(May-June) 2013 issue.pdf - Federation of Malaysian Manufacturers
(May-June) 2013 issue.pdf - Federation of Malaysian Manufacturers
(May-June) 2013 issue.pdf - Federation of Malaysian Manufacturers
You also want an ePaper? Increase the reach of your titles
YUMPU automatically turns print PDFs into web optimized ePapers that Google loves.
Business<br />
in Action<br />
KDN<br />
<strong>May</strong>/Jun <strong>2013</strong><br />
VOL 3/<strong>2013</strong><br />
@FMM<br />
NO: PP 16730/08/2012 (030376)<br />
2 nd Hazards Asia Pacific Symposium<br />
Switch Asia Project on Environmental Declaration Scheme<br />
Visit to Singapore Manufacturing <strong>Federation</strong><br />
www.fmm.org.my<br />
World Food Uzbekistan <strong>2013</strong>
Contents<br />
FEDERATION OF<br />
MALAYSIAN<br />
MANUFACTURERS<br />
© Copyright Reserved<br />
PUBLISHED BY<br />
<strong>Federation</strong> <strong>of</strong> <strong>Malaysian</strong> <strong>Manufacturers</strong><br />
Wisma FMM<br />
No 3, Persiaran Dagang PJU 9<br />
Bandar Sri Damansara<br />
52200 Kuala Lumpur<br />
Tel: 03-62867200<br />
Fax: 03-62741266/7288<br />
Email: webmaster@fmm.org.my<br />
Website: www.fmm.org.my<br />
FMM has eight branches and<br />
two representative <strong>of</strong>fices located in<br />
Kedah, Penang, Perak, Selangor,<br />
Negeri Sembilan, Malacca, Johor,<br />
Eastern, Sabah and Sarawak.<br />
Any material extracted from<br />
Business in Action @ FMM to be<br />
quoted or reprinted should contain<br />
an acknowledgement to FMM or its<br />
acknowledged sources.<br />
Editorial<br />
ADVISOR<br />
Dr Yeoh Oon Tean<br />
Chief Executive Officer<br />
EDITORIAL TEAM<br />
Madeline Loh<br />
General Manager (Trade)<br />
Ng Lee Lee<br />
Senior Manager<br />
International Business Division<br />
Florance S Gabriel<br />
Assistant Manager<br />
Communications and Publications Unit<br />
ADVERTISEMENTS<br />
Kenny Lee<br />
Marketing Unit (+6012-383 3857)<br />
PRINTED BY<br />
Percetakan Okid Sdn Bhd<br />
No. 2, Jalan SS13/3C<br />
Subang Jaya Industrial Estate<br />
47500 Subang Jaya, Selangor<br />
Special Feature<br />
03 2 nd Hazards Asia<br />
Pacific Symposium<br />
News Highlights<br />
04 Switch Asia Project on<br />
Environmental Declaration<br />
Scheme for Construction<br />
and Building Materials<br />
in Malaysia<br />
05 FMM Manufacturer <strong>of</strong><br />
the Year Award (SMIs)<br />
Kina Ro<strong>of</strong> Industries (Sabah)<br />
Sdn Bhd<br />
06 World Food Uzbekistan <strong>2013</strong><br />
07 Over 26 Wood Products to be<br />
Licensed by September <strong>2013</strong><br />
08 Visit to Singapore<br />
Manufacturing <strong>Federation</strong><br />
10 Conference on<br />
Marketing & Branding<br />
11 Updates on Industrial Designs<br />
(Amendment) Act <strong>2013</strong><br />
Updates<br />
12 Is Your Business Competition<br />
Law Compliant?<br />
16 Events in Pictures<br />
Trade & Policy<br />
18 Free Customs Advisory<br />
Services for FMM Members<br />
Market Alerts<br />
20 Updates on Production Costs<br />
<strong>of</strong> Mainland China<br />
Happenings at Branches<br />
22 Kedah/Perlis<br />
Malacca<br />
Sarawak<br />
24 Perak<br />
Penang<br />
26 Selangor<br />
Negeri Sembilan<br />
28 Johor<br />
02 BIA@FMM | <strong>May</strong> – Jun <strong>2013</strong>
Cover Story<br />
2 nd Hazards Asia Pacific Symposium<br />
An international audience <strong>of</strong> 240 process safety experts and regulators gathered in Kuala Lumpur for the 2 nd Hazards<br />
Asia Pacific (Hazards AP) Symposium held from April 16 – 18, <strong>2013</strong>. The Symposium was jointly organised by the<br />
Chemical Industries Council <strong>of</strong> Malaysia (CICM) and the Institution <strong>of</strong> Chemical Engineers. It was <strong>of</strong>ficiated by Tan Sri<br />
Mohd Sidek Hj Hassan, Chairman <strong>of</strong> the Petroliam Nasional Berhad (PETRONAS).<br />
With the theme: “Achieving Operational Excellence in<br />
a Competitive Environment”, the Symposium provided<br />
a platform for process safety experts and regulators to<br />
discuss the latest developments and challenges faced<br />
by companies in the Asia Pacific region on chemical<br />
process safety.<br />
Tan Sri Mohd Sidek Hj Hassan in his keynote address<br />
reminded companies that to remain competitive in the<br />
long run, chemical companies in the Asia Pacific region<br />
will need to contend with compliance to new regulations<br />
and standards, rising energy and production costs and<br />
increasing expectations to innovate and create sustainable<br />
products and businesses. He also stated that maintaining<br />
a good track record <strong>of</strong> health, safety and environment<br />
performance is a must and that it is considered as a<br />
license for companies to continue operating.<br />
In his welcome speech, CICM Chairman Dr Abd Hapiz<br />
Abdullah highlighted that “in the midst <strong>of</strong> enormous growth<br />
in the chemical industry, particularly in the Asia Pacific<br />
region, process safety continues to be more relevant than<br />
ever. What’s more, with near instant communications, if<br />
the chemical industry wants to keep<br />
its license to operate, it must improve its health, safety<br />
and environment performance by adopting a set <strong>of</strong> high<br />
standards which are receptive to the views <strong>of</strong> the public<br />
and other stakeholders”.<br />
Keynote speakers featured in the three-day symposium<br />
included Judith Hackitt, Chair <strong>of</strong> the British Health &<br />
Safety Executive, Hans Volkmar Schwarz, Group-wide<br />
Vice President <strong>of</strong> Process Safety at BASF, Datuk Wan<br />
Zulkiflee, Chief Operating Officer and Executive Vice<br />
President for Downstream Operations at PETRONAS.<br />
Group photograph <strong>of</strong> the Heads <strong>of</strong> Safety and Health in<br />
Malaysia, UK and China.<br />
Other speakers included Wang Haoshui, the Director-<br />
General in the Department <strong>of</strong> Hazardous Chemicals<br />
and Work Safety Supervision, Lee Yang Soo, Senior<br />
Vice- President for Health, Safety and Environment at<br />
SK Innovation, John Bresland, President <strong>of</strong> Process<br />
Safety Risk Assessment, Ian Hamilton, who was<br />
appointed to run the global human factors team at<br />
leading EHS consultancy practice, ERM, and Juan<br />
Gabriel, Worldwide Managing Director <strong>of</strong> Sustainable<br />
Operations for DuPont Sustainable Solutions.<br />
Among the topics addressed by the keynote speakers<br />
included Complacency to Anxiety – the Road to<br />
Process Safety Leadership, Achieving Business<br />
Sustainability Through Effective Management <strong>of</strong><br />
Process and Operational Risks, Supervision and<br />
Administration <strong>of</strong> Safety in the Chemical Industry in<br />
China, and Design <strong>of</strong> Buildings in Petrochemical<br />
Facilities Using a Risk-Based Approach.<br />
The Symposium also comprised a twin track technical<br />
programme containing more than 40 peers reviewing<br />
papers pertaining to process safety design and analysis,<br />
asset integrity, operational safety, challenges <strong>of</strong> regulatory<br />
compliance, process safety management, learning from<br />
major hazards incidents and management <strong>of</strong> abnormal<br />
operations; which highlighted the importance <strong>of</strong><br />
exchanging knowledge, learning from past mistakes<br />
and sharing <strong>of</strong> best practices.<br />
Some <strong>of</strong> the delegates who attended the<br />
