Johor is Malaysia’s southernmost state, bordering Singapore and Indonesia on the sea. Johor Bahru is the state’s capital as well as its economic hub. Manufacturing investment is quite strong in Johor. A total of RM114.9 billion was invested in manufacturing in the state between 2013 and 2017. Domestic direct investment accounted for RM16.8 billion in 2017, while international direct investment from Singapore, China, the United States, Japan, the United Kingdom, and South Korea accounted for RM5.1 billion.
Perhaps you’re a foreign entrepreneur seeking to buy a plant in Johor Bahru. Many investors pick Johor as their operating model since it is cost-effective. Businesses in Singapore, for example, take advantage of the cheaper cost of doing business in Malaysia than in Singapore. Because Malaysia and Singapore are neighbors, international access is quite easy through multiple international road checkpoints and international maritime ports and lanes over the causeway.
Here are some things to think about before establishing a company or factory in Johor:
#1 – Locating Your Factory in a Strategic Location
The most crucial issue for a manufacturing firm investor or owner is WHERE should your plant be situated. Of course, you’ll be carrying and managing a lot of logistics, so is the place accessible by major highways, railways, sea, or air? Consider your company’s target markets and customers. How simple will it be to distribute items to your consumers in the United States, or even internationally? What are the distances between the closest airports and freight services? Is there a major roadway that connects the plant to the rest of the world? What about cargo ship transportation possibilities to nearby locations and countries? Selecting a highly strategic site is, without a doubt, a critical consideration when starting a company in Johor.
#2 – Are There Any Business Manufacturing Service Facilities In The Area?
As a manufacturer, you presumably want services and facilities like factory personnel, transportation and logistics workers, storage, and business management assistance to be easily accessible. You should make sure that the factory for sale in which you are interested has a ready supply of labor and services to support all aspects of your operation.
It’s a good idea to look into the present company activity in the area where your future factory will be built. Many worldwide Multinational Corporations (MNCs) already call Tanjung Pelepas Port, a 1,000-acre Free Zone, home, including BMW Distribution Parts Centre, CIBA Vision, Flextronics, TASCO, Japan Solderless Terminal, Pan Asia Logistics, Nippon Express, Indochine Bio Plastiques, JB Cocoa, and others. Being in a well-known, busy, and well-established neighborhood is not only the better decision, but it will also improve the amount of industrial and commercial activity in your own firm.
#3 – What is the state of the factory’s infrastructure?
If you’re looking for a factory for sale in Johor Bahru, think about what you’ll receive for your money. Is it tailor to your specific production requirements and business timeline? The factory ready to open for business, or will you have to invest additional money to restore or remodel it? The industrial building supplied with enough electricity to meet your production requirements? Is there any kind of security, such as CCTV, security measures, or gates? Is there enough room to expand to greater built-up areas? These are some of the physical requirements for a factory that you must decide on and research.
Have You Heard About Tanjung Pelepas, Johor’s iParc?
Introducing the Industrial Malaysia Group’s iParc, a 210-acre freehold industrial park next to Port City and one kilometer from Tanjung Pelepas Port. The Tanjung Pelepas Interchange connects the sophisticated corporate industrial park to Singapore, placing the city-state barely 12 kilometers away. It is 25 minutes from Senai Airport’s Passenger and Air Cargo service terminal via air.
The 4-in-1 idea, which caters to both front- and back-end operational operations, is one of the distinctive multi-functional industrial spaces being market. Front-end activities, like as showrooms or corporate offices, might share space with back-end operations, such as storage and manufacturing. Semi-detached Factory lots for light industries with estimated built-ups of 5,075 sq ft and 6,475 sq ft; 3-storey shop offices with built-ups of 4,285 sq ft on plots of 22′ x 65′; and a commercial plot of 0.81 acres are among the options.
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