FAM South2 Ctry Version 3

8/4/2019 FAM South2 Ctry Version 3

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Promotion of Domestic Investment inthe Manufacturing & Services

Sectors

Tuesday 19 August 2008

By:

Onn AbdullahDirector

Domestic Investment Promotion,

MIDA

The Familiarisation Programme for Officials of

Investment Promotion Agencies of South South Countries

18 – 29 August 2008



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MIDA Board

Chairman

Deputy Director General II

Senior Director(Services)

• IndustrySupport

- State Offices• Business &Other Services

• Logistic &RegionalOperations

• Resource CentreManagement

• Secretariat

Senior Director(Resource Industry)

• Agro-Based Industry• Chemicals & Life

Science Industries• Petrochemical &

Polymer Industries

Senior Director(Investment)

• ForeignInvestmentPromotion:- Americas

- Asia Oceanic- Europe• DomesticInvestment

• Cross BorderInvestment

• OverseasOffices

Senior Director (Non-ResourceIndustry)

• ICT & Electrical Industries• Electronics Industries• Transport & Metal Industries• Machinery & Engineering

Supporting Industry• Textiles & Minerals

Industries

• Strategic Planning•

International Cooperation

• Communications & Media• Information Management& Statistics

• Corporate Mgmt• HRD• Finance Mgmt• Internal Audit Unit

MIDA ORGANISATION CHART

Advisory Services CentreDirector General

Deputy Director General I



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THE ORGANISATION STRUCTURE OFDOMESTIC INVESTMENT PROMOTION DIVISION

Director

Deputy DirectorDomestic Investment

Initiatives

Deputy DirectorDomestic Investment

Initiatives

Economic AffairsOfficers

(2)

Economic AffairsOfficers

(2)

Personal

Assistant

Clerk

(2)

Machine Data EntryOperator (1)



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• Plan, implement and coordinate

programmes to promote domesticinvestments.

• Formulate programmes and

strategies to promote domesticinvestment in high value addedmanufacturing & services sectors.

•

To assist local and foreign investorsto identify suitable joint-venturepartners via enterprise connect (E-connect).

DOMESTIC INVESTMENT PROMOTION



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Promotion Functions

• Domestic investments

• Planning and arranging visits of delegation from

domestic companies/ Chambers of Commerce &Industry/ Association

• Conducting briefing outside MIDA

• Addressing enquiries related to domesticinvestments

• Facilitate joint-venture

Functions Of Domestic Investment PromotionDivision



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Development Functions

• Database on Domestic Investment

• Investment promotion programmes

• Targeted companies, industriesand countries

Functions Of Domestic Investment Promotion Division



• Intensify Promotion of Domestic Investment in

the promoted industries

• Greater emphasis on domestic investment

• Promotion of manufacturing services

• Improving the cost-competitive environment

- Quality & lower cost of utilities- Skill workers- Productivity- Government Delivery system

- Grants & Incentives

OVERALL STRATEGIES



• Expanding and improving SMIs capacity inhigher value-added products

• Creating green field investments in industrieswhich have the potential for local companies

• Obtaining the strategic and suitableknow-how

• Enhancing the institutional support andfinancial assistance

• Realizing greater domestic contribution tototal investment

PROMOTION OF DOMESTIC INVESTMENT

STRATEGIES



• Domestic/Specific Industry Seminar

- Master schedule : annual seminarorganized by region

- Briefings on investments relatedtopics by other relevant departments/agencies in the seminar

- Technical workshops e.g. on projectfinancing facilities for seminar

participants.