Hazards Asia Pacific Symposium<br />
The next Hazards Asia Pacific Symposium is scheduled to<br />
take place in <strong>May</strong> 2014 in Kuala Lumpur.<br />
<strong>May</strong> – Jun <strong>2013</strong> | BIA@FMM 03
News Highlights<br />
Switch Asia Project on Environmental<br />
Declaration Scheme for Construction<br />
and Building Materials in Malaysia<br />
FMM had on March 14, <strong>2013</strong>, organised a free briefing and dialogue session on Identification <strong>of</strong> Environmental<br />
Declaration Scheme for Construction and Building Materials in Malaysia chaired by John Lee Boon Haw, FMM Council<br />
Member. A total <strong>of</strong> 32 participants from 25 companies manufacturing construction and building materials attended the<br />
briefing. The purpose <strong>of</strong> the briefing was to pre-screen ten product categories in the construction and building materials<br />
industry that would be selected for the project.<br />
The Switch Asia project, funded by the European Union,<br />
aims to transfer existing best practice in sustainable<br />
construction materials, which is currently absent in<br />
Malaysia. It seeks to produce tools, guidelines and the<br />
supporting mechanisms for product footprinting and<br />
labelling that meet the needs <strong>of</strong> the local and international<br />
market and create the recognition for sustainable products<br />
from SMEs in the <strong>Malaysian</strong> construction and building<br />
materials sector. The three-year project will involve an<br />
international collaboration with Carbon Trust, which is the<br />
pioneer <strong>of</strong> product carbon footprinting and carbon<br />
management in United Kingdom.<br />
Following the briefing in FMM, SIRIM Berhad as the<br />
project leader conducted a brainstorming session on<br />
March 21, <strong>2013</strong> with FMM and other project partners<br />
i.e <strong>Malaysian</strong> Green Building Confederation and Building<br />
Materials Distributors Association <strong>of</strong> Malaysia to finalise<br />
the product selection. The final product categories agreed<br />
to by all partners are as follows:<br />
• Coatings such as paint, sealant, primers;<br />
• Sanitary wares made <strong>of</strong> ceramic, metal & plastics;<br />
• Plumbing pipes made <strong>of</strong> PVC, PE, copper and steel;<br />
• Floor finishing e.g tiles, plasters, fiber cement,<br />
metal, timber;<br />
• Wall panels such as Gypsum plasters, fiber cement,<br />
timber, metal, tiles, glass;<br />
• Masonry units like concrete, clay, recycled materials;<br />
• Structural steel (truss & frame) – steel;<br />
• Ceilings such as Gypsum plasters, fiber cement,<br />
timber, metal;<br />
• Architectural metal – railing & lourves made <strong>of</strong> brass,<br />
steel and aluminum; and<br />
• Architectural ro<strong>of</strong>ing made <strong>of</strong> clay, metal sheets,<br />
concrete & recycled materials.<br />
FMM members especially the SMEs involved in the<br />
manufacturing <strong>of</strong> selected product categories are<br />
encouraged to participate in this Project as they<br />
could be among the first ten SME market leaders in<br />
Malaysia to obtain carbon footprinting for construction<br />
and building materials.<br />
For further details on the project, please contact<br />
Nur Hafizah <strong>of</strong> the FMM Secretariat at email:<br />
hafizah@fmm.org.my<br />
John Lee Boon Haw, FMM Council member (left) and Letchumi Thannimalay from SIRIM Berhad during the Q&A session at the briefing<br />
04 BIA@FMM | <strong>May</strong> – Jun <strong>2013</strong>
News Highlights<br />
FMM Manufacturer <strong>of</strong> the Year Award (SMIs)<br />
Kina Ro<strong>of</strong> Industries (Sabah) Sdn Bhd<br />
Established in 2008 by a group <strong>of</strong> businessmen with more than ten years experience in cold roll form industry, Kina<br />
Ro<strong>of</strong> is currently equipped with the most up-to-date cold roll form machines available in the market that comply<br />
with the Australian Standards; AS1599 and AS 1365.<br />
Kina Ro<strong>of</strong> is the leader in metal ro<strong>of</strong>ing industry in<br />
Sabah. This family-owned business achieved<br />
outstanding double digit sales growth and an<br />
exceptional nine-fold increase in pr<strong>of</strong>it after tax in<br />
2011. Kina Ro<strong>of</strong>’s motto is “those in the market, we<br />
improve it; those we don’t have, we do it”. Their<br />
products are patented under the brand “ROFO”<br />
On winning the award, Lau Lee Chung, Kina Ro<strong>of</strong>’s<br />
CEO said that this recognition is a good start for the<br />
Company to move in the right direction. Lau said that<br />
Kina Ro<strong>of</strong> was established with very limited financial<br />
resources and manpower. “Focus and continuous<br />
improvement were the most important factors that<br />
contributed to our success in winning the award”<br />
Lau further added.<br />
The award was presented to Kina Ro<strong>of</strong> Industries<br />
(Sabah) Sdn Bhd during FMM’s Annual Dinner held<br />
on November 29, 2012.<br />
Lau Lee Chung, Kina Ro<strong>of</strong>’s CEO (right) after receiving the award from<br />
Datuk Dr Rebecca Fatima Sta Maria, Secretary General,<br />
Ministry <strong>of</strong> International Trade and Industry (centre) while<br />
FMM President Tan Sri Datuk Yong Poh Kon looks on<br />
Visit to PKT Logistics Group Sdn Bhd<br />
On March 7, <strong>2013</strong>, 55 members led by FMM Council Member and Chairman <strong>of</strong> FMM-SMI Working Committee Tan Sri<br />
Dato’ Soong Siew Hoong visited PKT Logistics Group Sdn Bhd (PKT) at One Logistics Hub, Shah Alam. The group was<br />
welcomed by PKT’s Chief Executive Officer/Managing Director, Dato’ Michael Tio and his management team.<br />
PKT which was founded in 1974, specialises<br />
in custom clearance for cars. Located at<br />
Shah Alam, Selangor, it consists <strong>of</strong> The Ship<br />
(headquarters), The Wave (environment friendly<br />
warehouse) and The Lighthouse (warehouse<br />
expected to be ready end <strong>of</strong> this year).<br />
FMM delegates were briefed on PKT’s strategy<br />
and expansion plan by the Group Chief Operating<br />
Officer, P’ng Tean Hau. Dato’ Michael Tio shared<br />
on how he turned the company into a logistics<br />
giant and his unique management style,<br />
capitalising on the workforce <strong>of</strong> Generation Y<br />
and the social networking media, including using<br />
Facebook as a tool to achieve his business goals.<br />
The visit ended with a tour to a pineapple farm<br />
located next to the headquarters, managed by<br />
the staff <strong>of</strong> PKT Logistics.<br />
Group photograph <strong>of</strong> members who visited PKT Logistics Group Sdn Bhd on March 7, <strong>2013</strong><br />
<strong>May</strong> – Jun <strong>2013</strong> | BIA@FMM 05
News Highlights<br />
World Food Uzbekistan <strong>2013</strong><br />
Over 180 exhibitors from 25 countries participated in the World Food Uzbekistan <strong>2013</strong> which was held in Tashkent,<br />
Uzbekistan from April 3 – 5, <strong>2013</strong>. Four <strong>Malaysian</strong> companies namely Erapoly Global Sdn Bhd, Inno-Wangsa Oils<br />
and Fats Sdn Bhd, See Hau Gobal Sdn Bhd and WMA Trading Sdn Bhd participated for the first time in the Fair which<br />
attracted over 6,000 trade visitors.<br />
According to Abdulaziz A Yunusov, Regional Representative<br />
and Marketing Officer <strong>of</strong> MATRADE in Tashkent, there are<br />
vast business opportunities for <strong>Malaysian</strong> companies<br />
