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BUSINESS IN ACTION @ FMM NOV /DEC 2011 VOL 8/2011 KDN NO: PP 16730/08/2011 (028492) 2012 National Budget 4 Gathering of Safety Professionals and Process Safety Experts 7 Exploring the Indonesian Food Market 8 Business Opportunities in Argentina & Brazil 9 Elimination of CO for EU Imports of Textile and Clothing Products 18 www.fmm.org.my Innovative Thinking is the Way Forward

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Page 1: BUSINESS - FMM › images › articles › publication › BIA NOVDEC 2011.pdfBUSINESS IN ACTION@FMM NOV /DEC 2011 VOL 8/2011 KDN NO: PP 16730/08/2011 (028492) 2012 National Budget

BUSINESSIN ACTION@FMM

NOV /DEC 2011 VOL 8/2011

KDN NO: PP 16730/08/2011 (028492)

2012 NationalBudget

4

Gatheringof SafetyProfessionalsand ProcessSafety Experts

7

Exploring theIndonesianFood Market

8

BusinessOpportunities inArgentina &Brazil

9

Elimination of COfor EU Imports ofTextile andClothing Products

18

www.fmm.org.my

Innovative Thinking is the Way Forward

Page 2: BUSINESS - FMM › images › articles › publication › BIA NOVDEC 2011.pdfBUSINESS IN ACTION@FMM NOV /DEC 2011 VOL 8/2011 KDN NO: PP 16730/08/2011 (028492) 2012 National Budget

Gathering of Safety Professionals andProcess Safety Experts

An international audience of over 230 process safety experts and regulatorsattended the inaugural Hazards Asia Pacific Conference held from September27 – 29, 2011. The Conference was jointly organised by the Institution of

Chemical Engineers (IChemE) and the Chemical Industries Council of Malaysia(CICM). The themes for this year’s conference were Current Challenges andOpportunities; Lessons Learned from Process Safety Incidents; and the Way Forward– Safer Design and the Regulatory Challenge. The Conference focused on the currentchallenges and latest developments facing process safety and environment protectionin the Asia Pacific region.

Keynote speakers include Mohd Tarmizi Munir, Head, Group Health, Safety,Environment and SD Division at PETRONAS; nuclear industry expert Paul Haigh;Dato’ Ir. Johari Bin Basri, Director-General of Malaysia’s Department of OccupationalSafety and Health; Karon Armstrong, Senior Regulatory Specialist at 3M Medical, USA;Jinsong Zhao, Director at Tsinghua University’s Process Systems Engineering Institute,China; and Ian Travers, Head of the UK Health and Safety Executive’s ChemicalIndustries Strategy Unit. The technical presentations highlighted the importance ofexchanging knowledge, learning from past mistakes and sharing best practices.

The 2nd Hazards Asia Pacific Conference will take place in April 2013.

2 NOV/DEC 2011

SPECIAL FEATURE

FMM IN THE NEWS

NEWS HIGHLIGHTS

EVENTS IN PICTURES

TRADE & POLICY UPDATES

MARKET ALERTS

HAPPENING BRANCHES

NEW MEMBERS

Published byFederation of Malaysian ManufacturersWisma FMM No. 3, Persiaran Dagang PJU 9Bandar Sri Damansara52200 Kuala Lumpur.Tel: 03-6286 7200 Fax: 03-6274 1266 / 7288Email: [email protected]

FMM has eight branches andtwo representative offices located inKedah, Penang, Perak, Selangor,Negeri Sembilan, Malacca, Johor,Eastern, Sabah and Sarawak.

Any material extracted from Business inAction @ FMM to be quoted or reprintedshould contain an acknowledgement toFMM or its acknowledged sources.

Editorial

ADVISORLee Cheng SuanChief Executive Officer

COMMITTEEMadeline LohGeneral Manager (Trade)

Ng Lee LeeSenior Manager, Int. Business Division

Koh Wee LengAssistant Manager, Trade Publications Unit

PRINTED BYPercetakan Okid Sdn Bhd2 Jalan SS 13/3CSubang Jaya Industrial Estate47500 Subang JayaSelangor Darul Ehsan

Delegates at the Conference

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HEADER

3 NOV/DEC 2011

SPECIAL FEATURE

Exhibition at the Hazards APJohn H Thornton as Chair of the session,presenting a token of appreciation to the speaker

From left: Dr A Hapiz Abdullah, CICM Chairman,Dr Mohammed Emir Marani bin Abdulla, CEO MalaysiaPetroleum Resources Corporation and Johan Samad,Chairman, IChemE in Malaysia

Paul R Ellis, Chairman of the Hazards AP OrganisingCommittee & CICM Deputy Chairman with AndrewFurlong, Director of Policy & Communication I Chem E

Exhibition at the Hazards AP

Networking session at the Conference

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4 NOV/DEC 2011

SPECIAL FEATURE

2012National Budget

Further Liberalisation of ServicesThe further liberalisation of services sector is a step in the rightdirection as it would lead to better quality and competitiveservices. Manufacturers look forward to enjoying lower cost andmore efficient services following such liberalisation.

The incentives for industrial design services would alsohelp the manufacturing sector to move to higher value-addedactivities.

The establishment of Treasury Management Centres and theKuala Lumpur International Financial District would makeavailable specialised financial services to the manufacturingsector, including in financial risk management especially in foreignexchange.

SME DevelopmentFMM welcomes the three new funds for SMEs. We hope thatSMEs can easily access these funds with minimum bureaucracy.SMES, which are the backbone of the industry, would need tocontinue to receive the attention of the Government.

Development of Quality and SkilledHuman CapitalThe initiatives to develop quality and skilled human capital arecomprehensive and well – placed given the current challengesfaced by companies in recruiting talent. The initiatives rangingfrom higher development allocations for schools, promotion ofprivate education, expanding the role of the private sector in thesupply of skilled human capital and efforts to attract talent toMalaysia are expected to address shortage of skilled manpower.

FMM looks forward in particular to the programme to provideskills training for youth who do not continue their schooling,given the need to refocus and emphasise vocational andtechnical education.

Areas of ConcernHowever, there are a number of areas of concern for themanufacturing sector. These include the following:

• While the education and tourism sectors have receivedreinvestment incentives, the manufacturing sector has notbeen accorded an extension of the reinvestment allowanceincentive, which would have given a boost to higher privateinvestment in manufacturing activities.

• The 1% increase in EPF contributions by employersfrom 12% to 13% for employees earning less thanRM5,000 would effectively increase the cost of doingbusiness. The 1% increase is estimated to increaseemployers’ burden by approximately RM1.5 billion for the5.3 million EPF contributors.

