Thirty-seven textile manufacturers from the China Textile Industry Association have agreed to invest RM500 million to build a textile warehouse complex in Bandar Baru Kijal, Kemaman, in a move to expand their operations to Malaysia.

The matter has been agreed to in principle by the state government after association members, on Friday, visited Bandar Baru Kijal with the intention of turning it into the largest textile hub in South East Asia, said Menteri Besar Datuk Seri Ahmad Said.

The state government is undertaking the construction of a RM140.7 million textile complex in Bandar Baru Kijal which is expected to be operational April next year.

Ahmad said the association members would bring in textile products to the warehouse directly from China via the Teluk Kalong port in Kemaman beginning next year.

"The three-storey complex will house 42 shop lots of which 37 will be rented out to association members while the remaining will be taken up by local entrepreneurs," he told reporters after a dinner function with association members here last night.