in Uzbekistan. <strong>Malaysian</strong> exporters can explore and work<br />
with the local importers or purchasers who are interested<br />
in their products.<br />
Business matching discussion in progress at the Exhibition<br />
Chow Kien Yu (left) <strong>of</strong> See Hau Global being interviewed by the<br />
local Uzbekistan TV station<br />
06 BIA@FMM | <strong>May</strong> – Jun <strong>2013</strong>
News Highlights<br />
Over 26 Wood Products to be Licensed by<br />
September <strong>2013</strong><br />
The Customs Prohibition <strong>of</strong> Export and Import Order 2012 was gazetted on December 31, 2012. The new regulation<br />
requires exporters <strong>of</strong> 26 types <strong>of</strong> wood products and importers <strong>of</strong> three types <strong>of</strong> wood products to be registered and to<br />
obtain export and import licenses from <strong>Malaysian</strong> Timber Industry Council (MTIB). Implementation <strong>of</strong> the new ruling would<br />
come into effect on September <strong>2013</strong>.<br />
FMM, in a letter dated April 18, <strong>2013</strong> to the Director-General <strong>of</strong> MTIB, highlighted the following concerns raised by<br />
FMM members on the imposition <strong>of</strong> the above new regulation:<br />
• Additional cost incurred in applying for the license which adds to the cost <strong>of</strong> doing business. These include application<br />
fees and membership fees to join the associations as listed by MTIB;<br />
• Requirement to be a member <strong>of</strong> the listed associations even through some <strong>of</strong> the members are already members <strong>of</strong><br />
FMM or other associations;<br />
• Imposition <strong>of</strong> export taxes on finished wood products is unnecessary and acts as a non-tariff barrier to trade.<br />
It is also inconsistent with the Article XI <strong>of</strong> the World Trade Organisation’s General Agreement on Tariffs and Trade<br />
(GATT) which generally prohibits export restraints such as export licensing; and<br />
• The <strong>Malaysian</strong> Government is currently negotiating comprehensive Free Trade Agreements (FTAs) such as the Trans<br />
Pacific Partnership Agreement and the Malaysia-European Union Free FTA that require the removal <strong>of</strong> NTBs such as<br />
export licensing. This new export requirement on most wood products would only hamper the successful completion <strong>of</strong><br />
the negotiations.<br />
FMM also proposed the following:<br />
• As the main objective <strong>of</strong> imposing the regulation is to collect data on raw timber and semi-finished timber, finished<br />
products should be exempted from this requirement; and<br />
• The requirement for applicants to be a member <strong>of</strong> any one <strong>of</strong> the listed associations in the MTIB Act should be removed<br />
as it effectively increases the cost <strong>of</strong> doing business.<br />
For further information on The Customs Prohibition <strong>of</strong> Export and Import Order 2012, please contact Leong Soke Ching<br />
<strong>of</strong> the FMM Secretariat at soke_ching@fmm.org.my.<br />
FMM will be organising a Briefing on Updates on Requirement for Licenses for Export and Import on Tuesday, July 2,<br />
<strong>2013</strong>, from 9.00am to 4.30pm at Wisma FMM to update companies on the licenses requirement for wood products and<br />
other products listed in the Customs Prohibition <strong>of</strong> Export and Import Order 2012 i.e skin, leather, wool, milk based<br />
products, rice flour, fish etc.<br />
For further information on the Briefing, kindly contact Nur Hafizah <strong>of</strong> the FMM Secretariat at hafizah@fmm.org.my.<br />
<strong>May</strong> – Jun <strong>2013</strong> | BIA@FMM 07
News Highlights<br />
Visit to Singapore Manufacturing <strong>Federation</strong><br />
The SMI Working Committee and Human Resource Management Committee jointly organised a visit to the Singapore<br />
Manufacturing <strong>Federation</strong> (SMF) on April 15, <strong>2013</strong>. The 22-member delegation which included members from<br />
Johor was led by Tan Sri Dato’ Soong Siew Hoong, Chairman <strong>of</strong> the FMM SMI Committee and Davies Danavaindran,<br />
FMM Vice President and Chairman <strong>of</strong> the FMM HRM Committee.<br />
The main objective <strong>of</strong> the visit was to better understand <strong>issue</strong>s affecting the manufacturing sector in Singapore, including<br />
Government policies and incentives for SMEs. The delegation was received by SMF President, George Huang.<br />
Key highlights <strong>of</strong> the visit include the following:<br />
• Minimum Wage – Singapore does not have a minimum wage policy as the Government believes that supply and<br />
demand would determine the right wages;<br />
• Foreign Workers (FW) – There is a tightening <strong>of</strong> foreign worker employment in Singapore. The tightening was triggered in<br />
early 2000 when the Singaporean economy overheated. The high growth was unsustainable as it was heavily dependent<br />
on foreign workers. Singapore decided to grow the economy by improving productivity. A huge fund was set aside<br />
each year by the Government to assist industries increase productivity, including implementing ERP and automation.<br />
The growth in productivity and revenue is shared with companies and workers. To reduce FW dependence, the<br />
Government increases the levy each year. However, the levy is given back to industries to upgrade/automate. A quota<br />
is imposed on FW employment based on industry as some industries in Singapore still require FW as locals are not<br />
prepared to work over time;<br />
• Employment Practices – The Singapore National Employers’ <strong>Federation</strong> formed a Tripartite Committee with representatives<br />
from the public and private sectors and unions to resolve all <strong>issue</strong>s related to human resource. Retirement age in<br />
Singapore is 62 years old. The Government has a Retirement and Re-employment policy. Unemployment is 1.9%; and<br />
• Assistance for SMEs – Singapore has over 160 finance and grant schemes for SMEs. Incentives given are always<br />
tied to productivity. Grants are given to activities such as investment in ICT and establishing operations in the Iskandar<br />
region and Riau. Singapore has SME Centres to provide consultation.<br />
SMF believes that political boundaries should not deter investments from both sides and looks forward to greater exchange<br />
<strong>of</strong> visits and discussions, including setting up joint working groups to discuss <strong>issue</strong>s affecting the manufacturing sector <strong>of</strong><br />
both countries. The one-day visit ended with a tour to Makino Asia Pte Ltd, a precision engineering company producing<br />
milling machines and electrical discharge machines.<br />
Group photograph <strong>of</strong> the visit to Singapore Manufacturing <strong>Federation</strong> on April 15, <strong>2013</strong><br />
08 BIA@FMM | <strong>May</strong> – Jun <strong>2013</strong>
NOW ON SALE!<br />
Contents<br />
• Comprehensive and reliable one-stop<br />
business sourcing handbook that<br />
provides in-depth pr<strong>of</strong>iles <strong>of</strong> over<br />
2,400 manufacturers, exporters and<br />
service providers;<br />
• Product index <strong>of</strong> over 11,500 items<br />
to provide importers, exporters and<br />
buyers with quick and easy reference<br />
for business opportunities;<br />
• The latest information on the <strong>Malaysian</strong><br />
Economy, trade statistics;<br />