• The FMM is also disappointed that corporate tax rates havenot been further reduced. This would effectively reduce ourcompetitiveness vis-à-vis regional economies where lowerrates of corporate tax rates prevail. FMM understands thatcorporate tax in Thailand would be reduced from 30% to23% in 2012 and 20% in 2013. This would reduceMalaysia’s attractiveness as a destination for investment.

Having said the above, FMM applauds the Government for theequitable treatment accorded to tax payers for late refund bythe Inland Revenue Board and the reduction in time bar fortax audit from six years to five years.

The above article was released to the press on October 7, 2011.

The Federation of Malaysian Manufacturers (FMM) welcomes the Minister of Finance’s assessment that the Malaysianeconomy is resilient and in a good position to face the problems in the international economy. FMM notes that the 2012National Budget continues to focus on the development and expansion of the services sector. FMM however acknowledges

and welcomes the new initiatives to fund the SMEs and to increase the supply of quality and skilled human capital and topromote innovation. There are no direct incentives to assist the upgrading of and reinvestment in the manufacturing sector.

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Innovative Thinking is the Way Forward

The way to create an innovative mindset and stayingahead in the world of innovation was highlighted at aone-day conference organised on October 13, 2011 with

the theme “Beyond Innovation: Turning Ideas into Actions”.The conference attracted over 140 leaders/senior managementfrom various industries.

Minister of Science, Technology & Innovation, YB DatukSeri Panglima Dr Maximus Johnity Ongkili officiated theConference. The key speaker invited to the Conference wasformer Prime Minister, YABhg Tun Dr Mahathir Mohamad, theman who land the foundation for an innovative nation duringhis 22-year leadership.

Tun Dr Mahathir set the stage for a lively discourse byemphasising that innovative thinking was the way forward andwas critical of Malaysians who remained in their comfort zone.The octogenarian was ahead of his time when he conceivedthe Multimedia Super Corridor (MSC), Cyberjaya and Malaysia’snational car Proton that set the nation on the innovation trail.He illustrated how he pushed for an innovative administrationthat tried its best to do away with archaic laws and policiesand helped bring about tangible changes and speed upnational development.

Tun Dr Mahathir also pointed out Malaysia should take a leaffrom South Korea, that is now in the forefront of innovation.“You have to question everything that you do and see whetheryou can do it in a different way to achieve better results,” saidTun Dr Mahathir.

5 NOV/DEC 2011

SPECIAL FEATURE

FMM President with Tun Dr Mahathir during the Press Conference

Participants listening attentively toTun Dr Mahathir’s Keynote Address

Panellists answering participants’ questions

The topics covered by industryexperts were Sparking Ideas, GeneratingInnovation and Harvesting Profits;Nurturing the Passion to Innovate;Financing Innovation; Strategic Licensingand Commercialization of IntellectualProperty; Pensonic: Malaysia’s SuccessStory on Innovation; Lead to Win byCultivating Innovation; and Innovation inMalaysia – The Way Forward.

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6 NOV/DEC 2011

FMM IN THE NEWS

Strong US Supportfor Malaysia’s ETP

Top US businessmen have pledgedsupport for Malaysia’s EconomicTransformation Programme (ETP)

that they said would enable Malaysia tobecome more competitive and attractiveto foreign investors. “We look to supportthe successful implementation of theETP that will create a service-basedeconomy with shifts up to the middleand high-income brackets” said theUS-ASEAN Business Council (USABC)in a statement released jointly with theFederation of Malaysian Manufacturers(FMM).

The statement followed a high-levelbusiness-to-business dialogue that FMMfacilitated between senior executivesof USABC and leading Malaysianbusinessmen and industrialists. Thediscussion focused on new sources ofgrowth, market opportunities and policyinitiatives associated with the ongoingevolution of the US-Malaysia economicrelations. The meeting was jointly chairedby USABC President, Alex Feldman andFMM Vice-President Datuk Paul Low.

The meeting acknowledged the growingeconomic, political, social cooperationbetween the US and Malaysia andagreed for USABC and FMM to identifypriority areas that the Governments of theUS, ASEAN and Malaysia should focuson to enhance business relations.

The statement said that the dialogue was“significantly emboldened by the positiveeconomic reform process Malaysia hasput into place since 2010” and notedthat the US-Malaysia bilateral relationshiphad reached an all-time high as a resultof the numerous working visits to the US,by Prime Minister Dato Seri Najib TunRazak, Deputy Prime Minister Tan SriMuhyiddin Yassin, cabinet ministers andbusiness leaders as well as reciprocalvisits by American State officials andbusiness leaders.

The meeting also recommended:

• The adoption of international bestpractices by ASEAN governmentsand commitment to high levelsof collaboration and continuousengagement with their stakeholders tomitigate the increasing demands ofa rapidly changing and competitiveinternational environment.

• The strict adherence to a rules-basedand market-driven trading system toensure ASEAN’s continued growthand global competitiveness.

It commented favourably on:

• The introduction of the GovernmentTransformation Programme that obligesgovernment leaders to be effectivein the delivery of services andaccountable to the outcomes of theirpolicies. “The pursuit of accountabilitythrough concrete deliverables isimportant to build confidence in thesustainability of the process”, it said.

• Talent development which is essentialfor Malaysia’s ability to move into newand higher value segments oftechnology based industries such asICT, biotech and renewable energy.“The adequate supply of skilledworkers is critical to the investmentdecision making process of foreigninvestors. “

• The planned launch of the ASEANInfrastructure Fund in September2011 domiciled in Kuala Lumpur,Malaysia. It said Malaysia shouldleverage its position as its host topromote projects and initiatives thatdrive the realization of the ASEANCommunity by 2015.

• The ability of Malaysia to collaboratein reinforcing the broader systemsof industries beyond the 12 NationalKey Economic Areas (NKEA)s. “Inconjunction with the Council’s in-house

Working Groups, the American businesscommunity is ready to lend its expertiseand experience to support Malaysia’sgoal of economic diversity”, it said

• The Public-Private Partnerships (PPPs)in Malaysia’s overall reform agenda.“By doing what each does best, PPPscan develop synergies as a result ofpublic and private sector collaborationthat bring about greater efficiency in thedelivery of infrastructure developmentand services.”

• Malaysia’s role as a partner inthe ongoing Trans-pacific Partnership(TPP) negotiations. The TPP representsa vehicle to deepen US-Malaysiarelations and to propel Malaysia toprominence as a global trading partner.“We look to the successful conclusionof the TPP negotiations as well as thecontinued use of the ASEAN-U.S.Trade and Investment FrameworkArrangement (ASEAN-U.S. TIFA) toenhance US-ASEAN economic ties.”

