"Investments in Malaysia's Paper, Printing Industries Will Continue"

GEORGE TOWN (Penang,Malaysia), June 25 (Bernama) -- Investments in the paper and printing industries will continue, with foreign direct investments (FDIs) driving the momentum, says Malaysian Investment Development Authority (MIDA). In the first four months of this year, six projects with total investments RM264.9 million (US$82.86 million) were approved, 56 per cent was FDI and remaining 44 per cent by domestic investors. Last year, MIDA approved 37 industrial projects worth RM533.6 million (US$166.91 million), 56.7 per cent contributed by FDIs, while domestic direct investments (DDIs) accounted for the remaining 40.3 per cent. MIDA Deputy Chief Executive Officer (I) Azman Mahmud said MIDA's key performance index (KPI) for investments this year was to achieve last year's benchmark of RM533.6 million (US$166.91 million). The KPI would be achieved given the projects for the paper industry in the pipeline, he said. MIDA was negotiating with foreign investors and investments could come in once the talks are concluded, he told reporters after opening a workshop on paper and printing industries. Azman said the government also encouraged high value-added activities in the industry. Stressing that investments would come from re-investments and fresh investments, he said Malaysia faced competition from Thailand and Indonesia, especially in the paper industry, due to their vast resources. However, Malaysia could sustain in attracting investments due to its strength in modern and better infrastructure, educated and trainable people to support multinational firms' operations in the country, he said. Azman said though the emergence of the new media had pressured the industry, the players are adjusting themselves and finding a niche in the marketplace to sustain operations. On MIDA's strategies to promote investments, Azman said the agency would continue to encourage domestic investors to invest in the country to offset any possible shortfalls in FDIs due to the challenging global economy. He said MIDA encouraged DDIs in aerospace, machinery and equipment, medical devices, chemicals, oil and gas, which are identified as high growth areas under the government's Economic Transformation Programme (ETP). "MIDA is driving these industries for domestic players to come on board as it is in line with the government's aspiration to transform Malaysia into a high-income economy," he said. Besides being categorised under the resilient segment, Azman said these industries were also supported by the government as part of the ETP, which have translated into real business opportunities. -- BERNAMA