• A list and contact details <strong>of</strong> Ministers<br />
and Ministries in Malaysia;<br />
• Easy-to-refer index according to<br />
states, industry groupings, products and<br />
services and certified ISO companies,<br />
in alphabetical order; and<br />
• Classification by industry groups based<br />
on International Standard Industrial<br />
Classification (ISIC) code.<br />
Products & Services Catalogue for:<br />
• Chemical and Petroleum;<br />
• Food, Beverage and Tobacco;<br />
• Electrical and Electronics;<br />
• Fabricated Metal;<br />
• Machinery;<br />
• Plastic;<br />
• Transport;<br />
• Basic Metal;<br />
• Paper, Printing and Publishing;<br />
• Non-Metallic Mineral;<br />
• Rubber;<br />
• Medical, Precision and Optical Instruments;<br />
• Textile, Wearing Apparel and Leather;<br />
• Manufacture <strong>of</strong> Furniture Wood and<br />
Wood Products; and<br />
• Recycling.<br />
<strong>Federation</strong> <strong>of</strong> <strong>Malaysian</strong> <strong>Manufacturers</strong> (7907–X)<br />
Wisma FMM, No 3, Persiaran Dagang, PJU 9, Bandar Sri Damansara, 52200 Kuala Lumpur<br />
Tel: 03-62867200 Fax: 03-62741266/7288 E-mail: webmaster@fmm.org.my Website: www.fmm.org.my<br />
Communications & Publications Unit (Attn: Ida Tan)<br />
NOW ON SALE at FMM Head Office, Branches and Representative Offices<br />
<strong>May</strong> – Jun <strong>2013</strong> | BIA@FMM 09
News Highlights<br />
Conference on Marketing & Branding<br />
Atotal <strong>of</strong> 192 participants comprising Chief Executive Officers, Managing Directors, General Managers, Marketing<br />
Managers, Brand/Product Managers, Marketing Communication Managers, Customer Relationship Managers,<br />
Business Development Managers or Executives attended the FMM Conference on Marketing & Branding which was<br />
held on April 18, <strong>2013</strong> with the theme Retail Marketing – Insights & Opportunities in Engaging Consumers.<br />
The event was <strong>of</strong>ficiated by<br />
Dato' Saripuddin Kassim, Secretary<br />
General, Ministry <strong>of</strong> Domestic Trade,<br />
Cooperatives and Consumerism.<br />
One <strong>of</strong> the <strong>issue</strong>s raised during the<br />
dialogue session with Dato’ Saripuddin<br />
Kassim was the inability <strong>of</strong> SMEs<br />
to supply to hypermarkets due to<br />
high listing and advertisement rates.<br />
The Secretary General requested<br />
FMM to coordinate a meeting among its<br />
members and to submit its proposals to<br />
reduce listing fees in hypermarkets.<br />
Speakers at the Conference included<br />
senior representatives from Retail<br />
Group Malaysia, Nielsen Malaysia and<br />
Singapore, Nelson’s Franchise,<br />
dunnhumby Malaysia, CBSA Online<br />
Sdn Bhd and MYDIN.<br />
FMM Marketing & Branding Conference <strong>2013</strong> attracted over 200 participants<br />
MTDCC Secretary General, Dato’ Saripuddin Kassim (centre) receiving a token<br />
<strong>of</strong> appreciation from FMM President, Tan Sri Datuk Yong Poh Kon (left) while<br />
YM Raja Dato’ Abd Aziz Bin Raja Muda Musa, Vice President <strong>of</strong> FMM looks on<br />
Caroline Chong <strong>of</strong> dunnhumby Malaysia briefing<br />
participants on TESCO’s Loyalty Programme<br />
10 BIA@FMM | <strong>May</strong> – Jun <strong>2013</strong>
News Highlights<br />
Updates on Industrial Designs (Amendment)<br />
Act <strong>2013</strong><br />
At a recent meeting <strong>of</strong> the FMM Branding and Intellectual<br />
Property Rights Committee held on April 5, <strong>2013</strong>, members<br />
were informed by Charmayne Ong <strong>of</strong> SKRINE that the<br />
Industrial Designs (Amendment) Act <strong>2013</strong> (“Amendment Act”)<br />
was gazetted on January 22, <strong>2013</strong> and would come into<br />
force on July 1, <strong>2013</strong>. The following are some <strong>of</strong> the<br />
amendments made to the Industrial Designs Act 1996<br />
under the Amendment Act which will have a significant<br />
effect on the protection and exploitation <strong>of</strong> industrial<br />
designs in Malaysia:<br />
• The new amendments will require prospective<br />
applicants to ensure that the design they intend to<br />
register with the <strong>Malaysian</strong> Intellectual Property<br />
Office be new on a global basis. Currently an<br />
industrial design has to be only new in Malaysia to<br />
qualify for registration. This requirement <strong>of</strong> novelty on<br />
a global basis will not apply retrospectively to cases<br />
where the design has already been registered.<br />
This would include cases where legal proceedings<br />
in respect <strong>of</strong> such registered designs are pending.<br />
However, it is crucial to note that any application for the<br />
registration <strong>of</strong> an industrial design pending on the date <strong>of</strong><br />
coming into force <strong>of</strong> the amendments will be dealt with<br />
under the IDA as amended by the Amendment Act. This<br />
being the case, although the amendments will only come<br />
into force on July 1, <strong>2013</strong> it would be necessary to ensure<br />
henceforth that designs for which registration is sought, are novel<br />
on a global basis;<br />
• The proposed amendments will enable the proprietor <strong>of</strong> an industrial<br />
design to protect an industrial design up till a maximum <strong>of</strong> 25 years<br />
(as compared to the current 15 years) provided renewal fees are paid before the<br />
expiry <strong>of</strong> each term; and<br />
• The new provisions are being included to clarify that a security interest can be created over a registered industrial<br />
design or an application for the registration <strong>of</strong> an industrial design.<br />
For further enquiries, please contact Leong Soke Ching <strong>of</strong> the FMM Secretariat at soke_ching@fmm.org.my.<br />
Requirement <strong>of</strong> Certificate <strong>of</strong> Approval for Electrical Equipments<br />
In order to enhance the safety <strong>of</strong> electrical equipments, the Energy Commission (EC) will now be regulating<br />
35 new electrical equipments. The manufacturers and importers <strong>of</strong> the electrical equipment are required to obtain<br />
the Certificate <strong>of</strong> Approval from EC before they can be sold in the market. The effective date <strong>of</strong> the implementation<br />
has been postponed from January 1, <strong>2013</strong> to January 1, 2014.<br />
The affected electrical products include massagers, air conditioners, adaptors, chargers, door bell & chimes, portable<br />
cable reels, Edison screw holders & caps, LED lamps, bottle warmer sterilizers, water dispenser/filters, dish washer<br />
and other utensils, decorative fans, ionic facial sauna or similar to it, audio/video recorder up to four channels and<br />
etc. The complete list <strong>of</strong> regulated electrical equipment can be located at http://www.fmm.org.my-Resource<br />
Center/Announcements.<br />
For enquiries, please contact <strong>May</strong>gelah Siva <strong>of</strong> the FMM Secretariat at tel: 03-62867320 or Fax: 03-62741266/7288<br />
or e-mail: maygelah@fmm.org.my.<br />
<strong>May</strong> – Jun <strong>2013</strong> | BIA@FMM 11
Updates<br />
Update on Competition Law (Part 1)<br />
Is Your Business Competition Law Compliant?<br />
The <strong>Malaysian</strong> Competition Commission (MyCC) has made it clear that the beginning <strong>of</strong> <strong>2013</strong> will see the end <strong>of</strong><br />
