XIAMEN: Zhong Seng Oil & Grains Co Ltd, one of China's major edible vegetable oil makers, plans to invest in Malaysia's palm oil downstream production activities in the East Coast Economic Region (ECER).
It recently signed a memorandum of understanding with the ECER Development Council during the latter's maiden business visit to China. ECER Development Council will act as a facilitator to ensure successful implementation of projects undertaken by Xiamen Zhong Seng in ECER.
ECER Development Council chief executive officer Datuk Jebasingam Issace John said the collaboration is a significant step in the development of the Palm Oil Industrial Cluster, which aims to accelerate the growth of the palm oil industry in the region.
In a statement yesterday, Jebasingam said ECER is offering special incentives and tax breaks to encourage investments in the region's palm oil cluster.
He said companies investing in ECER, which covers Kelantan, Terengganu, Pahang and the district of Mersing in Johor, will have an opportunity to tap into the region's halal trade.
Essentially, ECER is driven by five business clusters namely tourism, oil, gas and petrochemical, manufacturing, agriculture and education.
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