Sarawak has been asking the federal government to turn Miri Port into a free zone since July 2024, and no such zone has been approved there yet. What is being built at Kuala Baram in the meantime is the thing any zone would depend on: a RM208.9 million job to deepen the sea approach to the port. Until that channel takes bigger ships, the port cannot use the cargo capacity it already has on paper.

What Sarawak has asked the federal government for

The request has been put twice.

By May 2026 it was still an intention rather than a decision. Deputy Minister of Infrastructure and Port Development Dato Majang Renggi told the State Legislative Assembly that the government saw the need to develop free zone areas in Kuching, Bintulu, Samalaju and Miri, to raise value-added activity and draw export-oriented investment.

Why the channel has to be deepened first

The constraint at Miri Port is the water, not the wharf. Shallow access to the terminal has created what the state calls severe navigational safety hazards, and has held back industry in the Kuala Baram Industrial Estate and the northern zone generally. Deputy Premier Datuk Amar Douglas Uggah Embas, who holds the infrastructure and port portfolio, said in December 2024 that a deeper channel would let the port work at its designated capacity of 3.5 million tonnes of cargo a year.

Sarawak Transport Minister Dato Sri Lee Kim Shin said in March 2025 that the waters off Miri are among the busiest shipping lanes in the state, including for oil and gas operations, and that the Tanjong Lobang lighthouse and the delta channel both needed their navigation aids upgraded.

Where the dredging has got to

The work is being done by a joint venture of Rimbun Prima Sdn Bhd and China Communications Construction Company (M) Sdn Bhd. The package includes two training bunds six kilometres long, built out into water more than 25 metres deep, which flush the channel so that it does not silt up again.

What the new land is supposed to become

Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg visited the site in April 2026. Once the North Bank and South Bank works are finished, he said, depth at the port could reach 10 metres, enough for large vessels including cruise ships. The bunds should also reduce wave action and build up new coastal land through sedimentation — a concept he called a “mini Shanghai” in Miri — which could then be developed as an industrial and commercial area supporting the oil and gas industry with logistics and support services.

Bernama reported the Premier the same day saying the state would facilitate oil and gas support services in northern Sarawak, with RM30 million allocated for a support base initiative, and that Miri Port would work as a northern export gateway complementing Bintulu. More from the division is in our Miri guide.

Who will be regulating the port by then

The rules are changing at the same time as the water. Sarawak is setting up a single state port authority to replace the existing port authorities as the sole regulator for every port in the state, including Bintulu Port once its handover from the federal government is finalised. The existing authorities are to be corporatised in phases and ports clustered by function.

How Miri fits the wider plan

The free zone idea is not specific to Miri. In May 2025 Uggah set out a Sarawak Ports Master Plan on four pillars — governance, port and free-zone infrastructure, economic diversification and regional connectivity — modelled on Jebel Ali in Dubai, which attracts more than 11,000 companies and accounts for 36 per cent of that emirate’s GDP. Two other projects sit behind it: a Borneo Oil and Gas Supply Base to strengthen Bintulu, and a deep-sea port and gas terminal at Tanjung Embang planned with PETROS, whose first phase is expected to begin operating in 2032.

The sequence to watch is simple. The channel is due this year, the new land follows it, and the free-zone designation remains a request rather than a decision.

Sources