its ‘s<strong>of</strong>t touch’ approach to enforcement <strong>of</strong> Malaysia’s Competition Act 2010 (CA 2010), which came into force on<br />
1 January 2012. Now is the time to ensure your business is competition compliant. The best way to ensure compliance<br />
is to put in place a “competition law compliance programme”. This article sets out the steps involved in establishing a<br />
compliance programme and includes some practical tips.<br />
Where to Begin?<br />
As a preliminary step, you should ensure that the CA 2010<br />
applies to your business. The CA 2010 applies to “any<br />
commercial activity”. This is a broad concept so it is<br />
likely that the activities <strong>of</strong> most businesses in Malaysia –<br />
big and small – will be caught by the Act.<br />
What is the Purpose <strong>of</strong> a Competition<br />
Law Compliance Programme?<br />
A competition law compliance programme is designed to<br />
perform a number <strong>of</strong> key functions:<br />
• Identify any existing competition law breaches and<br />
risk areas;<br />
• Give the business an opportunity to rectify those<br />
breaches and manage the risk areas; and<br />
• Ensure that ongoing competition compliance becomes<br />
part <strong>of</strong> the culture and ethos <strong>of</strong> the business.<br />
The following steps set out how to achieve these functions<br />
in practice.<br />
STEP 1: Identifying Competiton Law<br />
Breaches or Risk Areas<br />
This initial step will be the most critical for a business<br />
undertaking a competition law compliance programme<br />
for the first time. The aim <strong>of</strong> this step is to identify:<br />
• existing agreements or practices that are, or may be,<br />
against the law; and<br />
• the areas <strong>of</strong> the business which are most at risk <strong>of</strong><br />
breaking the law in the future.<br />
In practice, this step requires a comprehensive review<br />
<strong>of</strong> all <strong>of</strong> the legal arrangements your business has in<br />
place. This will include written and verbal (gentleman’s)<br />
agreements, decisions <strong>of</strong> trade associations, as well as<br />
informal ‘understandings’ reached (through a nod and<br />
a wink) that are not documented.<br />
Written Agreements<br />
If your business has a ‘contract register’ (a formal record<br />
<strong>of</strong> the agreements entered into by the business), then you<br />
should be able to easily identify the written agreements<br />
for review. If the business does not have a record <strong>of</strong> its<br />
agreements, this may present a good opportunity to<br />
create one.<br />
Unwritten Agreements<br />
It will be much harder to identify verbal agreements or<br />
understandings that are reached as part <strong>of</strong> the day to<br />
day activities <strong>of</strong> your business. A good way to identify<br />
arrangements or practices that exist is to conduct<br />
face-to-face interviews <strong>of</strong> relevant staff members.<br />
The interview should seek to build a picture <strong>of</strong>:<br />
• who the staff member deals with outside the business;<br />
• what meetings the staff member attends;<br />
• where meetings are with competitors, what is the<br />
purpose <strong>of</strong> those meetings;<br />
• how prices are determined for goods;<br />
• how decisions are made about production or investments<br />
in new technology or production facilities; and<br />
• who makes decisions about which markets the<br />
business operates in.<br />
This is not an exhaustive list and more questions will no<br />
doubt arise as the answers are provided to the above.<br />
It will not be necessary to interview all <strong>of</strong> your staff, just<br />
those in risk areas. For example, those responsible for<br />
buying and selling, those who attend trade association<br />
meetings on behalf <strong>of</strong> your business, those involved in<br />
regular dealings with your competitors, as well as all<br />
senior management. You may wish to have someone<br />
independent <strong>of</strong> the business conduct these interviews.<br />
It should be made clear to staff members that they<br />
will not face any consequences for disclosing any<br />
arrangements or practices that are against the law.<br />
At this stage, the objective is not punishing staff<br />
members; it is to identify areas <strong>of</strong> concern for the<br />
business so that you can decide how to deal with them.<br />
Once you have established an ongoing compliance<br />
programme, you may wish to include some consequences<br />
for staff members that break the law after appropriate<br />
training has been given.<br />
"Published with permission <strong>of</strong> The <strong>Malaysian</strong> Current Law Journal<br />
Sdn Bhd and CLJ Legal Network Sdn Bhd."<br />
Part two <strong>of</strong> the article will be published in the<br />
next <strong>issue</strong> <strong>of</strong> the BIA.<br />
12 BIA@FMM | <strong>May</strong> – Jun <strong>2013</strong>
Assistance to Members<br />
Perak<br />
Flooding at Teleflex Medical Sdn Bhd<br />
Through the efforts <strong>of</strong> the Branch, Majlis Perbandaran Taiping (MPT) convened a special meeting on February 25,<br />
<strong>2013</strong> under the Taiping IPMC to discuss the acute flooding problem faced by Teleflex Medical Sdn Bhd (Teleflex).<br />
The meeting was chaired by Borhan bin Abdul Halim, Secretary for MPT and noted that the main reason for the<br />
flooding was the backflow <strong>of</strong> the water from two neighbouring factories which had weak drainage systems.<br />
The representatives from the two companies who were present at this meeting were directed to improve<br />
their drainage system within three months failing which they would be compounded. At the Taiping Regional<br />
Sub-Committee meeting on April 2, <strong>2013</strong>, Abdul Mutalib reported that one <strong>of</strong> the companies had complied and<br />
since then there have been no reoccurrence <strong>of</strong> flooding.<br />
Improving the Delivery <strong>of</strong> the State Immigration Department <strong>of</strong> Perak<br />
The Branch wrote to the Director <strong>of</strong> State Immigration <strong>of</strong> Perak on February 27, <strong>2013</strong> to highlight the following<br />
problems faced by members in their applications for foreign workers:<br />
• Queue numbers are taken up fast even though some companies arrive and queue from as early as 6.00am;<br />
• Limited number <strong>of</strong> counters are opened during peak periods;<br />
• The computer system frequently break downs; and<br />
• Calling visas take up to two weeks or more to be approved although it is indicated as three days in the<br />
acknowledgment slip.<br />
FMM made the following recommendations:<br />
• Have separate counters to process applications for foreign workers by companies and agents;<br />
• Look into the feasibility <strong>of</strong> establishing foreign workers division at regional immigration <strong>of</strong>fices to ease the<br />
load at the Ipoh Immigration Office; and<br />
• All counters should operate during the peak hours.<br />
The new Director <strong>of</strong> State Immigration <strong>of</strong> Perak, Ahmed Syam bin Che Kub @ Ab Rasid in a letter dated April 1,<br />
<strong>2013</strong>, informed that queue numbers would be abolished and additional <strong>of</strong>ficers would be stationed at the<br />
counters during the peak period from 8.00am to 10.00am. Efforts are also being taken to improve the reliability<br />
<strong>of</strong> the computer system.<br />
FMM EXPORT PROGRAMMES<br />
EXPORT SEMINAR<br />
