LABUAN: Labuan has lost sight of its original objective and the island’s duty-free status is no longer a source of pride but has become merely a tagline on paper, says the Labuan Chinese Chamber of Commerce.
Speaking to reporters at a media luncheon at Fishermen’s Wharf here today, chamber chairman Datuk Wong Kii Yii said the duty-free status is merely a status but it does not benefit the people, business community or the various sectors.
He said Labuan should not have been imposed numerous restrictions like the requirement for Standard and Industrial Research Institute of Malaysia (SIRIM) certification for various products imported into the island.
Wong said the island has not benefited from its duty-free status, pointing out that members of the business community, especially the importers, are required to possess approved permits (APs).
“Why should Labuan, with its duty-free status, be given numerous restrictions on its business activities?” he said.
He said local consumers and visitors have long been imposed strict rules on buying duty-free items, noting that they can only buy limited quantities and need to show proof of identity before a purchase transaction.
The requirement for the business community to have an AP smacks of red tape and has impeded business deals, he said, urging the government to relook at how Labuan’s duty-free status benefits the people and the business sector.
“Visitors are gradually staying away from Labuan due to the escalating prices of goods and the new customs ruling, and now the ruling will soon scare away the investors and the shops here will close,” he said.
He said Labuan should be given more decision-making autonomy.
“Many issues pertaining to requirements were unable to be resolved here as they had to be referred to Kuala Lumpur, and eventually were left unattended,” he said.
Chamber vice-president Arthur Kong, meanwhile, proposed changing the island’s duty-free status to that of a free trade port, saying this would be more beneficial to the business community. – Bernama
