Malaysian Commodities To Have An Edge Under TPP

PUTRAJAYA (Malaysia), Dec 15 (Bernama) -- Malaysian commodities will have an edge over competitors, Indonesia and Thailand, under the Trans-Pacific Partnership Agreement (TPPA), said Minister of Plantations, Industries and Commodities, Douglas Uggah Embas. He said the TPPA would also give the nation an edge over tropical wood product producing countries that were not in the agreement. "Under the TPPA, Malaysia will enjoy better market access for palm oil, wood and furniture products in the US, Mexico, Peru and Canada markets through the elimination of tariffs that are already enforced once the TPPA was was signed," he said this after the ministry's monthly meeting here Tuesday. Uggah said Malaysia has also maintained the export tax rate and cess, which were critical elements. "We ensured that the commodity sector, which is facing stiff competition from TPP member countries, is given a period of adaptation and appropriate protection. "Early on, the ministry was involved in negotiations to ensure that the interests and needs of our commodity sector are taken into account," he said. He said this was to establish a comprehensive trade partnership that would have a positive impact and open up a wider market for the country's commodity products. Uggah said the TPP member countries were among the biggest markets for Malaysian commodities where in 2014 an estimated RM32.64 billion in commodity exports were registered. Meanwhile, he said, the membership for Council of Palm Oil Producing Countries (CPOPC) would include Brazil, Colombia, Thailand, Ghana, Liberia, Nigeria, Papua New Guinea, Philippines and Uganda. "CPOPC seeks to promote, develop and strengthen industrial cooperation palm oil among member countries," he said. Uggah said the ministry and the Indonesian Ministry of Maritime Affairs and Coordination signed the CPOPC charter for establishment on Nov 21, 2015 in conjunction with the 27th ASEAN Summit. "Indonesia and Malaysia will each contribute initial funds totalling US$5 million (US$1 = RM4.33) for CPOPC operations," he said. Uggah said Malaysia has successfully established its position among the most competitive exporter of commodities in the world. --BERNAMA