• Cambodia & Vietnam – FMM Focus ASEAN Series: Cambodia & Vietnam – <strong>June</strong> 18, <strong>2013</strong><br />
INTERNATIONAL TRADE FAIRS<br />
• Taiwan – Food Taipei <strong>2013</strong>, Taipei – <strong>June</strong> 26−29, <strong>2013</strong><br />
• South Africa – Africa Big 7 and SAITEX, Johannesburg – <strong>June</strong> 30 – July 2, <strong>2013</strong><br />
• Indonesia – Interfood, Jakarta – August 28 – 31, <strong>2013</strong><br />
• Myanmar – Build-Con Myanmar, Yangon – September 25 – 27, <strong>2013</strong><br />
For further details, please contact Ida or Sandy <strong>of</strong> the FMM Secretariat at 03-62867200<br />
14 BIA@FMM | <strong>May</strong> – Jun <strong>2013</strong>
Events in Pictures<br />
Factory visit to Makino, Singapore, April 15, <strong>2013</strong><br />
Seminar on FMM-JETRO Energy Saving Audit, March 13, <strong>2013</strong><br />
Selangor Branch’s visit to Selangor State Investment Centre,<br />
March 14, <strong>2013</strong><br />
Kedah/Perlis Branch’s Seminar on Implementing<br />
Strategic OSH-MP 15 & Overview <strong>of</strong> Proposed<br />
Review <strong>of</strong> OSH Legislation, December 6, 2012<br />
16 BIA@FMM | <strong>May</strong> – Jun <strong>2013</strong>
Events in Pictures<br />
Trade & Investment Mission to Balikpapan, Indonesia, April 24 – 26, <strong>2013</strong><br />
FMM Marketing & Branding Conference,<br />
<strong>2013</strong>, April 18, <strong>2013</strong><br />
World Food Uzbekistan, April 3 – 5, <strong>2013</strong><br />
Briefing on Environmental Declaration Scheme,<br />
March 14, <strong>2013</strong><br />
Hannover Fair in Germany, April 8 – 12, <strong>2013</strong><br />
<strong>May</strong> – Jun <strong>2013</strong> | BIA@FMM 17
Trade & Policy<br />
Free Customs Advisory Services for<br />
FMM Members<br />
A Senior Customs Officer from the Royal <strong>Malaysian</strong> Customs Department, Choo Kim Foong is based at FMM to<br />
assist FMM members as a Customs Advisor. The services <strong>of</strong> the Customs Advisor are available at FMM from 9.00 am<br />
to 1.00 pm every Tuesday. The Customs Advisor will assist members with the following:<br />
• Provide advisory services and guidance on Customs related policies, procedures and requirements;<br />
• Resolve operational related <strong>issue</strong>s encountered at the company level; and<br />
• Assist with applications for licenses and Customs facilities.<br />
Members are encouraged to have individual meetings on a ‘one-on-one’ basis with the Customs Advisor at FMM<br />
to resolve specific <strong>issue</strong>s pertaining to their company. Common <strong>issue</strong>s and enquiries will be published in the<br />
Business in Action@FMM for members’ information. For further enquiries, please contact Arasy Velayutham at<br />
FMM Secretariat at tel: 03-62867356 or e-mail: customsadvisor@fmm.org.my.<br />
Q Where can I locate the latest amendments to the Customs Acts or Regulations?<br />
A The <strong>of</strong>ficial portal e-Federal gazette will have the latest amendments to the Customs Act or Regulations.<br />
Q What is the difference between the sales tax facilities for sales tax exemptions: CJ5 and CJP2?<br />
A Sales tax exemption CJ5 is a facility given to a licensed manufacturer to import or buy raw materials, components and<br />
packaging material from other licensed manufacturer to be used directly in the manufacturing process without paying<br />
sales tax as provided under section 9, Sales Tax Act 1972.<br />
The Customs Department also allow sales tax<br />
exemption to institutions and individuals who are not<br />
licensed under the Sales Tax Act 1972, to buy taxable<br />
goods without paying sales tax as provided under<br />
the Sales Tax (Exemption) Order 1980 by using the<br />
form CJ(P)2.<br />
Some examples where CJ(P)2 can be used are:<br />
• Sales Tax (Exemption) Order 1980, Schedule B,<br />
item 28: Trading company can apply for sales tax<br />
exemption when it buys from a sales tax licensed<br />
manufacturer to sell to a licensed manufacturer under<br />
section 65/65A <strong>of</strong> the Customs Act 1967 (LMW);<br />
• Sales Tax (Exemption) Order 1980, Schedule B, item<br />
71: Trading company can apply for sales tax<br />
exemption when it buys from a sales tax licensed<br />
manufacturer and exports the said products;<br />
• Sales Tax (Exemption) Order 1980, Schedule B, item 85: These companies can apply for exemption to buy or import<br />
packing and packaging materials from a licensed manufacturer to be used solely for the packing or packaging <strong>of</strong><br />
fresh eggs, fresh fruits, aquatic plants, aquarium marine life or cut flowers and then exported;<br />
• Sales Tax (Exemption) Order 1980, Schedule B, item 89: All goods exported to a Free Industrial Zone or moved<br />
to a manufacturing warehouse licensed under sec 65/65A <strong>of</strong> the Customs Act 1967 for subcontract work and<br />
subsequently re-imported or returned can apply to be exempted from sales tax; and<br />
• Sales Tax (Exemption) Order 1980, Schedule C, item 1 – 13: <strong>Manufacturers</strong> who manufacture goods that are not<br />
subject to sales tax can apply for sales tax exemption to buy/import raw materials/components and packaging material.<br />
This facility is only given to certain industries as stated in item 1 – 13.<br />
18 BIA@FMM | <strong>May</strong> – Jun <strong>2013</strong>
Market Alert<br />
Updates on Production Costs <strong>of</strong><br />
China Mainland<br />
Tight Labour Supply Amid Rising Labour Costs<br />
Immediately after the Chinese New Year, which fell in February this year, manufacturers generally felt the pressure <strong>of</strong><br />
labour shortages, in particular those operating in Guangdong. According to the Human Resources and Social-security<br />
Department <strong>of</strong> Guangdong, there will be around 1.2 million shortage <strong>of</strong> workers this year after the Chinese New Year.<br />
The city <strong>of</strong> Dongguan, a major production base in Guangdong, was reportedly having a labour shortage <strong>of</strong> 150,000<br />
after the Chinese New Year.<br />
According to a survey conducted by Hong Kong Trade Development Council (HKTDC) among Hong Kong manufacturers<br />
in the first quarter <strong>of</strong> <strong>2013</strong>, 50% <strong>of</strong> respondents indicated that they experienced the problem <strong>of</strong> labour shortage after the<br />
Chinese New Year. Among those having labour shortage problem 21% considered the situation to be much more serious<br />
than a year ago, while 38% considered the situation to be a bit worse than a year ago.<br />
This development has persistently pushed up the general wage level. In 2012, 25 provinces or regions in China raised<br />
the minimum wage levels by an average <strong>of</strong> 20.2%. In Guangdong, the minimum wage level will be raised again effective<br />
from <strong>May</strong> 1, <strong>2013</strong> by an average <strong>of</strong> 19.1%. The city <strong>of</strong> Shenzhen continues to have the highest level <strong>of</strong> minimum wage<br />
in China.<br />
Companies need to employ different levels <strong>of</strong> staff for different jobs. According to <strong>of</strong>ficial figures, in the first three quarters<br />
<strong>of</strong> 2012, the average wages <strong>of</strong> staff and workers in China on average increased by 12%, while in Guangdong province they<br />
increased by 11.5%. Some inland provinces recorded faster growth in the average wages <strong>of</strong> staff and workers, such as<br />
Hunan at 14.4%, Sichuan at 13% and Jiangxi at 14.8%.<br />
