KTC industrial Park to be developed in KKIP

11 June 2025

KOTA KINABALU: Kim Teck Cheong Consolidated Berhad (KTC), a leading distributor of fast-moving consumer goods (FMCG) in East Malaysia, has announced the successful acquisition of land valued at RM40 million at the Kota Kinabalu Industrial Park (KKIP) for the development of the KTC Industrial Park. This will be the Group’s largest integrated hub for operations, logistics, and manufacturing.

The investment is expected to expand KTC’s current operational footprint by 40 per cent, with revenue projected to grow by 50 per cent.

"This strategic move will elevate KTC’s annual revenue to approximately RM1.5 billion to RM1.6 billion, further reinforcing its position as a leading company in Sabah and across East Malaysia," said KTC Executive Director, Datuk Dexter Lau.

He added, "This significant investment also marks a major milestone in the Group’s long-term growth strategy and is expected to support our expansion plans over the next five years."

According to Dexter Lau, the land is strategically situated within a rapidly developing industrial zone and will serve as a foundation for future developments in warehousing, logistics infrastructure, transportation, and operational facilities.

"This development is anticipated to enhance operational efficiency, streamline supply chain capabilities, and further strengthen KTC’s presence in both existing and new markets across Malaysia.

"The KTC Industrial Park is set to become one of the largest FMCG distribution centres in the region, designed to efficiently serve markets in Sabah, Sarawak, Brunei, and Indonesia," he explained.

He further stated, "This investment aligns with our mission to create long-term value through operational excellence and strategic foresight. The new industrial park will significantly boost our logistics capabilities and enable us to meet the increasing demand for FMCG products across multiple regions."

Dexter Lau emphasised that the development reflects KTC’s commitment to operational excellence and regional economic growth, while also generating employment opportunities and stimulating the growth of a broader supply chain ecosystem in East Malaysia and neighbouring regions.

He also announced that KTC had surpassed RM1 billion in revenue as of June this year and remains on a strong growth trajectory.

"Our current operational footprint covers approximately 500,000 square feet. With the development of the KTC Industrial Park on the newly acquired 15-acre site in KKIP, our operational capacity will increase by 40 per cent, with projected revenue rising to between RM1.5 billion and RM1.6 billion," he stated.

Construction of the KTC Industrial Park in KKIP will commence as soon as possible, with a total investment of RM100 million. The development is expected to generate 500 new jobs, with a priority on hiring local residents from underprivileged backgrounds to support the government’s efforts to eradicate poverty.

Dexter Lau also disclosed that the KTC Board of Directors has approved an additional investment of RM10 million in Sarawak during the same period.

"As a result, KTC’s revenue in East Malaysia is anticipated to grow by a total of 50 per cent, 40 per cent in Sabah and 10 per cent in Sarawak, over the next two to three years," he added.

As a main market-listed company on Bursa Malaysia, KTC aims to employ around 2,000 people across Malaysia and Brunei within the year, cementing its position as one of the region’s leading companies.