Restore Labuan’s full duty-free status, businesses urge govt

The Labuan Chinese Chamber of Commerce (LCCC) has urged the federal government to reinstate the island’s full duty-free status to boost its appeal to visitors.

Its president Wong Kii Yii said that despite previous efforts, including letters to relevant authorities, the government has yet to heed their plea.

Wong emphasised that Labuan’s current duty-free status fails to impress visitors as prices for goods remain high.

“Labuan’s duty-free status has not resulted in lower prices for goods, making it less attractive to tourists,” he said during a New Year’s dinner with community leaders at the Fisherman Harbour Restaurant in Labuan yesterday.

Wong specifically highlighted the need for duty-free cigarette sales, emphasising its potential to enhance the island’s allure.

“The chamber calls upon Labuan MP Suhaili Abd Rahman and Labuan Umno chief Mohd Rafi Ali Hassan to champion this cause and bring it to the attention of the federal government,” he added.

Wong underscored Labuan’s economic dependency on its duty-free status and believed restoring the full duty-free status is crucial for attracting visitors to the island.

Increase flight frequency

Additionally, Wong raised the necessity of increasing flights to Labuan to stimulate the tourism sector.

With limited flights from Malaysia Airlines and AirAsia, he questioned Labuan’s ability to attract visitors, particularly from China.

“The chamber hopes for swift government intervention to address these concerns and bolster Labuan’s economic prospects,” he said.