According to HKTDC surveys in the first quarter <strong>of</strong> <strong>2013</strong>, 78% <strong>of</strong> the responding Hong Kong companies experienced a<br />
rise in labour costs on the mainland compared to the previous quarter. For those respondents who experienced higher<br />
labour costs on the Mainland, 33.3% said the increase was more than 10% and 51.3% said the increase was between<br />
5% to 10%. Compared to the first quarter <strong>of</strong> 2012, the rates <strong>of</strong> increase appear to be moderating but the general wage<br />
level is still moving upwards.<br />
(continue on page 21<br />
20 BIA@FMM | <strong>May</strong> – Jun <strong>2013</strong>
Market Alert<br />
China’s Food Prices Surged in February <strong>2013</strong><br />
China’s inflation reached a recent low in October 2012 with the Consumer Price Index (CPI) increasing by 1.7% and<br />
food prices increasing by 1.8%, but has begun to accelerate again since then. The CPI recorded a 3.2% increase in<br />
February <strong>2013</strong> while food prices grew at 6%.<br />
Gasoline and Diesel Prices Adjusted Upward In February <strong>2013</strong><br />
Following the rise in oil prices, China followed suit and also raised the retail price <strong>of</strong> gasoline and diesel in February <strong>2013</strong>.<br />
The retail price <strong>of</strong> gasoline in Guangdong is now 10.6% higher than the level in July 2012. The increases in gasoline and<br />
diesel prices will push up transportation costs.<br />
Metal Prices Moderated on Entering February <strong>2013</strong><br />
Over the last 12 months, the general price level <strong>of</strong> metals has been volatile. Metal prices had been edging up since<br />
November 2012, but moderated on entering February <strong>2013</strong>. According to the Economist Metal Price Index, in early<br />
March <strong>2013</strong> the general price level <strong>of</strong> metals declined by about 7% within a month. However, the level in early March was<br />
still 7.5% higher than the recent trough in mid-August 2012. Over the last six months, the prices <strong>of</strong> aluminium alloy have<br />
been fluctuating within the range <strong>of</strong> US$1,800 to US$2,000 per tonne while the prices <strong>of</strong> copper have been moving in the<br />
range <strong>of</strong> US$7,600 to US$8,400 per tonne.<br />
Oil prices started to edge down after reaching a recent peak around mid-February <strong>2013</strong>. However, prices in mid-March<br />
<strong>2013</strong> were still about 21% higher compared to the ebb in <strong>June</strong> 2012. Prices <strong>of</strong> downstream products, such as plastics,<br />
have also declined since mid-February <strong>2013</strong>. The price <strong>of</strong> polypropylene (PP) in mid-March <strong>2013</strong>, for example, had<br />
dropped by about 5% from a month earlier. However, the price level <strong>of</strong> PP in mid-March <strong>2013</strong> was still about 11% higher<br />
than the level in mid-<strong>June</strong> 2012.<br />
The price <strong>of</strong> cotton has started to edge up again since November 2012. The average price <strong>of</strong> cotton in February <strong>2013</strong><br />
was about 11% higher than the level recorded in November 2012. The average price <strong>of</strong> pulp has also started to rise since<br />
September 2012. The average price <strong>of</strong> pulp in February <strong>2013</strong> was up by 7.5% compared to the level in September 2012.<br />
The Rmb Continued to Appreciate<br />
Rmb appreciation has been a major challenge for Hong Kong manufacturers operating in China. Since <strong>June</strong> 2010,<br />
China has continued with its reform <strong>of</strong> the exchange rate mechanism <strong>of</strong> the Rmb by allowing more flexible movement in<br />
its exchange rate. Since the end <strong>of</strong> July 2012, the exchange rate <strong>of</strong> the Rmb against the US dollar has generally engaged<br />
in an upward trend. By mid-March <strong>2013</strong>, the Rmb had appreciated by about 2.4% compared to the end <strong>of</strong> July 2012.<br />
China’s Export Prices Stopped Declining<br />
The growth <strong>of</strong> China’s export price index continued to slow down in 2012 and recorded declines from September to<br />
November 2012, but the price index has moved back to positive growth since December 2012. On the other hand,<br />
import price index <strong>of</strong> the US with China as origin remained in decline in the first two months <strong>of</strong> <strong>2013</strong>.<br />
Source: Billy Wong, Senior Economist (Greater China) <strong>of</strong> the HKTDC – Research.<br />
<strong>May</strong> – Jun <strong>2013</strong> | BIA@FMM 21
Happenings at Branches<br />
Kedah/Perlis<br />
The Branch organised the following activities:<br />
• Seminar on Implementing Strategic OSH-MP 15 & Overview <strong>of</strong> Proposed Review <strong>of</strong> OSH Legislation on<br />
December 6, 2012. The Seminar was conducted in collaboration with Department <strong>of</strong> Occupational Safety and Health;<br />
• Seminar on GST: Getting Started on February 27 – 28, <strong>2013</strong>.The speakers were Teh Kheng Ean, Senior Assistant<br />
Director <strong>of</strong> Customs I and Nur Hanisah Dukes bt Abdullah Senior Assistant Director <strong>of</strong> Customs II <strong>of</strong> Customs<br />
Department Putrajaya;<br />
• SME Corp Seminar on Halal Certification and Workshop on Branding and Packaging on March 15 – 16, <strong>2013</strong> in<br />
conjunction with Kedah Halal Products Exhibition <strong>2013</strong>; and<br />
• FMM Branch Institute assisted Schaefer Kalk (M) Sdn Bhd to Develop and Implement Good Manufacturing Practices<br />
(GMP) for Pharmaceutical Excipients.<br />
Teh Kheng Ean, Senior Assistant Director <strong>of</strong> Customs speaking to the participants <strong>of</strong> the Seminar on GST held on February 27 – 28, <strong>2013</strong><br />
Malacca<br />
The Branch organised a training session on <strong>Malaysian</strong><br />
Customs Classification: The Right Way to Get the<br />
Correct Tariff Code and Avoid Disputes” on March 18,<br />
<strong>2013</strong>. The event was facilitated by retired Customs<br />
Officer, Goh Kin Siang.<br />
Sarawak Representative Office<br />
The participants who attended the GS1 Briefing held at<br />
Kedah/Perlis Branch<br />
The Branch organised a Workshop titled “Bengkel<br />
Pembungkusan & Penjenamaan” from February 28 –<br />
March 1, <strong>2013</strong>. The Workshop attracted a total <strong>of</strong><br />
300 participants who were briefed on how to fill in the<br />
GS1 application form, GS1 numbering system and<br />
documents required for application.<br />
22 BIA@FMM | <strong>May</strong> – Jun <strong>2013</strong>
Happenings at Branches<br />
Perak<br />
The Branch organised the following programmes:<br />
• A two day seminar on GST for Industries: Getting Started<br />
was held from March 5 – 6, <strong>2013</strong> and facilitated by<br />
Mohammad Sabri Saad, Senior Assistant Director<br />
<strong>of</strong> Customs Department and Arvina binti Alwi,<br />
Assistant Director <strong>of</strong> Customs from the GST Task<br />
Force Unit, Putrajaya; and<br />
• Briefing on the Implementation <strong>of</strong> Guidelines on Minimum<br />
Retirement Age Act 2012 and The New Employment Act<br />
Section 81: Sexual Harassment on March 12, <strong>2013</strong>.<br />
The following Industrial Park Management Committee<br />
meetings were held:<br />
