A comprehensive policy on the timber industry will see the sector more than double its current annual export to RM53bil by 2020.
The export of timber and timber products last year amounted to RM22.5bil, and with the National Timber Industry Plan (Natip) launched by Deputy Prime Minister Datuk Seri Najib Tun Razak Tuesday, the figure is projected to grow by 6.4% annually.
Besides boosting export figures, the policy also aimed to improve market access by illustrating Malaysia’s commitment to good forest-sector governance.
There are seven pillars in Natip: Industry structure; supply of raw materials; innovation and technology; marketing and promotion; human capital development; funding and incentives; and bumiputra participation.
Najib said the local timber industry must continue to be innovative and competitive to maintain and increase its market share.
Malaysia is the largest exporter of tropical logs and sawn timber, the second largest supplier of plywood and 10th largest exporter of furniture, he noted.
“More emphasis should be given to higher value-added downstream activities that can be expected to generate 60% of export earnings,” he said.
He added that Malaysia’s practice of sustainable management of its forests had resulted in the Malaysian Timber Certification Scheme being recognised by environment-sensitive markets such as Europe, Japan and New Zealand.
He said Malaysia is also negotiating for a voluntary partnership agreement under the European Union Forest Law Enforcement, Governance and Trade, and once the deal is inked, Malaysian timber could be shipped to EU countries without having to meet additional requirements to verify its legality status.
Plantation Industries and Commodities Datuk Peter Chin said the negotiations with EU might be reach a consensus within this year.
Asked whether the agreement could turn around the projected market contraction this year, he said he hoped so as the “impact (of the deal) would be big.”
“The EU will have an obligation to promote Malaysian timber. It is a big advantage for us and that’s why we want the agreement,” he said.
Later, Najib presented cheques totalling RM30mil in loans to eight companies involved in the Forest Plantation Development Programme.
Fourteen companies are participating in the reforestation programme, which had released RM232.5mil in loans since its inception in 2006.(The Star)
For further information log on website :
https://envdevmalaysia.wordpress.com/2009/02/17/timber-exports-to-reach-rm53b-by-2020/
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