ID :
208862
Thu, 09/22/2011 - 14:35
Auther :
Shortlink :
https://oananews.org//node/208862
The shortlink copeid
EXPORT OF MALAYSIAN TIMBER-BASED FURNITURE IN 2011 AFFECTED BY GLOBAL ECONOMIC SLOWDOWN
KUALA LUMPUR (Bernama) -- The export of Malaysian timber-based
furniture in 2011 is expected to remain at last year's level of RM6.5 billion
(US$2.16 billion) due to the impact of the global economic slowdown and inherent
problems in the United States and Europe.
Deputy Minister of Plantation, Industries and Commodities, Hamzah Zainudin
said the strengthening of the ringgit had also impacted exports.
"The furniture industry is a very competitive market and we have to find
ways to reduce costs, such as increasing the adoption of innovative technology
in the machining process, while reducing reliance on foreign workers," he said
during the official opening of the Aseanwood-Woodtech 2011 Thursday.
Even within Asean, he said Malaysian timber-based furniture
manufacturers faced stiff competition from Vietnam, which is now becoming a
strong player.
"We are aware of the various challenges faced by the wood-based industry and
the ministry has initiated appropriate programmes to ensure that there is
sufficient supply of raw materials and skilled workers for the furniture
industry," Hamzah added.
He said through the promotion of forest plantations, the ministry is
encouraging the replanting of old and unproductive rubber trees, with fast
growing timber species.
"At the same time, we are providing soft loans to entrepreneurs, who can
increase the areas for forest plantation.
"We also encourage more research and development on the utilisation of
bio-composite and other alternative materials.
"These measures taken collectively, are expected to facilitate the
industry's growth and hopefully, Malaysia will export RM53 billion (U$11.66
billion) worth of furniture and other wood-based products by 2020," he added.
Hamzah also stressed that there is a need to increase exports of
downstream timber-based products.
"Over the years, the wood-based industry has undergone major changes and it
is now a major exporter of processed and finished wood products, in particular
the furniture manufacturing industry," he said.
He said Malaysia is also actively promoting the green image of the
timber industry through the Malaysian Timber Certification Scheme (MTCS).
"This scheme ensures that all Malaysian timber products are produced from
legal and sustainable sources. We are determined to fortify our position by
concluding the Voluntary Partnership Agreement (VPA) under the EU-Forest Law
Enforcement, Governance and Trade (FLEGT).
"We are hoping that with the full support of all state governments,
especially Sarawak, this VPA can be signed by the year-end.
"If this happens, then timber product exporters here, will be
able to enjoy an easier access to the lucrative EU market," he added.
Hamzah said as of last year, exports of timber-based furniture constituted
5.75 per cent of the total exports of commodities and commodities-based
products.
furniture in 2011 is expected to remain at last year's level of RM6.5 billion
(US$2.16 billion) due to the impact of the global economic slowdown and inherent
problems in the United States and Europe.
Deputy Minister of Plantation, Industries and Commodities, Hamzah Zainudin
said the strengthening of the ringgit had also impacted exports.
"The furniture industry is a very competitive market and we have to find
ways to reduce costs, such as increasing the adoption of innovative technology
in the machining process, while reducing reliance on foreign workers," he said
during the official opening of the Aseanwood-Woodtech 2011 Thursday.
Even within Asean, he said Malaysian timber-based furniture
manufacturers faced stiff competition from Vietnam, which is now becoming a
strong player.
"We are aware of the various challenges faced by the wood-based industry and
the ministry has initiated appropriate programmes to ensure that there is
sufficient supply of raw materials and skilled workers for the furniture
industry," Hamzah added.
He said through the promotion of forest plantations, the ministry is
encouraging the replanting of old and unproductive rubber trees, with fast
growing timber species.
"At the same time, we are providing soft loans to entrepreneurs, who can
increase the areas for forest plantation.
"We also encourage more research and development on the utilisation of
bio-composite and other alternative materials.
"These measures taken collectively, are expected to facilitate the
industry's growth and hopefully, Malaysia will export RM53 billion (U$11.66
billion) worth of furniture and other wood-based products by 2020," he added.
Hamzah also stressed that there is a need to increase exports of
downstream timber-based products.
"Over the years, the wood-based industry has undergone major changes and it
is now a major exporter of processed and finished wood products, in particular
the furniture manufacturing industry," he said.
He said Malaysia is also actively promoting the green image of the
timber industry through the Malaysian Timber Certification Scheme (MTCS).
"This scheme ensures that all Malaysian timber products are produced from
legal and sustainable sources. We are determined to fortify our position by
concluding the Voluntary Partnership Agreement (VPA) under the EU-Forest Law
Enforcement, Governance and Trade (FLEGT).
"We are hoping that with the full support of all state governments,
especially Sarawak, this VPA can be signed by the year-end.
"If this happens, then timber product exporters here, will be
able to enjoy an easier access to the lucrative EU market," he added.
Hamzah said as of last year, exports of timber-based furniture constituted
5.75 per cent of the total exports of commodities and commodities-based
products.