The USABC Council delegation, the largestto Malaysia in a decade, consisted ofsenior executives from 18 companies;Oracle, GE, ConocoPhillips, Abbott Labs,AT&T, Coca-Cola, ExxonMobil, Google,Guardian Industries, IBM, Intel, Johnson& Johnson, KKR, MasterCard, MeadJohnson, Pfizer, Philip Morris, VISA andthe Celanese Corporation.

The Council delegation was led byJoseph Alhadeff of Oracle, the Council’sMalaysia Committee Chair, and AlexanderFeldman, the President of the US-ASEANBusiness Council, as well as Stuart Deanof GE and Mark Wheeler of ConocoPhillips, joint Malaysia Committee ViceChairs. Malaysia was represented byleaders of a number of leading industryassociations and companies.

The above article was released to the press onSeptember 15, 2011

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7 NOV/DEC 2011

NEWS HIGHLIGHTS

Retaining Talents in Moving Up the Value Chain

As Malaysia prepares to join theleague of high-income nations,it would need to rely heavily on

skill intensive led growth. Increasingglobalisation has escalated the mobilityof talent to all parts of the world luredby better salaries, working conditionsand quality of life. Many countries arecompeting to attract and retain globaltalent. In line with this development,the FMM-HR Conference 2011, wasorganised on September 27, 2011 withthe theme “Retaining Talents in MovingUp the Value Chain”.

A total of 124 human resourcepractitioners attended the Conference to:

• Be updated on the country’s strategiesin meeting its talent needs;

• Guided on practical tips on effectivestrategies in competing and retainingtalent;

• Understand the importance ofemployer branding;

• Understand the role of building ahigh performance culture in growingand retaining talent; and

• Understand the current recruitmentchallenges faced by employers.

YB Datuk S. Subramaniam, Minister ofHuman Resources Malaysia deliveredthe luncheon keynote address andofficiate the Conference. The speakerswere from key government agencies,leading talent management consultingcompanies and employers of choice.

TalentCorp spoke on the collectiverole of public and private sector inadvancing the country’s talent agendawhile Maybank shared the link betweenhigh performing environments and higherexponential (sustainable) engagementwith employees.

Talent management consultants fromKelly Services, TalentEDge Solutions,Helsei Consulting and Al Group ofCompanies shared amongst others theessence of employer branding and theimportance of employer/ employeevalue proposition. They also shared tipson achieving successful planning andretention such as developing mistake-proof recruitment process and effectiveon-boarding processes, building a highperformance culture, dealing with talentmobility and harnessing unique talentsfrom multigenerational workforce.

Participants reacting to a speaker’s presentation

Tan Sri Datuk Mustafa Mansur, FMM President (centre) with guests and Council members atthe Conference

YB Datuk S Subramaniam delivering theKeynote Address

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The FMM Branding and Intellectual PropertyRight (IPR) Committee led by Richard WongChin Mun, Council Member and Chairman

of Branding and IPR Committee paid a courtesy call on MyIPO on October 10, 2011. The purpose ofthe visit was to build a closer rapport and strengthenthe co-operation between the committee membersand MyIPO.

Other committee members who joined the visitincluded Mohd Shah Hashim, (Nestle ManufacturingMalaysia Sdn Bhd), Muhamad Akramin Yusof, (CCMFertilizers Sdn Bhd), Chye Mun Heng, (APM Auto Electrics Sdn Bhd) and Charmayne Ong from Skrine.

The meeting, chaired by Shamsiah Kamaruddin, Deputy Director General of Industrial Property updated the FMM delegation onthe status of Intellectual Property legislations and discussed possible areas of collaboration with FMM on the awareness programmesfor the industry.

Exploring theIndonesian Food Market

Ten Malaysian companies participated for the first time inInterFood Indonesia 2011, one of the leading food andbeverage trade shows in Indonesia. Apart from food and

beverages, the exhibition also showcased food technology,ingredients, additives, raw materials, services, equipment andsupplies. The exhibition was held concurrently with All Pack & PEX 2011, All Plas, Agri Indo & FIS 2011 from September 29 tillOctober 2, 2011 in Jakarta, Indonesia.

The event attracted 923 exhibitors from 26 countries and 45,000visitors. Malaysian exhibitors who participated in the exhibitionare Etika Beverages Sdn Bhd, Ben Fortune Pastry Manufacturing

8 NOV/DEC 2011

NEWS HIGHLIGHTS

Wong Kah Meng (centre) Expo Manager of YLF ManufacturingSdn Bhd having a discussion with potential customers

Courtesy Visit to MyIPO’s Office

FMM delegation at the visit to MyIPO

Malaysian exhibitors atInterFood Indonesia

(M) Sdn Bhd, YLF Manufacturing Sdn Bhd, Perfect FoodManufacturing (M) Sdn Bhd, Kum Thim Food Industries SdnBhd, Mah Sing Plastics Industries Sdn Bhd, Castle Chemical SdnBhd, KLT Food Industries Sdn Bhd, Thinware ProductsIndustries Sdn Bhd and Perusahaan Saudee Sdn Bhd.

Exhibitors were of the view that the show was good for brandexposure as most of the visitors were from retail businesses.

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Workshop on Copycat Innovation

Dr Yew Kam Keong, Chief Mind Unzipper fromMindbloom Consulting enlightened 35 participants onhis technique on Copycat Innovation at a two-day

workshop held on October 10 and 11, 2011.

According to Dr Yew, Copycat Innovation offers the bestapproach for a company to sustain and grow its competitivenessand strategic positioning in the marketplace because of thefollowing benefits:

• Measurable results using a unique Triple KPI technique;

• Start from a winning formula that inspires people tofollow through;

• Fast track business innovation that will enhance company’sgrowth and competitiveness;

• Create an atmosphere and culture for creativity andinnovation at workplace;

• Learn to be more resourceful in using the internet to tap intothe best global brains to come out with a provenor equivalent solution, thereby not reinventing the wheel;

9 NOV/DEC 2011

NEWS HIGHLIGHTS

Group discussion on exercises given by the facilitator

• Provide a low risk solution as company is adapting orrefining a proven solution; and

• Minimise risks, budget, time and resources as companystarts from a winning formula.

Business Opportunities in Argentina and Brazil

FMM organised a Briefing on Business Opportunities inArgentina and Brazil on October 3, 2011. The purposeof the briefing was to provide the business community

with a better understanding of the developments and availableopportunities in trade and investment in these two countriesand to encourage participants to join the FMM and theSingapore Business Federation (SBF) trade and investmentmission to Buenos Aires, Argentina and Sao Paulo, Brazil fromNovember 9 – 17, 2011. The trade mission is organised underthe Malaysia-Singapore Third Country Business DevelopmentFund. Eligible participants can claim up to 50% of flight andhotel accommodation under the Fund.

