Creating Awareness On Brand And Design Manufacturing Among Malaysian Exporters

MONDAY, NOVEMBER 19, 2018, KUALA LUMPUR: Malaysia External Trade Development Corporation (MATRADE) encourages Malaysian manufacturers in the lifestyle sector to venture into Original Design Manufacturing (ODM) or Original Brand Manufacturing (OBM) to be more competitive globally and to strengthen Malaysia’s status as a design hub for the world.

This was the message delivered at the trade promotion agency’s seminar titled “From Original Equipment Manufacturing to Original Design Manufacturing/Original Brand Manufacturing: The Perks and Challenges”. The event was organised in collaboration with Malaysian Timber Industry Board (MTIB), Malaysian Textile and Apparel Centre (MATAC) and Malaysian Footwear Manufacturers Association (MFMA).

The event was aimed at enhancing the Malaysian companies’ understanding on the ODM and OBM so they could better transition into the two. The effort is part of MATRADE’s strategy to grow the capabilities of Malaysian companies particularly in industries such as fashion, textile, apparels, footwear and furniture.

MATRADE urges Malaysian companies to move up the value chain by making effort to diversify and innovate, in this case through the ODM or OBM, so they could produce higher value products and services for export. According to said Abu Bakar Yusof, Director of Lifestyle and Life Sciences at MATRADE, investment in the ODM and OBM will give the companies an avenue to secure a bigger share in increasingly competitive global market through their own designing, marketing and brand management, instead of continuing to function as nothing more than Original Equipment Manufacturers or OEMs.

“MATRADE encourages Malaysian companies and industry stakeholders to engage with MATRADE to learn not only how to gain market access but what strategies and tactics to apply to be a global champion,” he said.

In 2017, Malaysia’s total exports of fashion comprising textiles, apparels & footwear rose by 10.4 per cent to reach RM15.33 billion, as compared to 2016. For the first nine months this year, the exports of fashion were valued at RM11.21 billion. Meanwhile, Malaysia’s exports for Furniture in 2017 rose by 6.4 per cent to reach RM10.14 billion, as compared to 2016. For the first nine months this year, exports of furniture were valued at RM7.10 billion.

“To maintain and accelerate these figure, there is a need for Malaysian companies to make bold moves in manufacturing their own brands. Agencies such as MATRADE will be there to support them all the way,” Abu Bakar opined.

Updated by Corporate Communication Unit

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