1

INVESTMENT OPPORTUNITIES IN THE RESOURCE BASED INDUSTRIES

About MIDA

Food Technology & Sustainable Resources Industries Purview

Resource Based Industries Perfomance

Ecosystem Approach

Promoted Products/Activities

Incentives For Resource-Based Industry

New Incentives Under The 2015 Budget

Other Agencies Incentives

2

Who Are We?

3

First point of contact for investors who intend to set up projects in the manufacturing

and services sectors in Malaysia

Malaysian Industrial Development Authority - Established in 1967 under Act of Parliament, 1965

The principal Malaysian Government agency responsible for the promotion of investments and coordination of industrial development and selected services sectors in the country

4

Follow-up /

Monitoring

• Foreign Direct Investment

• Domestic Investment

• Manufacturing & Services

• Manufacturing Licenses

• Tax Incentives

• Expatriate Posts

• Duty Exemption

• Principal Hub & selected services

• Assist companies in the

implementation & operation of

their projects

• Facilitate exchange & coordination

among institutions engage in or connected

with industrial development

• Advisory Services

• Planning for industrial development

• Recommend policies & strategies on

industrial promotion and development

• Formulation of strategies, programmes and

initiatives for international economic

coorperation

5

MALAYSIA PRODUCTIVITY CORPORATION

Tokyo

Osaka

Seoul

Taipei

Shanghai Guangzhou

Malaysia

Singapore

Sydney

Mumbai

Dubai

Stockholm

Frankfurt

Munich

Milan

Paris

London

Boston

New York

Chicago San Jose

Los Angeles

Houston

23 Overseas Centres

Beijing

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Headquarter

KL Sentral, Kuala Lumpur

Johor Bahru

Melaka

Seremban

Selangor

Ipoh

Penang

Alor Setar

Kota Bharu

Kuala

Terengganu

Kuantan Kota Kinabalu

Kuching

7

Iskandar Region Development Authority

(IRDA)

East Coast Economic Region Development

Council (ECERDC)

Regional Corridor Development Authority

(RECODA) • Financial Services • Petrochemical and Maritime • Healthcare • Tourism and Logistic Industry • Manufacturing & Services

• Resource Based Industry • Aluminum, Glass, Steel, Oil- based Industry, Palm Oil, Fishing & Aquaculture, Livestock, Timber-based, Marine • Energy • Tourism

• Tourism • Oil & Gas • Manufacturing • Agriculture • Education

• Agro-based Industry • Tourism • Logistics • Manufacturing

Tourism Manufacturing &

Design Modern Agriculture Logistics Education & Health

Northern Corridor Investment Authority

(NCIA)

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Sabah Economic Development Investment Authority

(SEDIA)

Sarawak Economic

Development Corp Johor State Investment

Centre

InvestMelaka

Negeri Sembilan

Investment Centre

Biotechnology

Corporation

InvestPenang

Kedah Investment Centre

Pahang State Development

Corporation

Invest Selangor Berhad

InvestPerak

Now, Malaysia’s investment environment consists of multiple

national, regional and state investment promotion agencies

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FOOD TECHNOLOGY SUSTAINABLE RESOURCE

Agriculture, Aquaculture, Horticulture& Farming &

Breeding

Food

Processing & Halal

Palm Oil & Derivatives

Biomass & Agriculture

Waste

Wood Paper, Pulp

Paper & Paperboard and Kenaf

Based

10

WORLD’S LARGEST EXPORTER OF PALM OIL SOURCE : MPOB

ASIA’S LARGEST COCOA PROCESSOR WORLD’S FIFTH LARGEST COCOA PRODUCER

SOURCE : MCB

WORLD’S FIFTH LARGEST PRODUCER OF PEPPER SOURCE : MPIC

Food processing in Malaysia contributed about 10% to total manufacturing output.

