M'SIA TO CONTINUE EXPORT PROMOTION ACTIVITIES

KUALA LUMPUR, Sept 24 (Bernama) -- Malaysia will continue its export
promotion activities to boost growth over the long term,International Trade and
Industry Minister, Mustapa Mohamed said Thursday.

"We do not do short term export promotion activities. We will continue to
promote exports aggressively in traditional and non-traditional markets to
sustain growth over the long term," Mustapa told a media briefing here Thursday.

He explained that the current sluggish export performance was due to the
impact of the global financial crisis, but some sectors like electronics and
electrical are beginning to see signs of recovery.

Demand in the electronic and electrical sectors has been sluggish between
the end of last year and the first half of 2009, he said.

Mustapa stated that at a recent meeting with players from the sectors, it
was pointed out that additional orders were observed as well as the need for
more foreign labour.

The furniture industry is also seeing a pick up in demand with an increase
orders, he added.

"But there are many things not within our control. One example is, prices,"
he said.

Mustapa also pointed out that the opening up of the Asean market would
further boost intra-regional trade.

Effective Jan 1, 2010, Malaysia and the other five Asean countries --
Brunei, Indonesia, the Philippines, Singapore and Thailand -- will be a
complete free trade area.

The duties on all products would be abolished.Malaysia is committed to
eliminating duties on over 2,123 tariff lines.

China and Korea will also eliminate duties on 90 per cent of products
under the Asean China and Asean Korea Free Trade Agreements (FTAs) effective Jan
1,2010.

Malaysia and the other Asean countries will reciprocate by undertaking
similar obligations in eliminating import duties under the free trade
agreements.

Meanwhile, the Asean-India FTA and Asean-Australia and New Zealand FTAs will
also come into force on Jan 1, 2010.

With these two FTAs, the Malaysian business community can have better access
to the markets there.

-- BERNAMA