KUALA LUMPUR, July 8 — Malaysia is keen to deepen trade and economic ties with China via the Gansu province, said Deputy Minister of International Trade and Industry (MITI) Datuk Lim Ban Hong.
He said Gansu, a province in north-central China, is able to bridge Malaysia with other provinces in the country, and he has urged businesses from both nations, especially with those from the province, to capitalise on trade linkages.
Lim said the implementation of the Regional Comprehensive Economic Partnership (RCEP) provides opportunities for the business community to reap the full benefits of this mega free trade agreement.
“Malaysia and China should also leverage the International Land-Sea Trade Corridor to further strengthen trade and investment cooperation, particularly in expanding the palm oil export and investment in the halal industry.
“As such, Malaysia serves as a perfect regional hub for Chinese companies venturing abroad to expand and explore new business opportunities,” he said in a statement issued in conjunction with the opening of the 28th China Lanzhou Investment and Trade Fair 2022.
According to MITI, China is the second-largest export market for Malaysia’s palm oil, accounting for 12 per cent of the nation’s total palm oil exports in 2021.
The total export value of palm oil and other palm-based products to China was RM13.16 billion last year, an increase of 23.7 per cent from RM10.64 billion in 2020.
To leverage China’s rapid development and the great demand for Malaysia’s palm oil products, Lim said the nation is keen to provide a reliable and consistent supply of Malaysian Sustainable Palm Oil (MSPO) certified food and non-food products into the Chinese market.
Meanwhile, Malaysia’s halal export performance was encouraging in 2021, increasing by 19 per cent to RM36.3 billion from RM30.5 billion a year earlier.
Lim said the Halal Industry Development Corporation (HDC) aims to capitalise on the growing interest in halal awareness and inevitably enhance trade and investment opportunities.
This year, Malaysia has been designated as the guest country of honour at the international trade fair.
A total of 16 Malaysian companies based in China, led by the Malaysian Chambers in China (MayCham), are currently exhibiting Malaysian products and services in the Malaysia Pavilion at the Lanzhou Fair.
Lim also witnessed the signing of two business-to-business memoranda of understanding with a combined potential business worth US$18 million (US$1=RM4.42) between Malaysian and Chinese companies for future projects in targeted sectors.