ROBUST BUSINESS AND INVESTMENT OPPORTUNITIES IN EAST COAST ECONOMIC REGION

1 About ECERDC

Membership of Council Chairman : Prime Minister 2 2 EAST COAST ECONOMIC REGION

ECER Malaysia is an economic corridor that is steadily positioning itself as a distinctive, dynamic and competitive

destination for investment. South China Sea

The East Coast Economic Straits of Malacca , region consists of 3 States and 1 Districts: Kelantan, 51% Terengganu, Pahang and of the Peninsular Mersing in Johor. Malaysia

Population (2019) Natural Resources 4.88 mil & Human Capital Oil Palm Oil & Gas Mineral Economic growth in ECER leverages on Labour Force abundant local natural resources and Fisheries Livestock Land 1.91 mil human capital

Source: Department of Statistics Malaysia, 2019 Human Capital Crop Island & Beach 3 Strategic Location of ECER, Malaysia

Resource Based Eastern Investment Tourism ECER Manufac- Gateway Destination Destination Positioning tured Products OBOR (One Belt One Road Initiative) is a network of infrastructural projects with a $1 trillion investment fund.

Free trade throughout the Asia Pacific Region (21 member economies).

EU Trade Agreement – 446 million consumers.

USD3.0 trillion GDP 2.3 billion (ASEAN combined population Regional Comprehensive GDP in 2018) (ASEAN & East Economic Partnership (RCEP) Asia in 2018) between ASEAN countries and Australia, China, India, Japan, USD4,601 USD2.8 trillion South Korea and New Zealand - 6.1% growth rate ASEAN Trade 3.4 billion people with a ASEAN GDP per Volume (2018) combined GDP of approx. 4 capita (2018) USD50 trillion. Private Sector Investments 2006-2019

Logistics 1% Education 1% Agriculture 2% RM120.5 Services 2% Infrastructure 3% RM111.6 RM113.5 Real Estate 5% 23% Compounded Bioeconomy Average Growth RM91.6 7% Rate Oil, Gas & Manufacturing Petrochemicals 11% 50% RM70.9

Tourism 18% RM55.9 RM120.5 Billion RM35.5 Annual Cumulative Total of RM29.3 Investment Received in ECER, 2006- RM23.2 2019 (RM Billion) RM17.6 RM14.9 Cumulative Job Opportunities: RM11.9 RM9.7 117,500

2006/7 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 9th Malaysia Plan 10th Malaysia Plan 11th Malaysia Plan

5 Private Sector Investments 2006-2019

Electronics Thiochemicals Rohm-Wako Arkema • The economic Japan France linkage of the Steel Mercedes Automotive region to the Alliance Steel China Germany international value -Benz chains and the Automotive Chemicals ZF Chassis Huntsman markets of foreign Germany United States FDI countries BASF- Petrochemicals Chemicals Kaneka • Bring in Petronas Netherlands Japan internationally Biochemicals Wind energy recognised best CJ Bio South Korea CS Wind South Korea practices, skills and knowledge RM66.5 Bil

RM54.0 Bil • Highest provider of Tourism Terengganu DRB-Hicom Automotive Job Opportunities Genting Group & Pahang Group Pahang • Forms the base of OGP Detik Biomass Fuel regional and state Petronas Terengganu Aturan Terengganu economies Bukit Gambang Tourism Geliga Ship Repair Facilities

DDI • There is no transfer Resort Pahang Slipway Terengganu of funds abroad PNB Tourism Marine Supply Base Terengganu • Most businesses in Commercial Supply Kelantan the countryside are Manufacturing Base M&E DDI Avialite Terengganu UDPS Terengganu 6 ECER Industrial Parks

7 Industrial Parks in ECER

Pasir Mas Halal Park (PMHP) • Fully integrated industrial parks complete with supporting industries and common Tok Bali Integrated Fisheries Park services. Equipped with primary (TBIFP) infrastructure Tok Bali Industrial Park (TBIP) • Each park is managed by a Park Manager corporation KELANTAN

• Well-connected by TERENGGANU highways, airports and sea ports. Kertih Integrated Petrochemical Complex (KIPC)

PAHANG Kertih Biopolimer Park (KBP)

MCKIP3 Malaysia-China Industrial Park (MCKIP) Gebeng Integrated Petrochemical Complex (GIPC) ECRL Main line Gambang Halal Park (GHP) Pahang Technology Park Manufacturing (PTP) Pekan Automotive Park (PAP)

Digital Technology District of Park managed by Mersing ECERDC JOHOR 8 Industrial Parks In ECER

PEKAN AUTOMOTIVE KERTIH BIOPOLYMER PARK PARK

Pekan, Pahang Kertih, Terengganu Automotive Industry Bio-based, Cluster Petrochemicals and Speciality Chemicals

