KUALA LUMPUR, June 24 — The government is aiming to increase Malaysian mid-tier companies (MTCs) annual export growth to 5 per cent from the current 1 per cent of the total numbers.
Malaysia External Trade Development Corp (Matrade) Deputy Chief Executive Officer Sharimahton Mat Salleh said the MTCs contributed 33 per cent of the gross domestic product and employ 22 per cent of the workforce to the nation.
“Out of this percentage, only 1 per cent has made up the establishment of the business and it is considered impressive vital force to the economy,” she said during the Millennial Entrepreneurs’ Success and Challenges Talk today.
Sharimahton noted to achieve the target, local MTCs can ready themselves in international trade by participating in exporters development programmes such as Mid-Tier Companies Development Programme held by Matrade.
“Once the export is ready, the MTCs can take part in various export promotion initiatives to penetrate a marker relevant to them,” she said.
She explained that is crucial for MTCs to invest in technology especially those in the agricultural sector.
“We see a lot of potential for agri-business to succeed in the global scene but they need to be part of the global supply chain first.
“Strategic collaboration with agencies in both the public and private sectors are crucial to ensure they get all the support they need, she said.
She said apart from that, product differentiations and clarity in the value proposition must be given due attention.
Nonetheless, Sharimahton said the participation of more agricultural-based MTCs in export will help to improve trade performance, reduce trade deficit and dependent on imports as well as strengthen food security.
There are few industries that are expected to propel the MTCs export such as electrical and electronic, food and beverages and manufacturing, she said.
The annual target of 5 per cent will be a continuous effort until 2021.