At the briefing, participants were informed of the vast businessopportunities offered by Argentina and Brazil to Malaysiacompanies in industry sectors such as pharmaceutical,cosmetics, telecommunication, electronics components,agricultural equipment, oil and gas equipment, aviationequipment and services, power generation, safety andsecurity equipment.

Over 40 participants attended the Briefing. The Ambassadorof Brazil to Malaysia, His Excellency Sergio De Souza FontesArruda and the Ambassador of Argentina to Malaysia,Her Excellency María Isabel Rendon presented papers onBusiness Opportunities Available for Malaysian companiesin Brazil and Argentina.

John Lee, FMM Council Member chairing the Q&A session

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Strategic Trade Act 2010

The Strategic Trade Act 2010(STA) was published in theGovernment Gazette on June 10,

2010 and was enforced on April 1,2011. Below are some of the enquirieson STA 2010 received from membersand responses received from Ministry ofInternational Trade and Industry formembers’ information.

Q What does the STA 2010 control?

A The STA 2010 controls exports,transits, transshipments, brokeringand other activities related tostrategic Items and technologieswhich can contribute to the design,development and production ofweapons of mass destruction (WMD).

Q Is sending products from a FreeZone to an LMW in Malaysiaconsidered an export?

A Export under the STA is defined astaking an item out of Malaysia byland, sea or air. The item mustphysically leave the country to beconsidered an export. Selling tocustomers within the country suchas those in LMWs or to customersin Sabah and Sarawak or even inLangkawi is not considered exportsunder the STA 2010 and suchtransactions will therefore notrequire an export permit.

Q What is the permit procedurewhen exporting the strategic itemsto Israel?

A Export permit is compulsory for allshipments to Israel. In the eventthat the goods are strategic items,only one permit will be issued byMITI. The issuing party will be theStrategic Trade Secretariat Division.If it is not strategic item, the companyshould submit the application toMITI as normal practice.

Q Who should determine thespecification of the product?

A The exporter/manufacturer shoulddetermine the specification andpossible end use of the product.The HS Code stated in StrategicItem List available in MITI’s websiteis provided merely for referenceand it is not final. Companies areadvised to check and compare thedescription of their product anddetermine if it matches theproducts description in the StrategicItem List which can be found onMITI’s website. If the product doesnot match any description in theStrategic Item List, the product isnot controlled under the STA.

A company should not rely on MITI,Royal Malaysian Customs (RMC) orfreight forwarders to determinewhether the products are strategicitems. MITI encourages companiesto engage a third party or technicalagency to determine whether theproduct is dual use/strategic itemsat company’s expenses.

Q My product can be used to designweapons but it is not listed in theStrategic List in MITI’s website.What should I do?

A If it is to your knowledge that theproduct can be used in the design,production and development ofweapons of mass destruction(WMD) and its delivery systems,you have to alert the relevantauthority and apply for a permitas unlisted item.

Q What is unlisted item?

A Items that are not listedunder the strategic item listwhich will or may be used forrestricted activity.

Q What are the ministries/agenciesinvolved in STA 2010?

A Licensing Ministry/Agencies whichinclude:• Strategic Trade Secretariat,

Ministry of International Tradeand Industry (MITI)

• Malaysian Communications andMultimedia Commission (MCMC)

• Atomic Energy Licensing Board(AELB)

• Pharmaceutical Services Division,Ministry of Health

The Enforcement Agencies include:• Royal Malaysian Customs• Royal Malaysian Police• Malaysian Maritime Enforcement

Agency• Malaysian Communications and

Multimedia Commission (MCMC)

Q When should I inform the authorityabout the unlisted items?

A If a person knows/has reason tobelieve that the unlisted item will beused for restricted activity, he shallnotify the relevant authority of hisintention to export the unlisted itemat least 30 days before the export.Upon such notification, the relevantauthority shall decide whether ornot to allow that export. The relevantauthority may decide to allow thatexport to proceed by issuing theexport permit.

Q What types of permits are availableand what is the validity?

Q Which type of permit is suitable formy company?

10 NOV/DEC 2011

SECTION

Types of permit Validity

Single-use permit valid for 6 months

Bulk permit valid for 2 years

Multiple-use permit valid for 2 years

Special permit valid for 1 year

NEWS HIGHLIGHTS

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A When selecting the permit, youneed to consider your businessneeds and activities and the permitwhich you may qualify for. Thefollowing are the categories anddescriptions of the permits:

Single-use permitOne time export, transhipment orbring in transit permit for a singlecountry/destination

BulkPermit for multiple exports ortranshipment of items for a singlecountry/destination

Multiple-usePermit for multiple exports ortranshipment of the items fordifferent countries/destinations

SpecialOne time export, transhipment ofbring in transit permit for a singlecountry/destination which the end-user is a restricted end-user

Q What is Category Code andhow is it different from theCustoms Harmonised System Codes(HS Code)?

A A Category Code is an alpha-numeric classification used in theStrategic Items List to identify itemsfor export control purposes and todetermine the relevant authorityinvolved in issuing the exportpermit. It is different from theCustoms Harmonised SystemCodes (HS Code), which is used byCustoms to determine import dutiesand collect trade data and statistics.

The Category Code has fivecharacters, for example, 1A002,4D003, or 9E102. There are elevencategories on the Strategic ItemsList. The first number of theCategory Code identifies the

category to which it belongs, forexample, ML = Military List, 1 =Special materials and relatedequipment, 4 = Computers, or9 = Aerospace and Propulsion.

Q What is End User Statement (EUS)under the STA 2010?

A Is a statement issued by the end-user or recipient country containingthe official declaration that takesnote of the use and final destinationof the imported goods.

Q Do I have to maintain records ofexports of strategic items?

A Yes. All documents related to exportpermit must be kept and maintainedfor at least 6 years. Failure to do so isan offence punishable to a fineand/or imprisonment.

Q What is an Internal ComplianceProgram?

A An internal compliance program(ICP) is a set of procedures thatcompany officials must satisfybefore an item is exported fromthe company. It ensures thattransactions satisfying the exportcontrol regulations enacted by thegovernment. An ICP is a prerequisite

for Malaysian enterprises that wish toavail themselves of bulk andmultiple-use permits under the STA.

At the company level, ICP may becalled by different names, such as:

• Internal Control Plans (ICPs);

• Export Management Systems;

• Export Compliance Programs;

• Global Trade Compliance Plans; or

• ‘Code of Conduct’

Q What is export of technology?

A Export of technology meanstransmit or transfer of informationand data, by any means to adestination outside Malaysia, in anyform, for the design, development,production or use of another itemand includes technical data,technical assistance and software.

