ID :
Wed, 08/13/2008 - 09:30
Auther :


By Zakaria Abdul Wahab
SINGAPORE, Aug 13 (Bernama) -- Trade and investment between Malaysia and Singapore will continue to increase although there are uncertainties in the current global economy.

International Trade and Industry Minister, Muhyiddin Yassin, said both countries had become important trading partners over the years and would
continue to complement each other's economic and structural needs.

Opening a seminar on Business Opportunities in Malaysia, which is
jointly-organised by the trade agencies of both countries, he said Singapore
remained Malaysia's second largest trading partner after the United States last
year, accounting for 14.6 per cent of Malaysia's total trade.

He said Malaysia's total trade with Singapore also recorded an increase of
6.3 per cent to US$42.6 billion (US$1=RM3.33) last year compared with US$40.1
billion a year before.

Muhyiddin also said Singapore continued to be Malaysia's second largest
export destination last year with exports of US$26.8 billion, or 13.08 per cent,
of Singapore's total imports.

Major exports to Singapore last year included electronic and electrical
products, refined petroleum products, machinery, appliances and parts,
manufactures of metal and crude petroleum.

Cumulatively, these products contributed to 73.9 per cent of Malaysia's
total export to Singapore.

Muhyiddin said last year, approved investment from Singapore in the
manufacturing sector amounted to US$858 million in 108 projects.

Of this, US$645 million were investments in new projects while the
US$213 milllion in expansion and diversification projects.

For the first six months of this year, he said investments from Singapore
the manufacturing sector amounted to US$232 million in 56 projects from the
total 236 approved manufacturing projects amounting to US$7.2 billion.

To date, implemented projects with participation from Singapore amounted to
US$4.8 billion in 2,408 projects.

On regional economic development, Muhyiddin said Malaysia and Singapore
must take the lead to help realise the aspiration of a single Association of
South-East Asian Nations (Asean) economic community as both countries shared
more than 60 percent of the total intra-Asean trade in 2006 and were among the
largest sources of investment in the grouping.

He said with uncertainties in the World Trade Organisation trade talks, it
was critical that Asean work together and find new ways and means to secure
markets for Asean exports.
Muhyiddin also urged Singaporean companies to participate and take advantages
of the opportunities and incentives offered in the halal industry in Malaysia to
serve the growing global halal market of 1.8 billion Muslims.