WEDNESDAY, DECEMBER 20, 2017, SHAH ALAM: With 2017 nearing its end, Malaysia External Trade Development Corporation (MATRADE) took the opportunity to organise a Mid-Tier Companies Development Programme (MTCDP) outreach initiative or turun padang session to Kawan Food Manufacturing Sdn Bhd and Bodibasixs Manufacturing Sdn Bhd. The initiative was aimed at gathering valuable insights on the Mid-Tier Companies’ (MTCs) operations, export opportunities and challenges in embracing 2018.
As part the Government’s continuous support for Malaysian MTCs, the turun padang visit was led by YB Datuk Chua Tee Yong, Ministry of International Trade and Industry’s (MITI) Deputy Minister (Trade). The event served as an avenue for MITI and its agency MATRADE to better understand the MTCs needs in crafting better facilitation for their export venture.
During the visit, the delegation from MITI and MATRADE spent a few hours visiting the companies’ factories where they were able to get first-hand experience on the companies’ business processes and capacity.
MATRADE’s Deputy Chief Executive Officer Puan Sharimahton Mat Saleh said the visit is an important effort to not only engage with industry players but to understand the companies’ core business aspirations. “By doing so, we will get to identify the opportunity for them in the global supply chain. Such effort is key to further develop the strength of the programme and ultimately this will positively impact the MTCs exports performance,” she said.
Since the inception of the MTCDP in 2014, a total of 173 MTCs from various sectors have benefitted from the 9-month programme. In 2016, the total exports recorded for 152 graduated MTCs were RM6.82 billion, compared to RM6.18 billion generated in 2015. The combined yearly growth of the MTCs is 10.41 per cent.
In Malaysia, MTCs account for one per cent of Malaysian business establishments, but they contribute 30% to Malaysia’s GDP and employ over 22% of the total workforce. MATRADE, through its MTCDP aims to further push the contribution of Malaysian MTCs by providing them customised assistance, that befits their unique business set up.
The MTCs in MTCDP are exporting companies with annual revenues between RM50 million to RM500 million (manufacturing) and between RM20 million to RM500 million (services).
Upon completing the MTCDP, the companies will be absorbed into the Ramp-Up Programme where they undergo a two-year extension programme to intensify their market access and export capabilities in new and existing key potential markets. This is achieved through Market Immersion Missions and Customised Business Matchmaking.
Graduates of MTCDP will also be automatically enrolled as members of the Malaysian Consortium of Mid-Tier Companies (MCMTC). The MCMTC was launched by YB Dato’ Sri Mustapa Mohamed, Minister of International Trade and Industry on 1 November 2017, and aims to promote MTCs’ sustainable growth by capitalising on strategic alliances. The MCMTC also acts as a platform for MTCs to network, exchange, and generate ideas as well as solutions to solving business issues.