natural Resources and Urban Development, urged them to reassess their business strategies and implement turnaround plans to ensure sustainability.
“You must explore new business opportunities and revenue streams. It is no longer sustainable for companies to rely solely on your shareholders to inject funds or provide loans. Self-reliance and self-governance are the pillars for future growth and sustainability,” he stressed.
Looking forward, Awang Tengah outlined Sarawak’s aspirations under the Post-Covid Development Strategy (PCDS) 2030, aiming for high-income status with the timber sector expected to contribute RM8 billion in annual export earnings by 2030.
He also mentioned Sarawak’s ongoing efforts, such as the establishment of a Central Port Authority and plans to acquire MASwings to improve Sarawak’s connectivity.
“Diversification, innovation, and sustainability are no longer optional. They are essential for staying competitive in this fast-changing environment. Our companies must proactively explore new markets, adopt green technologies, and consider sustainable practices to remain relevant in the long term,” he urged.
The seminar provided a valuable platform for directors to gain insights into corporate governance practices as outlined in the Companies Act 2016. — DayakDaily