More than 3,200 establishment ; > 80% SMEs and predominantly Malaysian-owned establishments

Diverse production of wide variety of food products ranging from meat products, seafood products, cereal products, cocoa products, herbs and spices

Major exports of processed food: edible products and preparations, cocoa and cocoa preparatioN, prepared cereals and flour preparations, sugar & sugar confectionery

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Edible products and preparations RM 5.6 bil (31%)

Cocoa and cocoa preparations

RM 4.1 bil (23%)

Prepared cereal and flour

preparations RM 2.8 bil (16%)

Dairy products RM 1.4 bil (8%)

Margarine and shortening

RM1.10 bil (6%)

Others RM3 bil (17%)

Total: RM 18 Billion

Sumber: MATRADE

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APPROVED PROJECTS FOR FOOD MANUFACTURING

FOR 2013 - 2015

Year No. of Project

Proposed Investment RM (Billion)

Domestic Foreign Total

2013 73 2.1 2.3 4.4

2014 67 1.3 1.5 2.8

2015 51 2.0 0.6 2.6

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APPROVED PROJECTS FOR PROCESSED PALM OIL &

DERIVATIVES PRODUCTS FOR 2013- 2015

Year No. of Project

Proposed Investment RM (Million)

Domestic Foreign Total

2013 11 1,362 284 1,646

2014 7 477 313 790

2015 12 268 276 544

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15

Logs RM2,023 Million

9%

Sawntimber RM 3,175 Million

14%

Plywood RM4,690 Million

21%

Veneer RM352 Million

2% Mouldings RM832 Million

4% Chipboard/Particleboard RM371 Million

2%

Fibreboard RM1,133 Million

5%

Wooden Frame RM129 Million

1%

Builders Joinery & Carpentry RM1,118 Million

5%

Wooden Furniture RM7,29 Billion

32.9%

Rattan Furniture RM31 Million

0.1%

Other Products RM1,004 Million

4%

Sumber: DOS & MTIB Total: RM 22.14 Billion * Promoted Products

Sumber: DOS & MTIB

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APPROVED PROJECTS FOR WOOD & WOOD PRODUCTS FOR

2013- 2015

Year No. of Project

Proposed Investment RM (Million)

Domestic Foreign Total

2013 26 321 37 358

2014 47 295 52 347

2015 52 593 222 815

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APPROVED PROJECTS FOR FURNITURE & FIXTURES FOR 2013- 2015

Year No. of Project

Proposed Investment RM (Million)

Domestic Foreign Total

2013 39 249 10 259

2014 19 223 12 235

2015 18 61.4 26 87

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APPROVED PROJECTS FOR PALM BIOMASS FOR 2013- 2015

Year No. of

Project

Proposed Investment

(RM Million)

Domestic Foreign Total

2013 11 54.6 - 54.6

2014 12 71.1 11.8 82.9

2015 15 249.3 147.8 397.1

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APPROVED PROJECTS FOR PAPER AND PAPER PRODUCTS FOR 2013- 2015

Year No. of Project

Proposed Investment (RM Million)

Domestic Foreign Total

2013 22 506.3 68.2 574.5

2014 17 348.5 555.8 904.3

2015 16 149.1 813.7 962.8

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APPROVED PROJECTS IN SARAWAK

FROM 1980 - 2015

Sector No. of Project

Employment

Investment RM (Million)

Domestic Foreign Total

Food 131 9,476 1,850 180 2,030

Furniture 14 2425 114 12 126

Wood 230 49128 3,006 1,528 4,534

Palm Biomass

4 253 20 1 21

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No. Name of Companies Product

1 Asia Aquaculture (M) Sdn. Bhd. Frozen seafood.

2 UNI Asia Spices Sdn. Bhd. Pepper.

3 Shimada Sago Chemical Sdn Bhd Sago starch/flour

4 Nestle Manufacturing (Malaysia) Sdn. Bhd. Ice confectionery & jelly products.

5 Food Specialities (M) Sdn.Bhd. Instant noodles

6 Kirana Palm Oil Refinery Sdn. Bhd. RBD palm oil, RBD palm olein, RBD palm stearin, Palm fatty acid, Distillate

7 Assar Refinery Services Dua Sdn Bhd 1) RBD palm olein, 2) RDB palm stearin, 3) Palm fatty acid distillate, 4) Palm kernel expeller, 5) Cruce palm kernel oil.

