Sabah pushes to transform agro-industrial park into homegrown business incubator - Borneo Post Online (2025)

By The Borneo Post onSabah

KOTA KINABALU (Apr 8): Industrial Development and Entrepreneurship Minister Datuk Phoong Jin Zhe has called for the Sabah Agro-Industrial Park (SAIP) to be strengthened as an incubation hub for local agro-industrial and biotechnology players.

This comes following his first official visit to SAIP, aimed at accelerating the transformation of the park into a launchpad for Sabah-based entrepreneurs and SMEs.

Now in its 17th year, SAIP is entering a new phase of transformation with a renewed mission: to nurture homegrown enterprises, drive downstream agro-industrial development, and create high-value job opportunities for Sabahans.

Phoong, who was recently appointed chairman of SAIP, emphasised that the park’s future lies in grooming local talents and businesses, not just in attracting external investments.

“Sabah’s wealth must come not only from natural resources, but from our ability to process, innovate and export. SAIP must evolve into a breeding ground for Sabah’s next generation of agropreneurs and biotech innovators,” he said.

“Through incubation, training, and access to industrial-grade facilities, we aim to empower local players to take the lead in this transformation.”

During the visit, Phoong toured SAIP’s extensive infrastructure, including its production lines, herb processing units, R&D laboratory, skincare formulation lab, smart greenhouse systems, post-harvest processing units, mushroom cultivation facilities, and SME incubation lots.

Despite the park being equipped with advanced infrastructure, many of its assets have been underutilised.

To unlock this dormant potential, Phoong has directed a strategic restructuring of SAIP’s operations, focused on three core areas: enabling affordable access for local entrepreneurs, activating dormant facilities for SME use, and forming strategic collaborations with research institutions and private investors.

Even in the short time since taking over leadership at SAIP, several potential investors have already begun discussions with Phoong and the management team to explore investment opportunities in the park — an encouraging sign of SAIP’s untapped potential.

“It’s truly heartbreaking to see so many incredible machines and facilities sitting idle for nearly a decade,” Phoong said.

“I’m committed to going the extra mile to ensure these assets are revived, fully utilised and transformed into engines of growth for our local industries.”

He stressed that SAIP must serve as more than an industrial park — it must become a center for talent development, business incubation and innovation in agro-processing and biotechnology.

“We want SAIP to be the launchpad where Sabahans innovate, manufacture and bring value-added products to both domestic and international markets,” he added.

Phoong also highlighted the importance of fostering an ecosystem of mentorship, research, and entrepreneurship within SAIP to boost the state’s competitiveness in agro-based industries.

With the right support, he believes SAIP can play a catalytic role in moving Sabah up the value chain — from raw resource extraction to high-value exports.

Also present during the visit were Datuk Rubin Balang, chairman of SEDCO; Datuk Thomas Logijin, permanent secretary of the Industrial Development and Entrepreneurship Ministry; Datuk James Wong, group general manager of SEDCO; Annef Osyairi, general manager of SAIP; and members of the board of directors for SAIP.

Phoong concluded by thanking the officers and stakeholders for their commitment, and called on all parties to work together in shaping SAIP into a thriving hub for innovation, entrepreneurship and inclusive industrial growth.

Sabah pushes to transform agro-industrial park into homegrown business incubator - Borneo Post Online (2025)
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