Q Is all technology controlled?

A Technology is only controlled if itis required for the development,production or use of goods orsoftware listed as strategic items inthe Strategic Trade (Strategic Items)Order 2010, or if the technology itselfis specifically described in the Order.

11 NOV/DEC 2011

NEWS HIGHLIGHTS

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12 NOV/DEC 2011

EVENTS IN PICTURES

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13 NOV/DEC 2011

EVENTS IN PICTURES

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Amendments to theTrade Marks Regulations 1976

The following amendments to the Malaysia Trade MarksRegulations 1976 will apply to all new applicationsmade from February 15, 2011 onwards as well as all

proceedings for applications made prior to February 15, 2011,where the trade marks are registered. The main amendmentsare summarised below:

Expedited ExaminationThe new Regulation 18A on Expedited Examination providesthat an applicant who applies or has applied for theregistration of a trade mark under Regulation 18 mayrequest the Registrar to undertake an expedited examinationof the application within four months from the date of filingof the application.

MyIPO has indicated in their guidelines that with expeditedexamination, registration may be secured within six monthsand three weeks from the date of application.

Application Procedure• An applicant who wishes to apply for expedited examination

must file a request for approval for expedited examinationwithin four (4) months from the date of filing the applicationusing Form TM5A (“Application for Approval”).

• The Application for Approval must be accompanied by astatutory declaration stating the reasons for requestingthe expedited examination. The conditions for expeditedexamination as provided in the regulations are:

– It is in the national or public interest;

– There are infringement proceedings taking place orevidence showing potential infringement in respect of thetrade mark applied for;

– Registration of the trade mark is a condition to obtainmonetary benefits from the Government or institutionsrecognized by the Registrar; or

– There are other reasonable grounds which supportthe request.

• Please note that applications under the expedited track willbe subject to the same examination, advertisement andopposition procedure as a normal application except thatthe examination will be expedited.

• If the Registrar raises any objection to registration of the markor the applicant appeals against any conditions imposed bythe Registrar or there is third party opposition to registration of

the mark the application will be taken off the expeditedexamination route and the six months and three weeks timeperiod will no longer be applicable.

• Although the regulations provide for a period of four (4) monthsfrom date of application to apply for expedited examination,request should be made within one (1) month from date ofapplication in order to secure registration at six (6) monthsand three (3) weeks.

Electronic FilingThere are now formal provisions for the electronic filingof documents required by the Registrar pursuant toRegulations 8A and 8B. Trade mark applicants who filetrade mark applications electronically may also enjoydiscounted fees.

Series of Trade MarksAn application of a series of trade marks which containsthree trade marks or more, will now entail additional paymentof RM50.00 per mark: Regulation 22.

Ex-parte HearingIn the event that the Registrar objects or issues a conditionalacceptance to the trade mark application, an application forhearing subsequent to the objection or conditional acceptanceshall be made by filing Form TM 9A accompanied by theprescribed fee.

Extension of TimeWith effect from July 1, 2011, the maximum extension of timewhich the Registry will grant to file a response to any officeaction or to take any other action under the Trade Marks Actor Regulations is six (6) months. Further request for extensionof time will not be considered unless it is accompanied by astatement of case in the form of a Statutory Declaration statingthe reason for Registrar’s approval.

If the applicant is unable to furnish the office with a responsewithin the granted extension of time, the applicant shall bedeemed to have abandoned his application.

* Please note that the above is based on the guidelines issuedby Intellectual Property Corporation of Malaysia (MyIPO).

14 NOV/DEC 2011

SECTIONNEWS HIGHLIGHTS

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FMM President AddressesConference of Friendly Chambers

Chambers of commerce play an important role insupporting trade and development, Tan Sri Datuk MustafaMansur FMM President in his capacity as ICC World

Chambers Federation Vice Chairman (WCR) told delegates atthe opening ceremony of the 2011 Beijing InternationalConference of Friendly Chambers of Commerce Conference.

The Conference, organised by the Beijing Chamber ofInternational Commerce China Council for the Promotion ofInternational Trade Beijing Sub-Council (CCPIT Beijing), tookplace from September 14 – 16, 2011.

“Chambers exist in almost every country of the world and offera multitude of programmes and services to support tradeand development,” Tan Sri Datuk Mustafa said. “Cooperationbetween chambers can help resolve problems currently facingthe international trading community.”

During the Conference, CCPIT Chair Wan Jefei led a series ofroundtable discussions with Tan Sri Datuk Mustafa and fellowchamber leaders on the role of chambers of commerce inurban, social and economic development; the synergy of

15 NOV/DEC 2011

From left: Tan Sri Datuk Mustafa Mansur (FMM President), Riad Saifi (President Amman Chamber of Commerce), Wan Jifei(Chairman CCPIT) and Xiong Jiu Ling (Chairperson of CCPIT Beijing Sub-Council)

NEWS HIGHLIGHTS

FMM President

Tan Sri Datuk Mustafa Mansur, FMM President received thedecoration of Commander of the Civil Merit on October 17, 2011.The award, given on behalf of King Don Juan Carlos I of Spain,was to recognise his contributions for promoting bilateral trade,investment and business ties between the two countries.

H.E Ambassador of Spain, Maria Bassols (centre) with Tan Sri DatukMustafa Mansur (left) during the award presentation ceremony

Ken-Rich Chemical Production Sdn Bhd

Hooi Lai Lin, CEO of Ken-Rich Chemical Production Sdn Bhd,received the inaugural Prime Minister’s Woman Entrepreneur2011 Award on September 26, 2011. The Prime Minister’sAward for Women Entrepreneur 2011 recognises womenentrepreneurs who contribute towards the nation economicgrowth as well as social development and inspire others to excel.Apart from the award, Hooi Lai Lin also received sponsorship forWoman Exporters Development Programme from MATRADE.

Thumbprints Utd Sdn Bhd

The Rawang plant of Thumbprints Utd Sdn Bhd passed thestringent audit of the global toy industry initiative ICTI CAREProcess. The ICTI CARE Process is a programme of theInternational Council of Toy Industries (ICTI) to promote ethicalmanufacturing in the form of fair labour treatment, employeehealth and safety in the toy industries supply chain world-wide.Thumbprints Utd has received the Seal of Compliance fromICTI CARE Foundation for a twelve-month period beginningAugust 5, 2011.

chambers of commerce in the background of economicglobalization; as well as their responsibility to enhance theglobal reputation of their metropolises.

At the end of the Conference, participating chambers ofcommerce signed a consensus on cooperation with the aim ofstrengthening cooperation for mutual benefit and jointlypromoting sustainable development of the global economy.

