Annual Report 2019

114 // MATRADE Annual Report 2019 MARKET DEVELOPMENT GRANT Market Development Grant (MDG) is a facility in the form of specialised support through reimbursement grants to assist SMEs, MSPs, trade and industry associations, chambers of commerce and professional bodies implement export promotional activities. MDG aims to encourage Malaysian companies to undertake export promotion activities by defraying some of the costs. In 2019, eight outreach activities were implemented to create awareness on MDG and of the support it provides. Non-Bumiputera Companies (80.6%) Non-Women Owned Companies (58.1%) Bumiputera Owned Companies (18.2%) Women Owned Companies (40.7%) Sabah and Sarawak (2.9%) Throughout 2019 1,673 companies received grants worth RM27.3 million The Highest Grant Recipients Ready-Made Food 13.03% Furniture 13.03% Beverages 9.8% Phamaceuticals 5.9% Toiletries 5.9% Cosmetics 5.9% Building Materials & Hardware 5.8% A total of 54 activities were implemented through briefings, seminars, information counters, training, discussions with the business communities and government, as well as coverage through social media channels. MATRADE also conducts working visits to grant recipients’ companies for effective monitoring purposes. A total of 1,673 companies have benefited with a grant worth of RM27.3 million from this programme. Grant recipients encompassed; Non-bumiputera companies representing 80.6% and bumiputera companies, 18.2%. Based on ownership, non-women owned companies accounted for 58.1% while women-owned companies comprised 40.7%. From a location perspective, companies operating in Selangor were the highest recipients (45.9%), while companies in Sabah and Sarawak jointly represented 2.9%. Based on industry performance, the highest grant recipients were notably, ready-made food and furniture industries registering the same percentage, 13%, followed by beverages (9.8%), pharmaceuticals, toiletries and cosmetics (5.9%) and building materials & hardware (5.8%). In April 2019, Syngas inked an MoU with Technip Benelux BV, Netherlands for the purchase of end products, R&D and procurement of technology. Within two years into the contract, Technip agreed to buy 50 units of PTF conversion systems from Syngas at RM15 million per unit. These systems will be built in Malaysia and installed in the Netherlands. In addition, Technip expressed interest to collaborate with Syngas in R&D worth RM100 million. Technip is expected to buy the PTF technology from Syngas at RM2.5 billion. MATRADE continues to assist MSPs explore international markets with the support of government-based grants to offset the high cost of accessing international markets and growing businesses. MATRADE will continue to promote SEFs to MSPs to expand their businesses