Govt Targets 15 Pct Increase In Wood-based Exports This Year

By Kamarul Halim M. Kamal

MUAR, June 11 (Bernama) -- The Ministry of Investment, Trade and Industry (MITI) is targeting an increase of 15 per cent in the country's exports of wood-based products this year following the sector's encouraging performance, which recorded an export value of RM14.6 billion last year.

Deputy Investment, Trade and Industry Minister Sim Tze Tzin said Malaysia's wood-based industry has penetrated more than 160 international markets and continues to gain the trust of developed countries, thanks to the reputation of high-quality local products.

He said the "Made by Malaysia" approach would continue to be strengthened to increase the competitiveness of the industry, which is now an important contributor to the country's exports and gross domestic product (GDP).

“MITI together with industry players including the Malaysian Furniture Council (MFC) will continue to strengthen the position of Malaysian wood and furniture products in the global market through a strategy that focuses on growth, modernisation and increased competitiveness.

“Wood products, especially Malaysian-made furniture, continue to be in high demand in the international market with the United States remaining the largest export destination worth RM6.15 billion or 49.1 per cent of the sector’s total exports, followed by Singapore at RM1.19 billion or 9.5 per cent,” he told Bernama after a dialogue session with the Muar Furniture Association (MFA) here today.

He said other major markets include Japan and Australia, which each contributed 4.6 per cent of total exports, in addition to the United Kingdom at four per cent.

Sim said MITI was also focusing on efforts to expand export markets to high-potential countries such as China, South Korea and India to further boost the growth of the sector.

He said the continued increase in exports of wood and furniture products would not only stimulate the country's economic growth, but also have the potential to create thousands of new jobs in the industry.

He said Johor remained the state with the highest amount of approved investments in the country with RM110 billion, thus providing a solid foundation to strengthen manufacturing and export activities in the wood and furniture sectors.

“MITI sees MFA as an important strategic partner in driving the transformation of this industry. We will continue to ensure a conducive ecosystem through policy coordination, financing and market access to make the Malaysian furniture industry more resilient, innovative and globally competitive,” he said.

To accelerate the growth of the industry, various financing facilities and support programmes are provided through agencies such as the Malaysian Industrial Development Finance Bhd, EXIM Bank Malaysia, the Malaysia External Trade Development Corporation and the Malaysian Investment Development Authority.

-- BERNAMA