FMM would like to congratulate the following members for their achievements:-

Congratulations…

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Customs Advisory Services for Members

My company imports raw material, manufacture and export toother countries. Are there any avenues for duty exemptions intemporary imports? If yes, what are the conditions orprocedures involved?

The company can apply for duty drawback under Section 99,Customs Act 1967 and Section 29 Sales tax Act 1972 if theraw materials are used in the manufacture of finished goodswhich are then exported. Before a company can apply for dutydrawback on the imported raw materials, the company willhave to apply for the duty drawback from the customs officenearest to them. The application for duty drawback must bemade by submitting customs form JKED2. Documents suchas customs form K1 and K2, invoice and packing list must besubmitted as proof of import and export. The raw materialsmust be used in the manufacturing process within 12 monthsfrom the date of import and the application for duty drawbackmust be made within six months from the date of export.

What are the differences between the Licensed ManufacturingWarehouse (LMW) and the Free Industrial Zone (FIZ)?

The differences between FIZ and LMW are as follows:

• FIZ is deemed to be outside Malaysia while LMW is in thePrincipal Customs Area (PCA);

• Activities in FIZ are controlled by the zone authority whileactivities in LMW are controlled by Customs;

• FIZ is subject to physical control while LMW is subjectto documentary control;

• FIZ is required to apply for Approval Permits (AP) forlocal sales whereas LMW is required to apply AP onimportation; and

• A bonded truck is required for movement of dutiable goodsto and from FIZ.

A Customs Help Desk was set up at FMM HQ on April 5, 2011 with the collaboration of the Royal Malaysian CustomsDepartment. A Senior Customs Officer from the Royal Malaysian Customs Department, Choo Kim Foong is based inWisma FMM from 9.00am – 1.00pm every Tuesday to assist members in the following ways:

• Provide advisory services and guidance on Customs related policies, procedures and requirements;

• Resolve operational related issues encountered at the company level; and

• Assist with applications for licenses and Customs facilities.

Members are encouraged to have individual meetings with the Customs Advisor at FMM to resolve issues pertaining to theircompany. Common issues and enquiries will be published in the Business in Action @ FMM for members’ information.For enquiries, please contact Arasy, FMM Secretariat at Tel: 03-62867356 or E-mail: [email protected].

SECTIONNEWS HIGHLIGHTS

16 NOV/DEC 2011

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17 NOV/DEC 2011

MARKET ALERTS

The Ministry of International Trade and Industry (MITI) in their letter to the industry, announced that effective November 1,2011, the mandatory standards will be imposed on six (6) aluminium products which includes aluminium plates, sheetsand strips as below HS Codes:

Implementation of Mandatory Standardson Aluminium Products

HS 7606 11 000HS 7606 12 000

HS 7606 91 000HS 7606 92 000

HS 7607 11 000HS 7607 19 000

MS2040:2007

MS1848:2005

Aluminium plates, sheets and strip of a thickness exceeding 0.2 mm,rectangular (include square) whether alloyed or unalloyed

Other aluminium plates, sheets & strips of a thickness exceeding 0.2 mm,whether alloyed or unalloyed

Aluminium foil (whether or not printed or backed with paper, paperboard,plastics or similar backing materials), of a thickness (excluding anybacking) not exceeding 0.2mm, not backed, rolled but not further worked

Similar to the implementation of mandatory standards on187 of iron and steel products in 2009, the import of the abovealuminium products must be accompanied with a Certificateof Approval (COA) or a Letter of Exemption from ConstructionIndustry Development Board (CIDB) for construction sector orfrom SIRIM QAS International Sdn Bhd for non-constructionand manufacturing sector.

The application form for COA and detailed procedures can bedownloaded from SIRIM QAS website at www.sirim-qas.com.my.

For further clarifications, please contact Ms Nur Hafizah of theFMM Secretariat at tel: 03-62867200, fax: 03-62741266/7288or e-mail: [email protected].

HS codes Description Standard Application

Paid public holidays are granted to all our employees on allgazetted public holidays. The scheduled weekly rest day for oneof my staff fell on August 30, 2011. She did not work on her restday but she was required to work on August 31, 2011,September 1 and September 2, 2011. Under the EmploymentAct, how should we calculate her wages for those days?

Hari Raya for year 2011 fell on August 30 – 31, 2011 and August31 was also the National Day. September 1, 2011 was declaredas a gazetted public holiday under Section 8 of the Holidays Act,1951 as a substituted holiday for the second day of Hari Raya.The rest day for one of your staff fell on August 30, 2011, whichis the first day of Hari Raya, the next working day would be asubstituted public holiday. Since August 31 and September 1 arepublic holidays, your staff would be entitled to a substituted publicholiday on September 2, 2011.

If an employee worked on a paid public holiday, the employeewould be entitled to an additional two days of wages at the ordinaryrate. In your case, the staff would be entitled to two additional daysof wages for working on August 31, September 1 and 2, 2011.

I would appreciate your advice about employees requestingfor two hours time off from the office to attend to personalmatters. Under the law, must the Company grant theemployees their request? If not, in your opinion what kindof policy/procedure the company should implement?

The law is silent on granting paid/unpaid time off to employeesto attend to personal matters. As far as the law is concerned,the employee is supposed to apply for annual leave if he isnot able to attend work due to personal matters.

Most companies do not allow employees to take time offwith/without pay to attend to personal matters unless it isurgent. Some employees have been abusing such benefits byrequesting for two hours time off, a few times in a month toattend to personal matters. If your company intends to grantsuch benefit, I suggest that the time off is granted without payand limit it to once or twice a month.

FMM HR/IR Advisory ServicesPayment and Substitution of Public Holidays

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18 NOV/DEC 2011

Elimination of Certificate of Origin for Imports ofTextile and Clothing Products into the EU

The European Commission recently issued a regulationwhich eliminates the requirement to submit the proof oforigin on imports of textile and clothing products from third

countries for certain textile/clothing (specified under Section XIof the Combined Nomenclature (HS 50-63) such as silk, wooland cotton), which were imposed with quantitative restrictions(QRs) under the following agreements:

• WTO Agreement on Textile and Clothing (ATC) – howeverthe QRs on imports under this agreement were alreadyeliminated on January 1, 2005; and

• WTO ATC (Special Safeguard Provisions for importsfrom China) – the quota restrictions already ended onDecember 31, 2008.

The proof or origin requirement has become irrelevant as thetwo provisions had expired. Hence, under the new rulingeffective October 24, 2011, it is not necessary to submit theCertificate of Origin (COO). The products will now be subjectto normal verification procedures, in which EU importers mustindicate the country of origin of the imported textiles/clothingin Box 34 of the EU Single Administrative Document.

