Sabah Steps Up Efforts to Help SMEs Scale Up

KOTA KINABALU, Oct 24: A total of 5,879 entrepreneurs in Sabah have benefited from the state’s SME-UP Assistance Programme between 2017 and 2025, aimed at strengthening production capacity, product quality and business competitiveness among micro, small and medium enterprises (MSMEs).

Deputy Chief Minister III and Industrial Development, Entrepreneurship and Transport Minister Datuk Ewon Benedick said the programme, implemented by the Sabah Ministry of Industrial Development, Entrepreneurship and Transport (MINDET), provides assistance for machinery and equipment, packaging, labelling and retort machines.

He said the programme had introduced two new forms of assistance this year, covering halal certification and trademark registration, to help local entrepreneurs meet market requirements and improve their competitiveness.

“We want entrepreneurs not only to produce quality products, but also to meet market requirements and enhance their competitiveness,” he said.

Ewon was speaking during a town hall session under the Hebatkan Perniagaan Malaysia (HPM) initiative, alongside Deputy Entrepreneur Development and Cooperatives Minister Datuk Mohamad Alamin. The session, held in conjunction with the HPM Carnival, was moderated by National Entrepreneurship Institute (INSKEN) chief executive officer Viviantie Sarjuni.

Ewon said MINDET was also strengthening market access for local products through partnerships with retail chains, including Bataras Supermarket, PETRONAS Mesra stores and AEON.

As of 2025, collaborations with Bataras and PETRONAS Mesra stores had benefited 630 Sabah entrepreneurs by providing opportunities to market their products through the retail networks.

However, he stressed that support for micro and small businesses, particularly food producers, must be accompanied by efforts to help them scale up into larger enterprises.

“We want to see more micro-entrepreneurs grow into small enterprises, then medium-sized enterprises and eventually larger companies,” he said.

To support this transition, Ewon said the state government had approved a special industrial land leasing policy to help Sabah-based companies establish factories in industrial parks.

Several local companies had expressed interest in taking advantage of the policy, particularly for factory development at the Kota Kinabalu Industrial Park (KKIP), he added.

Ewon also said MINDET had submitted several proposals for new initiatives to the Sabah Finance Ministry for consideration under the Sabah Budget 2027.

He said the proposed measures were intended to complement existing programmes and extend assistance to more entrepreneurs seeking to expand their businesses.

“As with my approach when I previously led the Ministry of Entrepreneur Development and Cooperatives (KUSKOP), we want to introduce additional initiatives that can deliver greater benefits to entrepreneurs without reducing our focus on existing programmes,” he said.

He expressed hope that the proposals would receive due consideration in the 2027 state budget, enabling more Sabah entrepreneurs to expand their operations and grow their businesses.

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