KOTA KINABALU: Sept 3, 2026 – The Sabah government has introduced two new initiatives under the Sabah First agenda to strengthen the capabilities of local companies and reduce operational costs for logistics industry players.
Deputy Chief Minister III cum Minister of Industrial Development, Entrepreneurship and Transport Sabah, Datuk Ewon Benedick, said the initiatives involve a special land lease package for local companies in industrial parks and a reduction in container storage charges at Sepanggar Bay Container Port.
He said the special package, to be implemented at Kota Kinabalu Industrial Park (KKIP), would allow local companies to make annual lease payments instead of the existing policy requiring full payment for the 30-year lease within two years.
This move is expected to help local companies manage cash flow better and facilitate their access to financing to build factories or purchase machinery.
The ministry also plans to collaborate with Credit Guarantee Corporation (CGC) to facilitate financing requirements for local companies.
In a related development, the free container storage period at Sepanggar Bay Container Port has been extended from three to four days, effective Sept 7.
For the fifth to seventh days, charges for a 20-foot container are set at RM8 for empty containers and RM16 for laden ones, while 40-foot containers are charged RM15 and RM30 respectively.
Ewon said the new rates aim to reduce costs for logistics players and encourage more efficient container management to address port congestion.
The port expansion project has now reached 65 per cent completion and is expected to provide a long-term solution to capacity and congestion issues.