Details of the regulation are accessible at http://eur- lex .europa .eu /LexUr iServ /LexUr iServ.do?ur i=OJ:L:2011:259:0005:0006:EN:PDF.

The waiver on COO requirement however does not affect theimportation of textile/clothing under the Generalised Systemof Preferences (GSP). The preferential duties under GSPremain conditional upon the submission of COO (Form A –or invoice declaration for consignments of no morethan EUR6,000).

The new regulation will reduce the administrativeprocedures to prove the origins for third countries includingMalaysia, should our exporters forgo the GSP tariff and use theMFN tariff instead.

The current MFN duties imposed on Malaysian textile andclothing products range from zero to 12%, while preferentialduties given under the GSP range between zero to 9.6%.Based on the EU’s statistics, trade in textile and clothingproducts with third countries and Malaysia is as follows:

SECTION

With Third Countries 45,471 38,159 84,777 18,661.2 15,947 34,174

With Malaysia 118.2 116 238 37.1 30 62.9

Note: Breakdown on the GSP and MFN Tariffs in the trade data is not available.

Source: MITI Brussels, October 11, 2011

EU Imports (EUR Mil.) EU Exports (EUR Mil.)

Jan – June 2011 Jan – June 2010 2010 Jan – June 2011 Jan – June 2010 2010

SECTIONTRADE & POLICY UPDATES

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Kedah/Perlis Malacca

PEMUDAH Task Force Meeting

The inaugural meeting of the Kedah/Perlis PEMUDAHTaskforce meeting was held on August 28, 2011 and chairedby YB Dato’ Haji Rasli Basri, Kedah State Secretary. The Branchwas represented by Dr Haminuddin Abd Hamid, BranchChairman. The meeting discussed the following:

• Average time taken for land approval in Kedah isapproximately 198 days;

• No standard requirements for the approval of buildingprojects by the local councils; and

• Need to enhance the efficiency of the One-Stop-Centre.

During the meeting, the Branch highlighted that the delay inhandling over of the industrial estate to the relevant localcouncils has resulted in the following problems:

• Maintenance and upgrading issues in the industrial areas;

• Delays in approval of business licenses and Certificateof Fitness;

• Security issues; and

• Problems in retaining existing investors and attractingnew investors.

IPMC Meetings

The inaugural IPMC Gurun meeting chaired by Mohd NorfadziliMohd Rusni from CNA Manufacturing Sdn Bhd on July 21,2011 discussed the following:

• Delays in handing over of the Gurun Industrial Area fromKedah State Development Corporation to local council whichhas resulted in lack of maintenance in the area; and

• No assessment fees should be paid since no maintenancework was carried out.

At the IPMC Kuala Ketil meeting held on July 27, 2011 chairedby Lee Khek Wui of Schaefer Kalk Sdn Bhd, the Departmentof Environment highlighted that they would not support thenew residential project near the industrial area due to thepotential encroachment of the buffer zone. However, thedeveloper continued with land clearance activities.

19 NOV/DEC 2011

HAPPENINGS AT BRANCHES

Training on Customs Import andExport Procedures

The above training held on July 28, 2011, was facilitated byGoh Kin Siang, a retired Senior Customs Officer. It highlightedthe following:

• All goods exported must be classified correctly according tothe Customs Duties Order 2007;

• Only one tariff code is allowed for each product;

• Duty exempted raw materials and components must be keptat the companies’ premises. Companies that do not havetheir own warehouse are allowed to store the duty exemptedraw materials and components at the bonded warehouse asstated under Section 65 of the Customs Act 1967; and

• Under Section 13A of Customs Act 1967, companies areallowed to pay Customs duty under protest if dispute ordissatisfaction with the Customs officer occurs. Companiesshould claim from Customs Department, within one yearfrom the date, duties paid through Form JKED 2.

37th Annual General Meeting The Branch held its 37th AGM on September 13, 2011 andthe following office bearers were elected:

Chairman Datuk Jeffery Ong Cheng Lock Oriental Food Industries Sdn Bhd

Vice ChairmenJimmy Ong (Finance)San Miguel Yamamura Woven Products Sdn Bhd

Tirath SinghPannu Industries Sdn Bhd

Datuk Jeffrey Ong, Branch Chairman delivering the welcome remarksat the branch AGM on September 13, 2011

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Perak

State IPMC Meeting

The above meeting held on July 28, 2011 was jointly chairedby Dato’ Haji Abu Bakar bin Haji Said, Director, State EconomicPlanning Unit and Dato’ Gan Tack Kong, Branch Chairman.The following were discussed:

• The Public Works Department (JKR) informed that localcouncils could apply for grants available under the MalaysianRoad Record Information System. The Grant could be utilisedfor maintaining both Federal and State roads but excludesback lanes and roads within government premises;

• Ipoh City Council would work with JKR to improve the access road;

• The Malaysian Royal Police would patrol the industrial parkmore frequently; and

• The Director of Labour confirmed that there was an acuteshortage of labour for industries.

Perak State 2012 Budget Dialogue

The State Budget Dialogue was chaired by YB Dato’ Hamidah Binti Osman, State Exco and Chairman of Industrial,Investment, Entrepreneur Development, Tourism and WomenAffairs Committee on August 12, 2011. Among the issuesraised were:

• Natural gas must be made available to more industries inPerak. If necessary, subsidies should be provided for theextension of pipeline from Ayer Tawar to Ipoh;

• Funds should be allocated to promote tourism in the Stateand to upgrade infrastructure in the industrial estates; and

• Need to develop a halal hub and provide incentives to attractmore investors in Perak.

HR Roundtable Meeting withPusat Kerjaya Amanjaya

Dato’ Zainoal Fadzi Bin Paharuddin, Chairman, Pusat KerjayaAmanjaya (PEKA) cum State Executive Council Memberchaired the above meeting on August 23, 2011. The followingwere highlighted at the meeting:

• PEKA’s objective was to help industry to look for workersfrom the rural areas in line with the policy to reducedependence on foreign workers. PEKA should not focus oncertificate and degree holders;

• PEKA should organise job fairs covering all districts in Perakand work closely with the industries;

• The databank should be updated regularly to avoidinaccurate information;

• PEKA was requested to develop a training programme onattitude and mind set change to train all candidates beforeprofiles are forwarded to potential employers.

