KUALA LUMPUR, May 19 — The Asean Free Trade Area (AFTA), the emerging regional market, holds great potential for Malaysian exporters provided they raised the bar to meet required product and service standards, says the Federation of Malaysian Manufacturers (FMM) President Datuk Mustafa Mansur.
“Though it’s undeniable that the regional market has helped cushion Malaysia from the impact of the current international economic turmoil, local exporters still lag behind when it comes to the export market share within AFTA.
“If we remain complacent, we are going to lose out to Thailand, Singapore and even the Philippines within this resilient regional market, representing a population of more than half a billion people.
“On the government’s part, there has to be some political will in helping local SMIs and SMEs become more competitive and represent a bigger market share within AFTA.
“You have to bite the bullet or it’s only a matter of time, before being left out of the market,” he told Bernama.
Mustafa noted that with more regional FTA’s coming up, it was imperative that Malaysian exporters kept pace with competitors in order to make inroads.
Matured markets like Europe and North America are more demanding while being very conscious on issues like global warming, sustainable resources, hazardous materials, hygiene, decent wages and human rights.
“In Malaysia, many SMEs and SMIs are indifferent to the aforementioned issues,” he said, adding that, this attitude would further restrict their future export potential.
“In this regard, the government should evoke a paradigm shift, beginning with stringent conditions imposed on all government procurement related to the environment, sustainable resources, and benefits to the people and the country,” he said.
He said though non-tariff barriers still persist within the AFTA, countries like Thailand have successfully expanded their market share within it.
“Just go to the supermarket and see the array of foodstuff and products from Thailand on the shelves,” he said, while illustrating AFTA’s potential and increasing dominance of Thai products in Asia. — Bernama
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One by one, the weaknesses of our economy structure come to surface - sharp drop in foreign investment, stagnant economic activities, drop in export figures, reliance on foreign labour, lack of investment in R&D, brain drain, incompetitive, etc. In other words, our industries have not been able to move up the value chain.
Again and again, local businessmen and entrepreneurs had been voicing out the issues they were facing ie the quota system, taxation, corruption, redtape, inefficient government procurement system, etc that actually hinder the progress of local businesses.
Unfortunately none of the moron ministers seemed to be interested to help these SMEs, which made up of about 90% of local businesses.
All these political slugs and parasites merely interested in petty issues like keris, quotas, ketuanan, the commission in arm deals, the commission in submarine deals, the APs, the building up of more loss-making highways and tariff hikes.
What do they care anyway? In short, the local businessmen just have to rely on themselves and noone else. And for those who can, my advice is, follow the footsteps of many local businesses to establish operation in neighbouring countries with more open economy and business friendly. In other words, move the $$$ out of this country in the name of investment - like the famous Amno warlord who happened to be our Money Minister - who has business empire in Eastern Europe and lives in South Africa like a King.
The future does not only look bleak, it looks hopeless. Just let this country rot.