Malaysia External Trade Development Corporation

WEDNESDAY, JULY 16, 2014, KUALA LUMPUR: Malaysian companies which participated in the Malaysian pavilion organised by the Malaysia External Trade Development Corporation (MATRADE) at the recently concluded SEMICON West 2014 generated sales of RM157.92 million from the 128 business meetings arranged.

The event which was held at Moscone Center, San Francisco, California, USA from the 8 – 10 July 2014 involved the participation of 10 Malaysian exhibitors. Some of the companies that were participating in the SEMICON trade fair for the second consecutive time included Exis Tech Sdn Bhd, JF Microtechnology Sdn Bhd, and Wanjun Engineering Sdn Bhd. The rest of the Malaysian companies were LD Micro Precision Sdn Bhd, Multisafe Sdn Bhd, Penchem Technologies Sdn Bhd, Prodelcon Sdn Bhd, QDOS Technology Sdn Bhd, Vitrox Technologies Sdn Bhd, and Waftech Sdn Bhd.

Malaysian products and services that received strong support from the buyer’s community at the event included testing & automation machines, design & assembly, OEM contract manufacturing services, precision tooling and fabrication of parts & components, and clean room gloves.

According to MATRADE, “SEMICON West is the most significant event for the semiconductor industry in the US market and provides a platform for Malaysian companies to further promote their products & services and serves as a stepping stone for globalization. It will also give them insight on the latest trends ensuring Malaysian companies do not lag in terms of level of innovation required to succeed commercially”.

Total bilateral trade between Malaysia and US for January to May 2014 amounted to RM47.17 billion compared with RM43.84 billion for the same period in 2013, an increase of 7.6 per cent. Malaysia’s total exports to US for the first five months of 2014 increased by 8.8 per cent to RM25.83 billion.

MONDAY, JULY 7, 2014, KUALA LUMPUR: The Malaysia External Trade Development Corporation (MATRADE) will facilitate the 10 participation of Malaysian companies in the SEMICON West 2014 from 8 – 10 July. The event will be held in the Moscone Centre, San Francisco, USA and this year would be the sixth participation by MATRADE in the SEMICON West.

The objectives of the participation in SEMICON West 2014 is to promote and expand business opportunities for Malaysia’s semiconductor products & services in the US market and also to engage with international buyers from the USA and neighboring countries. The Malaysian participants for this mission are offering various specialised products and services including testing & automation machines, design & assembly, OEM contract manufacturing services, precision tooling and fabrication of parts & components, and clean room gloves.

MATRADE has also scheduled one-to-one business meetings between the Malaysian exhibitors and US buyers to generated business opportunities for companies. Ms. Lai Siaw Ling, Executive Director of LD Micro Precision Sdn Bhd who will be participating in the SMM is looking forward for successful business partnerships with foreign companies. She hopes through this year’s participation in SEMICON West, her company is able to generate sales of USD$3 – 5 million over the next 2-3 years.

According to MATRADE, total electrical & electronics (E&E) exports to the USA for January to April 2014 increased by 9.1 per cent to RM11.16 billion compared to the same period in 2013. In 2013, total E&E export to the USA was RM32.75 billion, 56.4 per cent share of Malaysia’s total export.

The Malaysian Investment Development Authority (MIDA) stated that, “The increase in the E&E exports to the US is in tandem with the increase in investments in the E&E sector in Malaysia.  MIDA has approved a total of 118 E&E projects with investments of RM9.82 billion in 2013, 176% increase from the total investments of RM3.99 billion recorded in 2012.  Foreign investments accounted for 86.7% of the total approved investments in the industry, mainly from the USA and Singapore. More E&E companies operating in Malaysia are undertaking global R&D and D&D functions within the industry.  This, as reflected in the recent investment approvals, will widen the industry value chain and pave the way for the transfer of technology from parent companies to local workforce." Malaysia has tremendous potential and opportunity in the E&E sector due to its strong base especially in semiconductors. The SEMICON West 2014 is a good platform for Malaysia to showcase Malaysia’s potential as a strategic base for US companies wanting to be part of the Asian growth that is underway.

