YAN, Sept 13 — Kedah is prepared to provide the site for the building of a rare earth elements (REE) processing plant following the federal government’s plan to ban the export of the material.

Kedah Menteri Besar Datuk Seri Muhammad Sanusi Md Nor said the state government has identified a number of sites in the industrial areas including Gurun, Padang Meha, Kulim Hi-Tech Park and Sungai Ular that are suitable for the purpose.

“There is state government land owned by PKNK (Kedah State Development Corporation), private land, which can be used to build a REE plant now that the federal government wants to ban the export of REE.

“With that decision, there will be a transfer of technology (through the arrival of interested foreign investors),” he said.

He said this in response to an announcement by Prime Minister Datuk Seri Anwar Ibrahim that the government will develop a policy to ban the export of rare earth elements when tabling the motion on the Mid-Term Review of the 12th Malaysia Plan in the Dewan Rakyat yesterday.

In welcoming the announcement, Muhammad Sanusi said it had been the state government’s wish since a year ago for such a plant to be built in the country.

He also welcomed any interested parties to invest in the industry on the condition that they should open the processing factories and bring their technology to the state.

According to Anwar, the rare earth industry is expected to contribute up to RM9.5 billion to the country’s gross domestic product (GDP) by 2025 and generate close to 7,000 job opportunities.

Meanwhile, regarding the planting of the five-season padi within two years in the Muda Agricultural Development Authority (Mada) area, involving an investment of RM3 billion as announced by the prime minister, Muhammad Sanusi said it could be realised by providing the necessary infrastructure and addressing issues including the cartel that is said to control the rice industry.

Earlier, Muhammad Sanusi launched the harvesting of the Kedah Zakat Board Padi Seedlings Project and the event was also attended by Kedah State Secretary Datuk Seri Norizan Khazali and LZNK chief executive officer Datuk Zakaria Othman. — Bernama