MATRADE Spearheads Efforts to Enhance Malaysia’s Integration Into Global Value Chain Through Sustainability Readiness
MONDAY, 27 NOVEMBER 2023, FRANKFURT: Malaysia’s trade promotion agency, Malaysia External Trade Development Corporation (MATRADE), is debuting a customised Market Immersion Mission to Germany involving Malaysian Mid-Tier Companies (MTCs) from 26th to 30th November 2023. The initiative is part of MATRADE’s efforts to strengthen Malaysia’s branding as a hub for sustainable sourcing in view of the Sustainability Due Diligence Act recently imposed by the European Union (EU).
The Mission, which covers three cities namely Berlin, Wolfsburg and Frankfurt, is a proactive move to respond to the growing need for sustainable sourcing in Germany. Additionally, the Mission aims to help Malaysian MTCs learn sustainable sourcing requirements by German companies; identify new export opportunities; and highlight Malaysian MTCs as case studies of Malaysian current industrial capabilities.
In this first edition, a total of six Malaysian MTCs from industries namely Machinery & Equipment (M&E), Plastics & Rubber Components & Parts as well as Electrical & Electronics (E&E) are taking part in the programme.
Deputy Chief Executive Officer of MATRADE, Abu Bakar Yusof shared that Malaysian MTCs, particularly those under MATRADE’s Mid-Tier Companies Development Programme (MTCDP) have demonstrated their strong readiness in global business and this is further strengthened through their adaptability to sustainability adherence.
“We believe that the MTCs’ improved readiness in sustainability can catalyse Malaysia’s value-added proposition to potential buyers in Germany. Based on the Impact Tracking Report of MTCDP in 2022, 76 per cent of Malaysian MTCs have adopted sustainable practices to enhance their competitiveness, profitability and environment stewardship in entering new target markets. Out of the initiatives undertaken, 60 per cent were focusing on environmental measures, 29 per cent on social and the balance of 11 per cent on governance,” he said.
During the Mission, Malaysian MTCs will be engaging with several German companies such as Siemens AG, Volkswagen AG and its football club VfL Wolfsburg apart from networking with business communities in Germany the likes of market linkers, policymakers, industry associations, and the German Small and Medium Enterprises or known as the Mittelstand.
MATRADE Frankfurt’s Trade Commissioner, Zuhaila Sedek shared that the Mission provides an opportunity for Malaysian MTCs to gain on-the-ground insights into the German industries and megatrends currently taking place in the market. “We believe it is impactful for Malaysian companies to gain insights through real and one-on-one interaction so they can chart their forward strategically. Sustainability lies strong at the core of every business decision today and Malaysian companies must move fast to adapt to the new requirements in maintaining their competitive edge,” she said.
The MTCDP was introduced in 2014 as one of the Malaysian Government’s high-impact capacity-building programmes under the Malaysian Development Plan, aimed at accelerating the export growth of MTCs so they will become regional and global champions.
In line with the MADANI Economy policies and the New Industrial Master Plan 2030, MATRADE will pave the way to create more export champions, supporting the ongoing efforts to revitalise the Malaysian economy by exploring new economic strengths while concurrently ensure socio-economic values.
The MTCDP targets to promote the marketability of export-oriented MTCs with annual revenues between RM50 million to RM500 million for manufacturing companies and RM20 million to RM500 million for services companies. Interested companies in these categories are encouraged to contact Alamat emel ini dilindungi dari Spambot. Anda perlu hidupkan JavaScript untuk melihatnya. to know more about the programme.