20 NOV/DEC 2011

HAPPENINGS AT BRANCHES

State IPMC Meeting in session

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Sarawak Johor

Inaugural PEMUDAH Meeting

The inaugural Johor PEMUDAH Taskforce meeting held onJuly 19, 2011, was co-chaired by YB Tuan Haji Obet bin Tawil,the State Secretary and Capt. Haji Abdullah Shariff, BranchChairman. The meeting was informed that the function ofPEMUDAH at the State level would be similar to PEMUDAH atthe Federal Level and issues pertaining to the state level wouldbe discussed. Special working groups would be established forspecified issues only. The State PEMUDAH would be in chargeof resolving the State’s problems or issues on businessfacilitation. The Johor State Economic Planning Unit wasappointed as the secretariat of PEMUDAH Johor.

21 NOV/DEC 2011

Sarawak DomesticInvestment Seminar

The above seminar held on July 28, 2011 was organisedby the Malaysian Industrial Development Authority, SMECorporation Malaysia and Ministry of Industrial DevelopmentSarawak and officiated by the Chief Minister of Sarawak, YABPehin Sri Haji Abdul Taib Mahmud. Among the topics coveredwere updates on government incentives, clarification on stateand federal policies and regulations involving industry andsharing of experience by successful entrepreneurs.

Negeri Sembilan

Inaugural PEMUDAH Meeting

The inaugural Negeri Sembilan PEMUDAH Taskforce meetingheld on August 24, 2011 was co-chaired by YB Dato’ Hj. MatAli Bin Hassan, State Secretary and Steven Aroki, BranchChairman. The Chairman informed that the purpose of settingup PEMUDAH Negeri Sembilan was to establish a closerworking relationship between the public and private sector. Themeeting was informed that PEMUDAH at state level would lookinto the implementation of policies for the local authorities.

Chief Minister of Sarawak, YAB Pehin Sri Haji Abdul Taib Mahmudofficiated the Sarawak Domestic Investment Seminar

Ir Michael Hii, ViceChairman of SarawakRepresentative Office(2nd right) chairing theQ&A session

HAPPENINGS AT BRANCHES

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Selangor

Courtesy Call on Yang DiPertuaof MDKS

The Branch’s Kuala Selangor Regional Committee led by itsChairman, Vincent Kuan, paid a courtesy call on Puan HajjahNuraini Roslan, the new Yang DiPertua of Majlis DaerahKuala Selangor (MPKS) on July 22, 2011. The purpose of thevisit was to foster closer a working relationship, explorepossible areas of collaboration with MDKS and to exchangeinformation and views on common matters. The meetingdiscussed the possibility of organising a FMM-Kuala SelangorOpen Day at MDKS to promote FMM’s role, services andbenefits to industries.

22 NOV/DEC 2011

Courtesy Call on the Director of Selangor State Immigration onAugust 4, 2011

New Members Networking Session

The inaugural New Members Networking Session washeld on September 9, 2011 and chaired by Dato’ NathanSuppiah, Branch Vice-Chairman and Chairman of theMembership Services Working Sub-Committee. Dato’ NathanSuppiah briefed the new members on the role and functions ofthe Branch including programmes and activities organised forthe industry. The purpose of the New Members NetworkingSession was to create a platform for new members to getto know the Branch Committee members. It also serves as anavenue for the manufacturing community to exchange viewson current issues of concern. Branch Chairman, Tan Sri Dato’Prof Dr James Alfred took the opportunity to present theMembership Certificate and Welcome Kits to the new members.

Courtesy Call on the Director ofSelangor State Immigration

The Branch organised a courtesy call on Tuan Mohd YunusJamil, Director of Selangor State Immigration on August 4,2011. Led by Dr. S Ramanaidu, Chairman of HRM WorkingSub-Committee, FMM highlighted the industry’s concern onthe biometric registration for legal workers. The Branch wouldcooperate with the Immigration Department to facilitate onsitegroup mobile biometric registration for members.

HAPPENINGS AT BRANCHES

International Award for MalaysianSafety Video

Malaysia’s efforts in improving occupational health and safetyreceived international recognition recently when a safety videoproduced by Social Security Organisation (PERKESO) wonan international award at the World Congress on Safety andHealth at the Workplace. The video produced by PERKESO,in collaboration with the Branch and Monash Universitywas selected for a special award at the Congress’8th International Film and Multimedia Festival in IstanbulTurkey on September 14, 2011.

The video won the second prize and was one of only six winnersfrom 90 competing films and 70 multimedia presentations, andselected from 232 entries from 30 countries. Malaysia wasrepresented by the Minister of Human Resource, YB DatukD S Subramaniam, K Selvarajah, CEO/Director General,SOCSO and Dr. Mohammed Azman Mohammed, Deputy CEO(Operations), SOCSO.

From left, Prame Kumar Nair, Head, Occupational Health, Safetyand Environment, Monash University Sunway campus, K Selvarajah,CEO/Director General, SOCSO

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Sabah

Briefing on Registration ofIllegal Immigrants

The briefing on the Registration of Illegal Immigrants chairedby Mohammad Bin Mentek, State Sabah Immigration Directoron July 15, 2011 highlighted the following:

• Implementation of “5P” Programme in Sabah started onJuly 18 and would end on December 31, 2011. No feewould be charged;

• The “5P” programme would not include the regularisationof the illegals to be legal foreign workers;

• Nine registration centres would be open in Sabah;

• Employers with more than 100 foreign workers are allowedto make arrangements with the nearest Immigration officesto have the registration done at their premises; and

• One-stop counter would look into application for foreignworkers in Kota Kinabalu, Sandakan and Tawau to facilitateemployers who would be affected by the exercise.

23 NOV/DEC 2011

Participants attending the workshop

NEW MEMBERS

NEW MEMBERSAug – Sept 2011

The FMM welcomes the following 23 new membersinto the Federation, 20 ordinary members and

3 affiliate members. The majority or 35% are fromSelangor, 17% from Penang and 13% from FederalTerritory and Johor, while the rest from other states.

Ordinary Members Acidchem International Sdn Bhd

Bright Resource Technology Sdn BhdC. H. E. Metal Works Sdn BhdCM-PAC Industries Sdn BhdCP Manufacturing Sdn BhdDerya Enterprise Sdn Bhd

Double Site Marketing Sdn BhdIbiden Electronics Malaysia Sdn Bhd

Kanon Loading Equipment (M) Sdn BhdLexis Palm Energy Sdn Bhd

Mariharta Industries Sdn BhdMYwave Sdn Bhd

Perniagaan Dan Pembekal SherwanPetra Boilers Sdn Bhd

Primechem Malaysia Sdn BhdSeers Technology Sdn Bhd

Shadowfax Sdn BhdSin Yoon Loong White Coffee Sdn Bhd

Sunlight Seafood Sdn BhdVision Beverage Manufacture Sdn Bhd

Affiliate MembersIngenuity Microsystems Sdn Bhd

Device Dynamics Asia (Malaysia) Sdn BhdOPK Marketing Services (Johor) Sdn Bhd

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