PASIR MAS HALAL MALAYSIA-CHINA KUANTAN INDUSTRIAL PARK PARK

Pasir Mas, Kelantan Kuantan, Pahang Food-based and Non- General food-based Halal Manufacturing Products

PAHANG GAMBANG HALAL TECHNOLOGY PARK PARK

Gambang, Pahang Gambang, Pahang IT and Science & Food-Based and Non- Technology Industries Food-Based Halal Products 9 Kertih Biopolymer Park (Kbp)

Lot 6 Thiochemicals COMMERCIAL AREA Plant Lot 7 Lot 2 STP Lot 8 Lot 5 LotPPU 3

Lot 4

GAS LINE Lot 4A

Lot B Lot C

UNDER DEVELOPMENT SME Complex Lot D

Steam Producing Accessibility • Kertih Airport - 8km • Kertih Port - 3km 420 Acres Plant • Kuantan Seaport - 87km Total Area

Types of • Biomass, 62 Acres Preferred Biopolymer/Chemicals, Available Area Industry Polymer, Petrochemicals 10 Pekan Automotive Park (PAP) - Phase 2

PAP offers investment opportunities : Location Pekan Peramu, Pahang

• Manufacturers of automotive parts and components Accessibility • 35 km to Kuantan Airport • Automotive assemblers* • 65 km to Kuantan Seaport • Manufacturers of car accessories • 30 km to Kuantan Town • Hybrid and electric vehicles • 260 km to Kuala Lumpur • Pick-up trucks and commercial vehicles • Motorcycles with engine capacity 237 Acres Existing players in Pekan of 200cc and above Total Area Automotive Park • R&D and technology providers and many more 62 Acres Available Area

22.94 ac

Park Specifications

Electrical Supply (kV) 11 to 132

Water Supply Capacity (cubic 3,000 metre/day)

Sewerage Treatment Plant 13,000 Capacity (PE) 11 11 Pahang Technology Park (PTP)

With the development of the PTP, Gambang will become the first high-tech and cyber city in the ECER 12 12 Gambang Halal Park (GHP)

CPPC Industrial Zone Warehouse

Administration & Park Manager Office

• Kuantan town - 30km Accessibility • Kuantan Seaport - 53km • Kuantan Airport - 15km

• Halal food and non-food Logistics Hub Types of • Nutraceuticals / Herbs Preferred • Pharmaceuticals Industry • Agro-based products • Meat-based products • Spices and Sauces

169 Acres Commercial zone Total Area 92.5 Acres Available Area

13 Pasir Mas Halal Park (PMHP)

Phase 1 Phase 2 Industrial Zone EBC CPCC

Warehouse • - 10km Accessibility • - 21.5km • Kota Bharu Airport - 30.1km

• F&B Ingredients Types of • Snack, Spices & Sauces Preferred • Halal food-based products Logistics Hub Industry • Nutraceuticals/herbs • Agro-based products • Meat

Commercial Zone 108 Acres Total Area

53.4 Acres Available Area 14 Malaysia-China Kuantan Industrial Park (MCKIP)

LOGISTI C HUB

COMMERCIAL OFFICE

LIGHT SHOPPING INDUSTRIAL MALL & HOTEL 3,500 Acres SERVICED LANDED Total Area RESIDENTIAL APARTMENT

CENTRA L PARK GOLF DRIVING 820 Acres RANGE AND Available Area HOSPITAL LEISURE

SCHOOL

MCKIP 3- LAYOUT PLAN

15 Game-Changing Infrastructure

Connecting ECER to the 21st Century Silk Road and the rest of the world

16 Comprehensive Tansportation Network in ECER

Highways & Roads: East Coast Highway, , Federal Routes Maritime Ports: , Kemaman Port, Kertih Terminal, Tok Bali Supply Base

Air Ports: Kota Bharu, , Kertih, Kuantan

Rail: East Coast Rail Line (under development)

17 Kuantan Port – Gateway to South East Asia and Asia Pacific

One Belt Qinzhou One Road Kuantan 52 Million freight Breakwater profile weight tonnes capacity of throughput per 18 m draught 4,700 m 4.4km (23 berths) year breakwater Cater for 200k 2.6 km stopping 295 ha area size DWT ships distance

18 Aerial view Port operations commenced in September 2018 East Coast Rail Link– Gateway to South East Asia and Asia Pacific

Pasir Mas Halal Park

Uplift TOK BALI Efficient livelihood and Greater INDUSTRIAL PARK movement of economic Accessibility & goods and status of Mobility services people

TERENGGANU SILICA VALLEY Rural Urban Integration

KERTIH BIOPOLYMER PARK Further attracts investments into ECER KEMAMAN HEAVY INDUSTRIAL PARK MCKIP / GEBENG INDUSTIRAL AREA Boost Tourism Industry

PAHANG TECHNOLOGY PARK GAMBANG HALAL PARK Support Industrial Activities

PEKAN AUTOMOTIVE PARK Potential growth for Transit Oriented Developments (TODs)