8 Bintulu Edible Oils Sdn.Bhd. RBD palm oil, RBD palm olein, RBD palm stearin and palm fatty acid distillate

9 Grolink Marine Industry Sdn.Bhd. Processed seafood.

10 Bersatu Sago Indust. (Mukah) Sdn. Bhd. Sago starch.

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No. Name of Companies Product

1 Flexiwood Sdn. Bhd. Veneer, decorative, plywood, wooden furniture, wooden furniture parts & wooden solid doors.

2 Magna-Foremost Sdn. Bhd. ( JV with Canada) Moulded MDF door skin.

3 Daiken Sarawak Sdn. Bhd. (Japan) Woodchips

4 Shin Yang Group Wood Pellets, Laminated Veneer Board (Lvb), Lamin Board Dan Multiplywood

5 Samling Group Log, sawn timber, flooring, plywood, furniture, fibreboard

6 Jaya Tiasa Group Log,, plywood, rotary veneer, blockboard, film overlay

7 Gegasan Sdn. Bhd. Wooden furniture.

8 Sanyan Wood Industries Sdn. Bhd. (Japan) Plywood.

9 Cipta Pellet Sdn Bhd Biomass pellet.

10 Cipta Briquettes Sdn Bhd Wood briquettes and Biomass pellets.

PRODUCTS/

COMPANIES

Food Ingredient

AGRICULTURE & PROCESSED FOOD ECOSYSTEM – MAJOR COMPANIES

Processed Food Value Added Products

Dressed/ Frozen/Chilled/Grind

Agricultural production

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Ecosystem

• Sausages/Nugget/ • Chocolate

• Frozen Chicken • Frozen Meat

• Additives, Flavours • Carrageenan

• Frozen Seafood

• Aquaculture Rearing

• Livestock Breeding

Supporting R&D & Government Agencies

• Applications in non-food

industries

Promoted Products

Ecosystem Plantation Milling /

Palm Kernel Crushing

Refinery Raw

Material End Product

Promoted

Refined Palm Oil / Palm Kernel Oil

Specialty animal fat replacer

Palm-based mayonnaise & salad dressing

Milk or coconut powder substitute

PALM-BASED FOOD PRODUCTS & INGREDIENT ECOSYSTEM

Palm-based food ingredient, stabiliser, emulsifier

CPO/ CPKO/ Palm Biomass

Margarine, vanaspati, shortening

Veneer, plywood and sawn timber

Sabah Softwoods

Berhad Samling Plywood

(Bintulu) Sdn Bhd Mentakab Veneer &

Plywood Sdn Bhd Shin Yang Plywood

Sdn Bhd

WOOD BASED INDUSTRY ECOSYSTEM

MID-STREAM DOWN STREAM UPSTREAM

Supporting R&D and Government

Agencies

Promoted Products

- Decorative panel boards (excluding plain

plywood) / timber mouldings / builders

carpentry and joinery / wood waste products

(charcoal , wooden briquette, wood wool) Cipta Briquette Sdn Bhd Ketukangan Inspirasi Sdn

Bhd Pan Euro Products Sdn Bhd

- Design,development & production of

wooden furniture - Engineered Wood

LY Furniture Sdn. Bhd.

Home Upholstery Sdn. Bhd.

Lii Hen Furniture Sdn Bhd

RAW MATERIAL

Tropical hardwood /

rubber wood / acacia

Forest

**Engineered wood, also called composite wood, man-made wood, or manufactured board; includes a range of derivative wood, products which are manufactured by binding or fixing the strands, particles, fibers or veneers or boards of wood, together with adhesives, or other methods of fixation to form composite materials (greater strength)

Promoted Products Under General List

Promoted Products Under Small Scale Industries

Plantation Milling Refinery Raw

Material End Product

Supporting R&D &

Government Agencies

Refined Palm Oil / Palm Kernel Oil

Palm Pellet

CPO/ CPKO/ Palm Biomass

Empty Fruit Bunch

Oil Palm Trunk

Mesocarp Fiber/Palm Kernel

Shell

Palm Briquette

Palm Plywood

Agensi Inovasi Malaysia

Bio-Chemicals

• Methanol • Ethanol • Glycerol • Lactic Acid • Propionic Acid • Isobutanol • 1,4-Butanediol • n-butanol

