March 1, 2012

China-based Zhanjiang Guolian Aquatic Products Co Ltd will invest MYR1 billion (US$331.7 million) in an integrated shrimp farm project with Ocean Aquatic Marine (M) Sdn Bhd.

Already, investors have vowed to contribute more than MYR9 billion (US$2.99 billion) in projects in the first two months of 2012 which are expected to stimulate some 20,000 jobs in the East Coast Economic Corridor (ECER) which comprises Johor, Pahang, Terengganu and Kelantan. This involves 12 projects, nine of them new - including the Zhanjiang Guolian project -- announced after a board meeting of the ECER development council chaired by Prime Minister Datuk Seri Najib Tun Razak, according to reports.

The Zhanjiang Guolian venture follows Menteri Besar Datuk Seri Ahmad Said's visit to China in October 2011. The project covers 1,000 hectares and is expected to start in mid-2012, creating more than 1,000 jobs for locals.

"It was finalised yesterday at an exchange of documents of investment commitments in the ECER witnessed by Prime Minister Datuk Seri Najib Tun Razak," he said after chairing a state executive councillors meeting this week, Bernama reports.

The project will take place in Marang because of the site's easy access to sea water. The Chinese firm is its country's biggest prawn producer and has export certification from the EU and the US -- the project's main target markets besides China itself, he told.

The company will invest in infrastructure such as research laboratory and a shrimp hatchery, Ahmad said, adding that the project is similar to the 1,000 hectares prawn aquaculture project located in Penarik, Setiu and in Kerpan, Kedah under Khazanah Nasional Bhd subsidiary Blue Archipelago Bhd.

In addition, the state government is also seeking other investors to build a shrimp and fish-cage grouper farm at one or two locations in the swampy area in Rantau Abang which also enjoys access to sea water.

Council chief executive officer Datuk Jebasingam Issace John said the new projects also include a high-end hotel and resort enclave by Radiant Starfish Development Sdn Bhd and a MYR1billion (US$331.7 million) integrated resort and township development by Damansara Assets Sdn Bhd. Both developments will happen in Mersing, Johor.