Kuala Lumpur, 18 July 2019 – Despite global trade challenge, 59% of Malaysian business bullish on trade performance during this year.
This was revealed by Sage, the market leader in cloud business management solutions, as they unveiled the “We Power the Nation” study. The report was commissioned to explore the impact of international trade on Malaysia, which also included data on 3,000 businesses across 12 countries.
Despite the volatility resulting from the China-US trade war, Malaysian business players still continue to rely on the trading partner such as China, USA, and Japan. Thus, diversification of the market would be a priority given the current global of trade uncertainty.
Sage Asia and Matrade commented that they encourage Malaysian companies to explore the opportunities in non-traditional markets such as in Africa, West Asia, and Latin America.
Moreover, digital tools can be considered as a key enabler to facilitate global trade as well to reduce the trade barrier for Malaysian business.
The survey reported that half of the local business are keen to adopt these tools to support ease of market entry, ensure compliance with local regulation and help to remove complexity.
“Our data demonstrates that companies which implement digital tools that have multi-jurisdiction functionality are less worried about compliance in every market they export to, providing them with greater security and reduced risk. This will be an advantage compared to those who still use manual methods,”
said Arlene Wherrett, Vice President and Managing Director, Sage Asia.
With the local business set on the international markets, local government support is vital to help these business players to identify the incentives and funding as a primary need.
“There are various sources of financial support provided by government agencies in the forms of grants and soft loans. Matrade encourages Malaysian companies to build their knowledge of market access strategy by attending our training and workshops,”
Dato’ Wan Latiff Wan Musa, Chief Executive Officer of MATRADE
Overall, Malaysia expects total exports to breach RM1 trillion in 2019, as projected by the Ministry of International Trade and Industry (MITI) on the back of stronger exports of high valued products.
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