PALM OIL BIOMASS ECOSYSTEM Promoted products

PAPER & PAPER PRODUCTS INDUSTRY

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RAW MATERIAL

Forest

UPSTREAM MID-STREAM DOWN STREAM

Virgin pulp / recycle paper

Pulp

Sabah Forest Sdn Bhd

Malaysian Newsprint Industry Sdn Bhd

GS Paper & Packaging Sdn Bhd

Paper & Paperboard / A4 Paper / Newsprint

Speciality Paper

Muda Paper Sdn Bhd

Pascorp Paper Sdn Bhd

UPP Pulp & Paper Sdn Bhd

Printing an d writing paper / stationery / brochure / leaftlet /

tissue / napkin / serviette / magazine /

newspaper

Bank notes / cigarette paper/ wallpaper/ bank

cheques/ bandages / surgical gowns/ sand

paper Asia File Products

Sdn Bhd Giesecke &

Devrient Malaysia Sdn Bhd

Public Packages Sdn Bhd

Promoted products

MPPMA

IV) PALM OIL PRODUCTS & DERIVATIVES • Palm based food products & ingredients : a. Specialty animal fat replacer b. Palm based mayonnaise & salad dressing c. Milk or coconut powder substitute d. Red palm oil & related products e. Palm based food ingredients f. Modified (interesterified) palm oil/kernel

oil products g. Margarine, vanaspati, shortening & other

manufactured fat products h. Cocoa butter replacers, cocoa butter

substitute, cocoa butter equivalent, palm mid fraction or special olein

• Processed products from : a. Palm kernel cake b. Palm oil mill effluent c. Palm biomass

II) PROCESSING OF AGRICULTURAL PRODUCE • Chocolate & chocolate confectionery • Vegetables, tubers or roots & fruits • Livestock products (Downstream & High

Value Added) • Agricultural waste or agricultural by

products • Aquatic products • Aquaculture feed • Plant extracts for pharmaceutical,

perfumery, cosmetic or food industries & essential oils

• Food supplement • Additives, flavours, colouring &

functional ingredients

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LIST OF PROMOTED PRODUCTS UNDER PROMOTION INVESTMENT ACT (PIA) 1986, (GENERAL LIST):-

II. PROCESSING OF AGRICULTURE PRODUCE

IV. MANUFACTURE OF PALM OIL PRODUCTS AND

THEIR DERIVATIVES

VIII. MANUFACTURE OF PULP, PAPER AND

PAPERBOARD

31

Agriculture waste or

agricultural by-products

Processed products from:

a) Palm kernel cake

b) Palm oil mill effluent

c) Palm biomass

PROCESSING OF AGRICULTURE PRODUCE

VII. MANUFACTURE OF WOOD-BASED PRODUCTS

Design, development and

production of wooden

furniture

IX. MANUFACTURE OF KENAF-BASED PRODUCTS

Corrugated medium paper,

testliner or kraftliner or kraft

paper and paperboard

Kenaf based products such as

animal feed kenaf particle or

fibre, reconstituted panel board

or products

(particleboard,medium density

fibreboard) and moulded

products

Engineered wood products

excluding plywood

LIST OF PROMOTED PRODUCTS UNDER PROMOTION INVESTMENT ACT (PIA) 1986, (GENERAL LIST):-

II) PROCESSING OF AGRICULTURAL PRODUCE • Coffee • Tea • Fruits • Vegetables • Herbs or Spices • Cocoa and cocoa products • Coconut products except copra and crude coconut oil • Starch and starch products • Cereal products • Sugar and confectionery products • Plant Extracts • Apiculture products • Animal Feed Ingredients • Agricultural waste and by-products

