PETALING JAYA: Opportunities in Asean trade abound and
should be the focus of local exporters.
They should look at developing
stronger Asean trade links as the region continued to grow, said Federation of
Malaysian Manufacturers (FMM) president Tan Sri Yong Poh Kon.
He said the global sentiments
were largely affected by the persistent negative impact from Europe while
China's growth numbers did not inspire.
He urged manufacturers to be less
reliant on traditional export markets and look at the new countries to enter.
“The United States used to be our
largest export destination but now, it is Asean,” he told reporters after FMM's
44th AGM here yesterday.
Yong believed that Malaysian
manufacturers should push for better links with the Asean neighbours.
“We should not only export our
manufacturing products but services too, for example, those who run architect
or legal firms should begin their practices in other Asean countries.”
According to data collected by
FMM and the Malaysian Institute of Economic Research Business Conditions Survey
going forward, the Business Conditions Index was lower at 88.9 points compared
to 96.8 points six months ago, with 100 points being the growth-neutral
threshold level.
“Judging from the response, they
don't seem to be as gungho as before about their business outlook currently and
for the first half of next year,” he said.
The survey recorded 101.1 points
for the outlook on the next six months, 19.1 points down from the 120.2 points
in May. The expected local and export sales indices went down as well.
The index was reflective of the
latest JPMorgan Global Manufacturing PMI report, stating that global
manufacturing contracted for a fifth consecutive month in October.
On the local currency,
manufacturers were largely comfortable with the current strength of the
ringgit.
“They felt that the current level
is just right. It is not volatile which is good for exporters,” he said,
adding: “If the ringgit strengthened too fast, it will make them less
competitiveness than other countries, hence affecting their export proceeds.”
On the goods and services tax the
survey found that only 4.7% of the respondents indicated they were set and
ready for the implementation and 6.7% are in the upgrading process of their
accounting software.
“I don't think most of them will
invest in computer system upgrades yet because it is still not a definitive
policy,” Yong said.
Business & Investment Opportunities
Saigon Business Corporation Pte Ltd (SBC) is incorporated in Singapore since 1994. As Your Business Companion, we propose a range of services in Strategy, Investment and Management, focusing Health care and Life Science with expertise in ASEAN 's area. We are currently changing the platform of www.yourvietnamexpert.com, if any request, please, contact directly Dr Christian SIODMAK, business strategist, owner and CEO of SBC at christian.siodmak@gmail.com. Many thanks.
No comments:
Post a Comment