• IPMC Batu Gajah on March 13, <strong>2013</strong> which was co-chaired<br />
by Haji Dato’ Hj Jamry bin Hj Sury, Yang Dipertua<br />
(YDP) <strong>of</strong> Batu Gajah District Council (MDBG) and<br />
Teng Kim Ming, Committee Member <strong>of</strong> FMM Perak.<br />
Among the <strong>issue</strong>s discussed were thefts at the<br />
industrial estates and FMM’s objection to a cattle owner’s<br />
proposal to use the vacant plot next to Nihon Canpack<br />
for grazing cattles;<br />
• IPMC Ipoh on March 13, <strong>2013</strong> which was co-chaired<br />
by Dato’ Haji Roshidi bin Hashim, The Lord <strong>May</strong>or and<br />
Tony Cheam, Committee Member FMM Perak. Issues<br />
discussed at the meeting include FMM’s proposal <strong>of</strong><br />
utilising the road shoulders at industrial estates as a<br />
parking lot for heavy vehicles. Other <strong>issue</strong>s discussed<br />
included flooding at the Ceramic Industrial Park; and<br />
• IPMC Manjung on March 15, <strong>2013</strong> which was chaired by<br />
Azizan bin Haji Abd Muin, Secretary <strong>of</strong> Manjung Municipal<br />
Council (MPM) with FMM representing the private sector.<br />
Issues affecting the industries like rubbish disposal,<br />
dust and air pollution were discussed at the meeting.<br />
The Committee was informed that lorries parked along<br />
the road near PGEO Group were from out <strong>of</strong> state and<br />
FMM’s proposal to provide a holding bay was noted.<br />
Participants who attended the two-day Seminar on GST for<br />
Industries: Getting Started at Perak Branch<br />
Arvina binti Alwi (left) and Mohammad Sabri Saad briefing the<br />
participants on GST for Industries: Getting Started<br />
Penang<br />
The Branch’s activities include<br />
the following:<br />
• Forum on Human Resource<br />
Management Updates facilitated<br />
by Lingasparan Karuppaiah<br />
Chairman <strong>of</strong> the FMM Human<br />
Resource Management (HRM)<br />
Sub-Committee on January 10,<br />
<strong>2013</strong>; and<br />
• ICT, Biotech & Green Tech<br />
Funding Workshop held on<br />
January 30, <strong>2013</strong>. The Workshop<br />
was organised in collaboration with<br />
Malaysia Debt Ventures Berhad.<br />
Participants who attended the Forum on Human Resource Management Updates<br />
at Penang Branch<br />
24 BIA@FMM | <strong>May</strong> – Jun <strong>2013</strong>
Happenings at Branches<br />
Selangor<br />
MITI speakers (from left) Noraini Abrahim, Jaysiwanta Kaur and<br />
Aizul Kamil Ibrahim at the Briefing<br />
Members who attended the Business Opportunities Networking Session<br />
on March 21, <strong>2013</strong><br />
The Branch organised the following activities:<br />
• Briefing on Certificate <strong>of</strong> Origin on February 26, <strong>2013</strong>, in cooperation with the Ministry <strong>of</strong> International Trade and<br />
Industry to discuss on Preferential & Non-Preferential Certificate <strong>of</strong> Origin;<br />
• Briefing on Competition Act 2012 on February 28, <strong>2013</strong> conducted by Dhaniah binti Ahmad, Head <strong>of</strong> Legal Unit from<br />
the <strong>Malaysian</strong> Competition Commission;<br />
• Courtesy call to Selangor State Investment Centre on March 14, <strong>2013</strong> led by the Branch Chairman Dato’ Soh Thian Lai;<br />
• Seminar on GST for Industries: Getting Started from March 19 – 20, <strong>2013</strong> conducted by Wan Leng Whatt, Deputy<br />
Director <strong>of</strong> Customs and Annie Thomas, Assistant Director <strong>of</strong> Customs Department; and<br />
• Business Opportunities Networking Session on March 21, <strong>2013</strong> facilitated by Dr Neoh Vee Heng, Chairman <strong>of</strong><br />
FMM Selangor SMI Working Sub-Committee.<br />
Negeri Sembilan<br />
The Branch organised the following activities:<br />
• A visit to Danone Dumex (M) Sdn Bhd led by the Branch’s Vice Chairman Radzi Abdul Rashid held on March 19,<br />
<strong>2013</strong>; and<br />
• The FMM Human Resource/ Industrial Relations (HI/IR) Forum & Consultancy Session held on Tuesday, March 12, <strong>2013</strong><br />
which was attended by 19 participants.<br />
Group photograph <strong>of</strong> members who visited Danone Dumex (M) Sdn Bhd<br />
26 BIA@FMM | <strong>May</strong> – Jun <strong>2013</strong>
Happenings at Branches<br />
Johor<br />
The Branch organised the following activities:<br />
• Courtesy Call on State Economic Planning Unit<br />
Director on March 14, <strong>2013</strong>. Branch Chairman Capt (R)<br />
Hj Abdullah Shariff met Tuan Hj Elias bin Hasran,<br />
State Director and Dr. Badrul Hisham Kassim, Deputy<br />
Director <strong>of</strong> Economic Planning Unit (UPEN) Johor;<br />
• Meeting <strong>of</strong> Industrial Park Management Committee<br />
on February 1, <strong>2013</strong> which was chaired by Tuan Hj Elias<br />
bin Hasran, State Director <strong>of</strong> UPEN Johor. Among the<br />
<strong>issue</strong>s tabled by the Branch included the site <strong>of</strong> the<br />
demolished building near General Electric Sdn Bhd,<br />
long term solution for the illegal stalls operating in<br />
industrial estates, vacant land located between Kami<br />
Electronics and Malayan Sugar and scheduled cleaning<br />
at Sungai Kangkar and Sungai Tebrau; and<br />
• Meeting with PEMUDAH Johor on January 18, <strong>2013</strong> –<br />
the Branch was represented by its Vice Chairman<br />
Eiap Eng Khoon. Issues discussed at the meeting<br />
included Tenaga Nasional Berhad’s tariff conversion<br />
from commercial to industry, on-line Preferential<br />
Certificates <strong>of</strong> Origin, port security <strong>issue</strong>s and delays<br />
in issuance <strong>of</strong> Health Certificate.<br />
Capt (R) Hj Abdullah Shariff (left), Branch Chairman presenting the<br />
token <strong>of</strong> appreciation to Tuan Hj Elias Hasran, UPEN State Director<br />
New Members (March – April <strong>2013</strong>)<br />
The FMM welcomes the following 36 new members into the organisation, 29 Ordinary Members and<br />
7 Affiliate Members. The majority or 39% are from Selangor, 19% from Johor and Penang and 11% from Federal Territory,<br />
while the rest is from other states<br />
Ordinary Members<br />
• Arab Supplier Fabrication and<br />
Retail Sdn Bhd<br />
• Bee Hua Industrial Gases Sdn Bhd<br />
• Bestgen Food Sdn Bhd<br />
• BI Technologies Corporation Sdn Bhd<br />
• De Luxe Circle (M) Sdn Bhd<br />
• Diptech Industries Sdn Bhd<br />
• Flexitech Sdn Bhd<br />
• Guava S<strong>of</strong>t<br />
• Hong Yang Hoo Pharma Sdn Bhd<br />
• Hung Thong Food Technology Sdn Bhd<br />
• Kein Hing Industry Sdn Bhd<br />
• KYM Industries (M) Sdn Bhd<br />
• Linkk Busway Systems (M) Sdn Bhd<br />
• Mackenzie Industries Sdn Bhd<br />
• Memscom Technology Sdn Bhd<br />
• NBC Ventures Sdn Bhd<br />
• Platinum Green Chemicals Sdn Bhd<br />
• PMI Pneumatic (M) Sdn Bhd<br />
• PTT Corporation Sdn Bhd<br />
• Rohde & Schwarz Technologies<br />
Malaysia Sdn Bhd<br />
• Saga S<strong>of</strong>tware Sdn Bhd<br />
• Solid Print Sdn Bhd<br />
• SPM Syarikat Permainan<br />
(Malaysia) Sdn Bhd<br />
• Steriflow (Malaysia) Sdn Bhd<br />
• Summer Pacific Sdn Bhd<br />
• Sunhei Sdn Bhd<br />
• Trapia Malaysia Sdn Bhd<br />
• Trinitas Global Sdn Bhd<br />
• Trocellen S.E.A. Sdn Bhd<br />
• Vermi Industries Sdn Bhd<br />
Affiliate Members<br />
• Dagang Net Technologies Sdn Bhd<br />
• European Credit Investment Bank Ltd<br />
• Harvard Hotel (Jerai) Sdn Bhd<br />
• HCK Capital Sdn Bhd<br />
• Malaysia Debt Ventures Berhad<br />
• Senawang Indah Medical Centre Sdn Bhd<br />
28 BIA@FMM | <strong>May</strong> – Jun <strong>2013</strong>