32

LIST OF PROMOTED PRODUCTS UNDER PROMOTION INVESTMENT ACT (PIA) 1986, (SMALL SCALE):-

II. PROCESSING OF AGRICULTURAL PRODUCE

III. FORESTRY PRODUCTS

V. MANUFACTURE OF OIL PALM PRODUCTS AND

THEIR DERIVATES

VII. MANUFACTURE OF WOOD AND WOOD PRODUCTS

XVI. MANUFACTURE OF FURNITURE PARTS AND

COMPONENTS

VIII. MANUFACTURER OF PAPER AND PAPERBOARD

PRODUCTS

Agricultural waste and

by-products

Rattan products, bamboo

products & other forestry

products

Timber mouldings,BCJ,

decorative panel boards,

wooden household and office

articles and products derived

from utilization of wood waste

(eg. activated charcoal,

wooden briquettes, wood

wool)

Furniture, parts and

components

Process products from

palm biomass/ waste/

by-products

Moulded paper products

LIST OF PROMOTED PRODUCTS UNDER PROMOTION INVESTMENT ACT (PIA) 1986, (SMALL SCALE):-

INVESTMENT INCENTIVES

Major Incentives

Incentives

Incentives offered under General List, Promotion of

Investment Act 1986

PIONEER STATUS Income tax exemption of 70%

of statutory income for 5 years; or INVESTMENT TAX ALLOWANCE

Investment tax allowance of 60% on the qualifying capital expenditure incurred within a period of 5 to be utilized against 70% of statutory income for each assessment year.

Category of Promoted Activities/Products

• Processing of Agricultural Produce Agricultural waste or agricultural by-products

• Manufacture of palm oil products and their derivatives Processed products from:

a. Palm kernel cake b. Palm oil mill effluent c. Palm biomass

• Manufacturing related services Environmental Management:

i. Toxic and non-toxic waste ii. Chemicals iii. Reclaimed rubber

Incentives offered for Small Scale Companies, Promotion of Investment Act 1986

PIONEER STATUS Income tax exemption of 100% of statutory income for 5 years; or

INVESTMENT TAX ALLOWANCE Investment tax allowance of 60% on the qualifying capital expenditure incurred within a period of 5 to be utilized against 100% of statutory income for each assessment year.

Category of Promoted Activities/Products

• Processing of Agricultural Produce Agricultural waste and by-products

• Manufacture of oil palm products and their derivatives Processed products from palm oil

Definition of Small Scale Companies • Companies with shareholders fund not exceeding RM2.5 million and having 60% or

100% Malaysian equity.

Special Incentives For Selected Industries, Promotion of Investment Act 1986

PIONEER STATUS

Income tax exemption of 100% of statutory income for 10 years; or INVESTMENT TAX ALLOWANCE

Investment tax allowance of 100% on the qualifying capital expenditure incurred within a period of 5 to be utilized against 100% of statutory income for each assessment year

Category of Promoted Activities/Products

• Oil Palm Biomass Utilization of Oil Palm Biomass to Produce Value Added Products

Incentives for Reinvestment Under Resource-Based Industry by Existing Companies

(Rubber Based, Palm Oil Based and Wood Based) Pioneer Status (PS) with income tax exemption of 70% of statutory income

for 5 years; or

Investment Tax Allowance (ITA) of 60% of additional qualifying capital expenditure incurred within a period of 5 years. The allowance can be offset against 70% of statutory income for each assessment year.

Medical

Devices

356.0

(61%)

RM 1 billion fund to accelerate the shift of Malaysian-owned companies in targeted industries to high value added, high technology, knowledge intensive & innovation-based industries.

Matching Grants (1:1) will cater for expenditures incurred for the following activities: Training of Malaysians R&D activities carried out in Malaysia Modernisation and upgrading of facilities and

tools to undertake manufacturing or services activities for MNCs and Malaysian conglomerates (outsourcing activities)

Obtaining international standards / certification

Licensing or purchase of new/high technology

Eligible activities (priority sectors): Aerospace Medical Services Pharmaceuticals Advanced Electronics Machinery & Equipment Renewable Energy Services (design, R&D, testing,

quality & standard certification, engineering services, technical and skills training and logistics service providers (3PL)

Other Industries, on a case by case basis

Eligibility Criteria: • Incorporated under Companies Act, 1965 • New / existing companies in the manufacturing

and services sectors with at least 60% Malaysian equity

DOMESTIC INVESTMENT STRATEGIC FUND (DISF)

41

EMPLOYMENT OF EXPATRIATE PERSONNEL

Transfer of Technology & Technical Know-How

Key Post (Permanent Post) Managerial level Number of post depends on total foreign equity