Source: MRL Website 19 The Next Leap

ECER Master Plan 2.0 (2018-2025)

20 Background Of ECERDC

TO BE A DEVELOPED REGION BY 2025 (DISTINCTIVE - DYNAMIC – COMPETITIVE) [2018 – 2025]

RM70bil. 120,000 60,000 Private Investment Jobs Entrepreneur

FOCUS SECTORS

Logistic and services Manufacturing Oil, gas and Human capital petrochemical Tourism Agribusiness development

ECERDC was formed as a Council to facilitate the development of the ECER Region by engaging and complementing the Federal and State Agencies 21 Investment Incentives

Investment incentives for ECER are offered ECER Incentive Package was gazetted on to investors: 30 June 2016

OR Encourage higher value-added, 100% 100% INVESTMENT TAX INVESTMENT TAX EXEMPTION tech-intensive and highly-skilled ALLOWANCE (ITA) based for on qualified capital kapital expenditure investments expenditure made for 10 YEARS Commencing from the year 5 YEARS company derives statutory income

Investments with low value • Deduction for eligible added but provides unique agricultural projects; proposition to human capital • Exemption for stamp duty; development, job creation and • Witholding tax exemption;and entrepreneurial opportunities will • Tax deduction for hallmark still be considered events

The ECER Incentive Package adopts more flexible policies and prioritise on the REGIONAL PERSPECTIVE 22 ECER Malaysia THE PREFERRED INVESTMENT DESTINATION

ECERDC is the one-stop facilitation center to assist in dealing with the Malaysian Government in facilitating their investments in ECER

Strong support from Federal Advantageous geographical and State Governments with orientation - Eastern Gateway pro-business and liberal of Malaysia to Europe, US & investment policies Asia Pacific

Special incentives for Industrial park ready with Investors in ECER infrastructure

Strong resources endowment - Market-oriented economy - crude oil, natural gas, tin, exporter of resource based & timber, palm oil, rubber and manufacturing products others

Abundance of land to set up Large & established foreign diverse range of business business community in all facilities business sectors

Good accessibility and connection by highways, airports, seaports and railway 23 Human Capital Development In Ecer

LOCAL HIGHER EDUCATION INSTITUTION

Private Institutions Public Institutions

ECER Talent Enhancement ECER EXPAT Programme (ETEP) ECERDC will facilitate in the hiring of expatriate for company under ECER. A human capital development programme where ECERDC contributes 185,00 to the cost of new staff training to match 0 MALAYSIA their skills for their jobs – 50% of salary or 20,000 WITHIN ECER RM1,250 (whichever is lower), covering 10,000 up to 12 months. 2,000

TOTAL GRADUATES SCIENCE AND Source: Ministry TECHNICAL Higher 24 GRADUATES Education Amenities & Lifestyle in ECER

Bungalow residence Bungalow residence

Superlink House Residence Condominium Residence

The development approach in ECER consists of commercial, residential, education, industries, service & knowledge components that are closely interlinked where liveability will be elevated to world class standards. 25 Amenities & Lifestyle in ECER

KPJ Private Hospital Kuantan Salam Private Hospital Terengganu

University Malaysia Pahang International School of Kuantan

Medical Centres and Education Institute

26 Amenities & Lifestyle in ECER

Tanjung Jara Club Med Swiss Garden Beach Resort

Awana Genting Golf Resort Royal Pahang Golf Club Lang Tengah Island

East Coast Region is rich with serene beaches, pristine islands, impressive highlands, beautiful resorts, golf27 courses, and natural heritages such as caves , National Park that has amongst world’s oldest rainforest. 27 Amenities & Lifestyle in ECER

Genting Highland Colmar Tropicale French Theme Resort

Gambang Water Park Pekan Interactive Museum

Entertainment 28 28 Amenities & Lifestyle in ECER

Teluk Cempedak

Serene beaches, and pristine islands.

Kota Gelanggi Cave Cameron Highland National Park

Impressive Highlands and Natural Heritages 29 29 Amenities & Lifestyle Access to Capital

Kuala Lumpur, one of world’s most beautiful Kota Bharu 60 minutes 583 km metropolis, is easily accessible from ECER. Kuala Terengganu 55 minutes 450 km

Kuantan 50 minutes 233 km

Kuala Lumpur

30 NEW DEEP WATER TERMINAL (NDWT)

COME AND DISCOVER ECER. YOUR UNIQUE INVESTMENT DESTINATION.

We invite individuals and corporations to explore the various business opportunities in ECER, especially in Tourism, Oil, Gas & Petrochemical, Manufacturing, Agriculture and Education.

For more information please contact : ECER Secretariat Tel : +603-8885 0021 or +603-88835 0022 Email: [email protected] Fax : +603-88835 0020 Web : www.ecerdc.com.my 31