TUESDAY, JULY 8, 2014, KUALA LUMPUR: Malaysia External Trade Development Corporation (MATRADE) hosted a Specialised Marketing Mission (SMM) for Halal products and services to South Africa in conjunction with the 12th Africa’s Big Seven (AB7) from 21 - 24 June 2014, held at the Gallagher Convention Centre Midrand, Johannesburg. The SMM successfully generated sales of RM21.9 million from the 175 business meetings arranged.

Products that generated sales included palm oil products, edible gelatin, pre-mixed coffee & dried fruits and frozen & fruits cake. A total of 12 Malaysian companies participated under MATRADE in this AB7 which is regard as the continent’s largest food and beverages industry trade exhibition.

The Trade Commissioner of MATRADE Johannesburg, Madam Norhaliza Halid said, “South Africa has emerged as a leader in the Halal food industry in the African region due to its advanced halal certification programme despite the small percentage of Muslim population. Besides, consumers’ preference towards halal products from both Muslim and non-Muslim consumers in the country provides good opportunities for Malaysian manufacturers as 60% of all products sold at retail outlets in South Africa are halal certified”.

According to the Halal Industry Development Corporation (HDC), Malaysia’s exports of halal products to South Africa for 2013 totaled RM261.6 million. The top halal products exported to South Africa are food & beverages (31.3%), followed by palm oil derivatives (28%), halal ingredients (18.4%) and cosmetics and personal care (17.3%).

KUALA LUMPUR, FRIDAY, 4^rd JULY 2014 â€“ A talk on “Business Opportunities in Mongolia” organized by the Malaysia External Trade Development Corporation (MATRADE) on 3^rd July 2014 at Menara MATRADE, had unveiled the mystery of the most rapidly expanding economies in the world, that is Mongolia.

A total of 50 participants attended the session presented by Dr. Saha Dhevan Meyanathan, former Country Manager of World Bank in Mongolia. A Malaysian that is still working with the Mongolian government and private sector as an independent consultant, Dr. Saha had shared his experience and knowledge about Mongolia’s current economic situation, business potentials, trade and investment opportunities as well as challenges in the market.

Mongolia is the 19th largest and most sparsely populated independent country in the world, with a population of around 3 million people. Itis a country rich in natural resources such as coal, copper, gold, iron ore and molybdenum. Mongolia’s economy has transformed from merely agri-based to manufacturing and services sector. In 2013, its GDP growth was recorded at 11.7% with services sector representing 51% of GDP, followed by manufacturing, 34% and agriculture, 15%.

According to Dr. Saha, it is now the right time for Malaysian companies to join in the bandwagon to tap into Mongolia's emerging highly affluence middle class that benefitted from Mongolia’s raid development. The consumers in Mongolia are ready to adopt foreign products and Malaysian companies have the competitive edge especially in supplying quality products and services.

Mongolia has also improved its position in the ease of doing business. Trade could be transacted in US Dollar and its matured banking system has facilitated international trade.

Potential sector for Mongolian market includes infrastructure development, tourism, hotels and hospitality, healthcare, prepared food, energy sector as well as mining.

“Mongolia is definitely one of the new markets that should not be neglected by Malaysian companies in their global growth and expansion plans. Due to the stronger purchasing power, Mongolian middle and high end customers are embracing high quality products and services and the presence of many branded retail outlets in Ulaanbaatar reflects the new trend of consumption. It offers huge business and investment opportunities for Malaysian companies”, said Dato’ Dzulkifli Mahmud, Deputy Chief Executive Officer of MATRADE, during his welcoming remarks.

As of 2013, Malaysia’s trade with Mongolia was valued at RM130.22 million, an increase of 42.3%. Exports to Mongolia had recorded significant growth rising 46.2% to RM128.27 million in 2013. Major exports to Mongolia consist of petroleum products, E&E products, palm oil, processed food and wood products. In addition, Malaysia’s import from Mongolia in 2013 was valued at RM1.95 million, contributed mainly from metalliferous ores and metal scrap, E&E products as well as machinery, appliances & parts.

The potential of our exports further growing in the market was reflected in the strong demand for our products. For the first five months of 2014, Malaysia’s trade with Mongolia increased by 68.8% to RM59.8 million with exports increasing by 70.9% to RM59.6 million compared with the same period of last year.