Term Post (2 – 5 years) Technical and supervisory level Number of post depend on company requirement

NEW

INCENTIVES

UNDER

INCENTIVES FOR LESS DEVELOPED AREAS

To encourage more equitable regional development and inclusiveness, the special incentives packages provided under Ecs are enhanced to include more areas that are less developed Objectives: √ √ √

Ensure continued promotion of investment in less developed areas

Enhance private sector involvement in development of less developed areas

Transform less developed areas into major business centres by enhancing local business activities

INCENTIVES FOR LESS DEVELOPED AREAS

Existing companies

expanding their

operation into the

less developed

areas; OR

Newly established

companies

AUTOMATION CAPITAL ALLOWANCE TO INCREASE

AUTOMATION IN

LABOUR-INTENSIVE INDUSTRIES

To encourage automation in the manufacturing sector.

Objectives:

To encourage manufacturing companies to engage in innovative and productive activities;

To encourage the quick adoption of automation especially for the most reliance foreign labour industries; and

To spur automation initiatives even harder.

AUTOMATION CAPITAL ALLOWANCE (ACA)

TYPE OF INCENTIVE

Category 1: Labour intensive industries

(rubber products, plastics,

wood, furniture and textiles) –

ACA of 200% on the first RM4

million expenditure incurred

within 3 years of assessment

(2015-2017)

Category 2: Other industries - ACA of

200% on the first RM2 million

expenditure incurred within

Year of Assessment 2015 to

2020.

TARGET

GROUP

Manufacturing

companies (labour

and non-labour

intensive)

operating at least

36 months in

Malaysia

IMPLEMENTATION

TIMELINE

Category 1: Year of Assessment (YA)

2015 – YA 2017

Category 2: Year of Assessment

(YA) 2015 – YA 2020

48

ELIGIBILITY CRITERIA

Possesses a valid Business License from Local Authority &

Manufacturing License from MITI

Company residing in Malaysia & in operation for at least 36

months

Expenditure incurred within the relevant years of

assessment

INCENTIVES FOR HALAL FOOD INDUSTRY UNDER OTHER MINISTRY / AGENCY :

50

USD 2.3 trillion

• Approximately 67% of

potentially Halal products are categorized as fast moving consumer goods (FMCG)

• Food FMCG and primary meat together account for

62% of the market.

Does not include Islamic Financial Services. Services involved in final product e.g. certification, logistics, R&D are included in sectoral values ** Based on sales revenue *** Halal processed food is taken as 66% of the total based on world halal meat consumption **** Only non-alcoholic beverages Source: Euromonitor reports; FAOSTAT

51

Sizeable and growing Muslim population

worldwide – the size of the global Muslim

population as at 2010 is 1.6 billion and it is

forecasted to grow twice as fast as the non-

Muslim population.

Economic development in Muslim countries

results in a faster growing gross domestic

product (GDP) per Muslim capita than its global

counterparts. Malaysia’s Muslims rank 4th in

terms of purchasing power amongst the global

Muslim population.

4,185

11,042

1,763

6,530

-

2,000

4,000

6,000

8,000

10,000

12,000

1990 2010

GD

P(U

SD

)

Gross Domestic Product (USD) Per Capita

Global Muslims

CAGR: 5.0%

CAGR: 6.8%

Growing purchasing power of Muslim

Source: PEW Research Centre

1.1 1.3 1.6 1.9 2.2

4.0

4.8 5.0

5.4 5.8

-

1

2

3

4

5

6

7

8

9

1990 2000 2010 2020 2030

Bill

ion

s

Muslims Non-Muslims

World population (1990 – 2030): Muslim versus Non-Muslim

21.5% 21.3% 24.2% 24.7%

27.5% of world population is Muslim

Growing population of Muslim

Source: PEW Research Centre

52

Malaysia exported RM 42 billion of halal products in 2015.

In 2014, Malaysia exported RM 37.7 billion of halal products representing 5.1% of the

total exports for the country.

RM 50 billion is to be targeted for 2016.

