TPPA To Give Malaysia Bigger Platform To Grow High-End Products - MIDA

KUALA LUMPUR, Jan 20 (Bernama) -- The Trans-Pacific Partnership Agreement (TPPA) will give Malaysia a larger platform for growing high-end products via greater market access. Malaysian Investment Development Authority (MIDA) Deputy Chief Executive Officer N Rajendran said the trade deal was one of the attractive incentives that Malaysia could offer to draw more foreign and domestic investments. "The trade deal will enable companies to gain even more as reductions in tariff and non-tariff border barriers can trigger much larger cost savings and efficiency gains. "In addition, simplifying and harmonising across various countries' regulations in product safety, transport and other areas will enhance the durability and predictability of global supply networks," he said in his speech during the half-day dialogue on Potential Economic Impact of TPPA on the Textile and Apparel Industry in Malaysia here, Wednesday. According to Rajendran, companies today increasingly operate within elaborate global supply networks whereby the final products are made in many stages, spanning many countries and companies that are all linked together by knowledge, trade and investment. "The gains for companies and countries involved in these networks have been large in terms of enhanced innovation, lower costs and faster growth of output and jobs. "Therefore, given the current global scenario, free trade agreements (FTAs) signed by Malaysia and other potential FTAs such as the TPPA will give the country a larger platform for growing high-end products through greater market access," he said. Without such FTAs, Malaysia will run the risk of being relegated to the sidelines while other developing countries will move ahead strongly. Hence, Malaysia's full participation in these FTAs was timely and a step in the right direction to enjoy sustainable growth and move into the ranks of a high-income nation, he added. Wednesday's dialogue is part of MIDA's on-going outreach programmes to provide better awareness and understanding among industry players on various issues pertaining to the TPPA. -- BERNAMA