Then go some 200km beyond it to the rapidly developing Betong/Saratok area - once the nerve centre of Iban headhunters - and one would conclude that Sarawak, Malaysia's largest state, has a grand future indeed.

Betong/Saratok is one of five rural areas in the state where the federal government is planning to spend billions of ringgit. The aim is to step up food production and help farmers raise their earnings from RM300 (S$130) a month now to RM1,500 - what a pensioned Sarawakian policeman receives.

Doubtless, Sarawak has done relatively well since joining Malaysia in 1963. The state's revenue from oil and gas was just RM67 million in 1963. Today, it is RM4 billion, with at least RM7 billion in reserve, Sarawak's Deputy Chief Minister Tan Sri Dr George Chan told The Straits Times.

But the territory faces a looming crisis. 'The cake has shrunk,' said Dr Chan. The number of development projects has fallen and there is a dearth of human capital in this state of 2.31 million peoples (as of 2005), he said.

That may seem an odd prognosis, given that Malaysian Prime Minister Abdullah Badawi recently launched the Sarawak Corridor for Renewable Energy (Score) - a mega- project involving, among other things, the generation of 28,000 MW of hydropower from three dams.

But Score is about the only big idea the state has come up with in the past decade to grow its agriculture-based and oil-dominated economy.

The state government does try to increase investment. Investors are urged to plough back at least 20 per cent of their profits into developing the land and its peoples.

Dr Chan said: 'When the big boys come in, I ask them: 'What can you do for my people? We don't begrudge you the profits. But help our people make profits too'.'

The cornerstone of Sarawak's success thus far has been Western oil companies such as Royal Dutch Shell. They have provided Sarawakians with jobs and broadened their horizons.

But the state government is anxious to loosen the grip of Western investors and attract Asian investors - especially from West Malaysia and Singapore.

The chief constraints in translating this vision into reality are Sarawak's lack of skilled labour and - as always in Malaysia - its complicated racial and religious politics.

According to the 2000 Malaysian Census, Malays make up only 23 per cent of Sarawak's population. Chinese constitute more than a quarter and 'other bumiputeras' half.

'Other bumiputeras' is a catch-all category covering more than 40 indigenous tribes. The Ibans, also known as Sea Dayaks, are the largest (41.3 per cent of the total bumiputera population), followed by Bidayuhs (11.4 per cent) and Melanaus (7.7 per cent).

Most Dayaks - a loose term covering Sarawak's indigenous peoples - are Christian. Less than a third of Sarawakians are Muslim and 42.4 per cent are Christian.

Despite their small number, Melanaus, who are mostly Muslim, have dominated local politics for decades. Tan Sri Abdul Taib Mahmud, the state's Chief Minister for the past 27 years, is a Melanau, as was his predecessor, his uncle Abdul Rahman Ya'kub.

Sarawak has had only four chief ministers since 1963 - and a Melanau has occupied the top post since 1970.

A genetic salad today of Malay and other Sarawakian natives as a result of inter-marriages over the past century, Melanaus were the traditional enemy of Dayaks. Dayaks used to sack Melanau villages before, but now, despite their number, they have had their political wings clipped. And naturally, they are unhappy about their position.

In 1980, when Iban policeman Wilfred Gomeze anak Malong read law in Britain, there were 17,000 Malaysian students studying there, but fewer than 50 were Dayaks. 'I was so sad,' he recalled.

Thousands of bright Dayaks have received government scholarships since, but they are usually sent to local universities. West Malaysian bumiputera scholarship holders, on the other hand, are sent overseas.

'The Dayaks see that as a move to keep us under the coconut shell.' Mr Gomeze said. His father, Azarius Malong anak Angkas, helped found Sarawak's first multi-racial party, the Sarawak National Party, in 1961.

The conviction that the federal government is less than determined to educate Sarawakians regardless of ethnicity or religion was further enhanced recently by moves to make government aid to mission, Chinese and other independent schools contingent upon their signing over their land to the government.

Then there is the matter of who is to step into Mr Taib's shoes. Dr Chan, whose daughter is married to the Chief Minister's son, acknowledged that not all Sarawakians are enamoured of their long-ruling leader. Some complain that he keeps choice business opportunities within his family.

'A lot of that,' said Dr Chan, 'is because the government structure is too autocratic, with power centred too much in one person.'

The good news, said Dr Chan, is that the Chief Minister agrees it is time 'to let go more' and start grooming younger ministers.

There is talk of Mr Taib handing over soon to his other long-standing deputy, Tan Sri Alfred Jabu. But many see Mr Jabu as a place-holder at best before another Melanau or non-Dayak, non-Christian leader can take over again.

Reflecting such ethnic suspicions, one Sarawakian said: 'If the Dayaks are in power again, their sense of self-importance may result in things here getting worse. People complain about the supposed long arm of Taib Mahmud. But the Dayaks will make up for lost time by preferring their own and punishing those who kept them down before.'

Mr Gomeze said: 'The Dayaks are always a step behind others. That means they will take a long time to attain a footing similar to others.'

Sarawak's first two chief ministers were Dayak. But their secondary school qualifications meant 'their world view was limited at best', Mr Gomeze complained.

Development should aim at lifting up the indigenous peoples, he added. 'The way to do it is to show them how plantations are managed, get them to manage it with guidance and then let them own.'

To be fair, state officials do try to persuade the land-rich Dayaks to develop the hinterland with cash crops. But 45 years after they became Malaysians, 'other bumiputeras' still lag behind Malay bumiputeras, not to mention the Chinese, in the state.

Despite the problems, Dr Chan was cautiously optimistic. 'Sarawakians are a friendly, united people mainly because there is no competition, no need to grab opportunities from each other. But we have to worry about the next guy who might take our rice bowl away,' he warned, referring to competition from other East Asian countries.

suk@sph.com.sg