Source: State of Global Islamic Economy Report 2015 and Thomson Reuter Consultancy

Production and Services

Infrastructure

Government Support

Human Capital

Reference Centre

Halal as the new source of

economic growth

• Halal food & beverages • Halal cosmetics & personal care • Halal Ingredients • Halal services (logistic, banking,

takaful, healthcare & tourism

• Halal Industrial Parks • Halal R&D – testing lab • Traceability system • Standard & certification

• Ministry / Agency : MITI, MIDA, HDC, MATRADE, SME Corp. • Certification: JAKIM • Standards Development: Standards Malaysia • Enforcement: Ministry of Domestic Trade

• Halal Talent Development Program

• Halal Knowledge Workers • Halal Executives & Auditors • Syllabus in universities & colleges

• Advisory centre • Data warehouse • Knowledge dissemination tools • Business and market

intelligence

Source: Economic Planning Unit, Prime Minister’s Department

Malaysia’s Halal ecosystem – various halal sectors co-exist and supported by proper certification system, infrastructure and human capital development program

Medical

Devices

356.0

(61%)

Halal Park Operators

i. Pioneer Status with income tax exemption of 100% of the statutory income for a period of 10 years

or

ii. Investment Tax Allowance of 100% of qualifying capital expenditure within a period of 5 years.

Halal Park Players i. Investment Tax Allowance of 100% of

qualifying capital expenditure within a period of 10 years. This allowance can be set off against 100% of statutory income in each year of assessment;

or

ii. Income tax exemption on export sales for a period of 5 years.

iii. 4 eligible sectors : • Specialty Processed Food • Pharmaceuticals, cosmetics and

personal care products • Livestock and Meat Product • Halal Ingredients

Halal Logistics Operators i. Income tax exemption of 100% of the

statutory income for a period of 5 years

or

ii. Investment Tax Allowance of 100% of qualifying capital expenditure within a period of 5 years.

56 56

PERLIS HALAL PARK

PENGKALAN CHEPA

HALAL PARK

MARA HALAL PARK KUALA

PERLIS

KEDAH HALAL PARK

MARA HALAL PARK TAMBUN

TERENGGANU HALAL PARK

MARA HALAL PARK

KUCHING

LABUAN DISTRIBUTIVE

HUB

POIC LAHAD DATU

GAMBANG HALAL PARK

POIC TG LANGSAT

TG MANIS HALAL HUB

PASIR MAS HALAL PARK

SEDENAK INDUSTRIAL PARK

MELAKA HALAL HUB

PEDAS HALAL PARK

TECHPARK@ENSTEK

SELANGOR HALAL HUB

PKFZ NATIONAL HALAL PARK

PERDA HALAL PARK

PENANG INTERNATIONAL

HALAL PARK

Total Parks

22

HALMAS (14)

Non HALMAS (8)

KOTA KINABALU

Total Investment

RM 10.93 Billion

57

HALMAS STATUS

HALMAS status is an accreditation given to the Halal Park

Operators who have complied with the requirements under

the HDC Designated Halal Park Development Guidelines.

With the HALMAS status, the Operators, Industry Players

and Logistics Operators can enjoy incentives provided by

HDC in Halal Industry.

Medical

Devices

356.0

(61%) APPLICATION SHOULD BE SUBMITTED TO THE

MINISTRY OF AGRICULTURE AND AGRO-BASED INDUSTRY (MOA)

100% Income tax exemption on statutory

income for 10 years (new project)

5 years (expansion project)

Vegetables Herbs

Fruits

Sheep

Spices

Kenaf

Aquaculture

Cattles

Goats

Buffaloes

Extension of Incentive for Food Production until 2020

Rearing of deer, cultivation of mushroom, coconut, seaweed, honey bee, kelulut / trigona (Budget 2016)

Malaysia Your Profit Centre in Asia

59

Thank You Mr. Mohd. Rasli Muda Director, Food Technology & Sustainable Resources Division MIDA Sentral No. 5 Jalan Stesen Sentral 5, KL Sentral 50470 Kuala Lumpur Tel: +603 – 2267 3643 Fax: +603 – 2273 8467 Email: investmalaysia@mida.gov.my / rasli@mida.gov.my