MALAYSIA'S TOTAL TRADE FOR 2010 TO INCREASE BY 18 PCT, SAYS MUSTAPA

KUALA LUMPUR, Nov 9 (Bernama) -- Malaysia's total trade for 2010 is expected to
increase by 18 per cent to about RM1.16 trillion as recorded in 2008,
International Trade and Industry Minister Mustapa Mohamed said Tuesday.

He said a recovery in global demand and the ministry's intensified trade
promotion efforts were expected to push up the trade figures after a decline of
16.9 per cent last year as compared to 2008.

Total trade continued to show impressive expansion for the first nine months
this year, he told reporters at the launch of the International Trade Malaysia
2010 and the KL International Trade Forum 2010 here.

During the January to September period, total trade increased by 23 per cent to
RM864.48 billion, with exports and imports growing by 20.4 per cent and 26.4 per
cent respectively. (US$1=RM3.08)

Mustapa said a faltering recovery in the global economic may dent Malaysia's
trade performance next year in tandem with that of other countries.

However, to sustain trade growth momentum the ministry will try to expedite
ongoing free trade agreement (FTA) negotiations, boost small and medium
enterprise (SME) export, penetrate new market and reduce non-tariff barrier.

"Trade is anticipated to slow but the market will continue to expand and
diversify," he said.

On the Trans-Pacific Partnership agreement talks with eight countries, including
the United States, Mustapa said that analysts had noted that the agreement is
likely to be concluded by end of next year.

He said TPP may result an improvement in the climate of trade and investment
among participating nations, namely Australia, Brunei, Chile, New Zealand, Peru,
Singapore, Vietnam and the US.

"Malaysia is committed to free trade and we are going to be a full
participant in this process," he added.

On the impact of the ringgit appreciation on trade, Mustapa hoped that exporters
would be able to adjust and improve their competitiveness to mitigate the
effect.

He said ringgit was moving in tandem with the country's economic
fundamentals and the weakening of the US dollar and other major currencies.

"This is not a big issue as some other currencies are also appreciating," the
minister said.

"We acknowledged some exporters are facing minor difficulties but we should not
see this as impediment to grow trade between Malaysia and trading partners," he
said.
-- BERNAMA