JAN 2 — Inevitably, political leaders always call for mutual trust and understanding among racial groups in their new year speeches. However, unity will never be achieved without sincerity and hard work.
The Federal Flour Mills (FFM) Bhd clarified that it did not instigate consumers to boycotts products of its competitors, in an advertisement published on the Sin Chew Daily on December 30, 2011. The following day, Gardenia Bakeries (KL) Sdn Bhd advertised on the same paper to refute allegations against it. The moves have reflected suspicion and distrust among different races, which are also an obstacle to national integration.
In fact, Gardenia had made a police report in November last year over slandering SMSes and emails spread over the market. It can be traced back to the criticism of a politician who said that Padiberas Nasional Bhd (Bernas) should not fall into the hands of foreigners because Malaysia would collapse due to food shortages if a food war erupted.
Robert Kuok completely withdrew from the Malaysian sugar industry in December 2009. He disposed of his sugar units along with land used to cultivate sugar cane for RM 1.29 billion to Felda. Also to Felda, he disposed of his 20 per cent stake in Tradewinds for RM207.5 million, or RM3.50 per share, making Tan Sri Syed Mokhtar Al-Bukhary the new sugar and rice king of Malaysia.
Rumours were spread and although consumers have the right to choose, boycotting due to the above given reasons have reflected something unusual that must be addressed.
Why is one excellent entrepreneur after another leaving Malaysia? Have the business opportunities of non-Bumiputeras been decreasing?
Kuok increased investment overseas after selling off his businesses in Malaysia. For example, Wilmar International Limited, in which Kuok’s group is a substantial shareholder, obtained a majority of creditor votes for its A$120 million purchase of Proserpine Sugar Mill, beating an approach from Cofco Ltd. He does not seem to have given up on the sugar industry.
While the Genting Group is retaining its business in Malaysia, it has also increased investments in Singapore, the UK, the US and other countries. Similar trend can also be seen in other enterprises.
While the Economic Transformation Programme (ETP) is requiring a huge investment from the private sector, such an outflow of capital is actually another form of referendum on confidence. The reason is, many large-scale projects have been reserved for companies with a certain background while some potential companies have also been bought by state-owned enterprises.
This has formed a monopoly phenomenon but would the efficiency be increased? For example, under the government’s request, Urban Development Authority (UDA) divided the Pudu Jail site or the Bukit Bintang City Centre (BBCC) into three plots to enable the participation of more Bumiputera companies.
However, according to a statement, the Finance Ministry had failed to consider the UDA’s earlier proposal of appointing the Everbright International Construction Engineering Corp (EICEC) from China as its business partner. Since the survival of the UDA depends on the development plan, the Board has therefore decided that all decisions must take the UDA’s interest as the top priority.
Chinese and Malay enterprises must co-operate earnestly and sincerely to attract foreign investors and only then, the New Economic Modal (NEM) can be implemented.
Who has led the country to today’s situation? The crux of the problem lies on politics. — mysinchew.com
* This is the personal opinion of the writer or publication. The Malaysian Insider does not endorse the view unless specified.
