Incentives

Investors in strategic industries can apply for incentives to set up operations in Tanjung Manis Halal Hub. Among them are those offered by the Malaysian Industrial Development Authority (MIDA) such as Pioneer Status, Investment Tax Allowance, and Reinvestment Allowance. Investors can also apply for additional incentives from the Halal Development Corporation (HDC), Ministry of Agriculture and Malaysian Biotechnology Corporation.

The additional incentives are intended to offset some of the additional costs and help to lower start-up risk for investors. Financing support for SME setting up Halal food industries can be provided via Halal Development Corporation.

MAIN INCENTIVES

• Pioneer Status*
• Investment Tax Allowance*
• Tax Incentives for “Halal” Food Production*

STATE GOVERNMENT INCENTIVES

State Government supports these incentives by offering attractive rates for energy and land, as well as other incentives, especially for trigger projects and cluster development in the corridor. The incentives include:

• Competitive land lease price for Halal and Organic/Agro Good & Energy Industrial Zone during inception.
• Sub-lease period of 60 years with option to review negotiable
• Competitive assessment rate per annum
• Competitive quit rent per hectare
• Competitive water and electricity tariffs

NON-FINANCIAL INCENTIVES

A set of non-financial incentives will also be available to meet the varying needs of investors. 
While the incentives plays a role in attracting private sector investments, improvements in infrastructure, 
pro-business policies and a balanced working and living environment will further complement the 
attractiveness to invest in the Halal Hub.

• Application for 100% foreign ownership
• Full guarantees on rights and lease land ownership
• Freedom to source legal funds globally
• Freedom to bring in knowledge workers
• Bringing in up to 70% foreign labour
• A special water and electricity tariff for the whole of the Tanjung Manis Halal Hub area
• Eligibility to receive assistance for international accreditations and standards
• Strong intellectual property (IP) regime
• A supportive information network linking research centres of excellence