PROGRAMMES FOR DOMESTIC INVESTMENT PROMOTION



• Domestic/Specific Industry Seminar

- To update Malaysian investors on

policies and investment opportunitiesin the manufacturing & services sectors

- Dialogue session with Minister ofInternational Trade & Industry

……continued



….. continued

• Dialogues with local Chambers/Industry

Associations

Discuss on investment matters e.g.:

- facilitating new/ expansion/diversification projects

- source of technology upgrading

- new market

- contract manufacturing/joint venture



• Meeting with Local Multinationals

Companies

- identify locally-owned MNCs

- profile of MNCs

- partnership work programme

- investment opportunities

….. continued



• Pro active and effective follow-up

programmes

- post domestic seminars

- post specific seminars- post dialogues session

•

Handhold approved domestic investors

- Federal level

- State level/ Local authority

….. continued



SEMINAR PROGRAMMES 2008

KLANG VALLEY INVESTMENT SEMINAR, KL28 & 29 JANUARY 2008

NATIONAL SEMINAR ON BUSINESS OPPORTUNITIES IN THEMACHINERY & EQUIPMENT INDUSTRY, KL8 & 9 MAY 2008

INTERNATIONAL SEMINAR IN THE ELECTRONICS INDUSTRY,

PENANG3 & 4 JUNE 2008

SEMINAR ON BUSINESS OPPORTUNITIES IN MEDICAL DEVICE2008, KL8 JULY 2008

SARAWAK INVESTMENT SEMINAR, KUCHING, SARAWAK17 & 18 JULY 2008

SABAH INVESTMENT SEMINAR, KOTA KINABALU, SABAH

20 & 21 AUGUST 2008



• Facilitate Joint-Venture

- Enterprise Connect (E-Connect)

-Disseminate information oncontract manufacturing, JV andtechnical collaboration

….. continued



E-Connect

•Objective:-

To assist local and foreign manufacturers toidentify suitable joint-venture partners forprojects in Malaysia

To assist Malaysian contract manufacturers inforging business links to supply to world markets

As at 30th June 2008, 573 companies havebeen registered with E-Connect which 330(58%) are Malaysian companies.



Business Matching for Foreign and Local

Companies - Enterprise Connect

E-Connect



Issues and Challenges

● Malaysian companies’ participation in the manufacturingsector is still small

● To realise the 60% domestic contribution to totalinvestments

● A need for Malaysian SMIs to further expand andimprove its capacity in higher value added products

● A need to create industries which have the potential for

Malaysian

● A need to enhance the institutional support and financialassistance



Total Approved Manufacturing Projects( 2006 –2008*)

Performance of The Manufacturing Sector

YearNo. of

projects

Approved Investments

(RM billion)

Domestic Foreign Total

2006 1,077 25.8 20.2 46.0

2007 949 26.5 33.4 59.9

2008* 417 9.3 23.2 32.5

Total 2,287 61.6 76.8 138.4

* Period of January – June 2008



THANK YOU

Total Implemented Manufacturing Projects( As At 31 December 2007)

No. of

projects

Implemented Investments

(RM billion)

Domestic Foreign Total

14,757 142.0 171.95 313.98

Foreign Investment In Manufacturing Projects Implemented



Country No ofProjects Total Investments(RM billion)

Japan 2,215 43.3

USA 635 35.1

Singapore 2,408 16.5

Taiwan 1,454 15.1

Germany 303 14.8

Netherlands 131 10.0

Korea 270 6.2

United Kingdom 344 4.13

Hong Kong 401 2.0

Foreign Investment In Manufacturing Projects Implemented

By Major Country (As at 31 Dec 2007)

Approved Domestic Investment In Manufacturing



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THANK YOU

Industry

Total Investments

(RM Billion)

Basic Metal Products 17.3

Electronics & Electrical Products 5.8

Transport Equipment 1.5

Chemical & Chemical Products 1.5

Food Manufacturing 1.2

Non Metallic Mineral Products 1.1

Petroleum Products

(Including Petrochemical Products) 0.8

Machinery & Equipment 0.7

Approved Domestic Investment In Manufacturing

Projects By Major Industry ( January – June 2008)



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THANK YOU

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Malaysian Industrial Development Authority

Documents

FAM South2 Ctry Version 3