KUALA LUMPUR (May 24): Priceworth International Bhd said it does not expect to be significantly affected by a temporary ban on log exports from Sabah, which was recently announced by newly-minted Sabah Chief Minister Datuk Seri Mohd Shafie Apdal. 

“The ban should not have a significant effect on our performance, as export-grade logs comprise less than 10% of our total logs production,” Priceworth executive director Richard Koo said in a statement yesterday.

“These export-grade logs are either easily sold locally or channeled into our downstream processing to produce better quality plywood and sawntimber products. There is no shortage of demand for premium plywood from Japan and container flooring from China,” Koo added.

Koo was responding to the announcement by Mohd Shafie, who had yesterday said Sabah will temporarily ban timber exports to ensure sufficient supply for the domestic industry.

According to Mohd Shafie, the soon-to-be-implemented temporary ban would help the local industry such as furniture, to grow, and this would provide more employment opportunities to the people of the state.

“I will inform the forestry department and relevant authorities on the temporary export ban on timber, until further notice issued by the state government," Mohd Shafie was quoted as saying.

It was reported that Sabah currently exports between 200,000 tonnes and 300,000 tonnes of logs annually to countries such as China, Japan, Philippines and India.

Meanwhile, Sabah Timber Industries Association (STIA) president Datuk James Hwong You Chuaang was reported to have said the latest ban is a good move and a long-awaited, life-saving measure to revive the timber industry in Sabah.

STIA was grateful for the initiative, as “over the years, many mills have closed down due to shortage of raw material”, Hwong added.