SME Cooperation Forum

Malaysia, Belgium To Intensify Cooperation In SME Sector

In 2011, Malaysia and Belgium plan to strengthen cooperation in the small and medium enterprise (SME) sector to benefit the economies of both countries.

The decision was made at the bilateral meeting between Deputy International Trade and Industry Minister Datuk Jacob Dungau Sagan and Jean-Claude Marcourt, Vice-President and Minister of Economy, SMEs, Foreign Trade and New Technologies of the Wallon Government and Vice President and Minister of Higher Education of the French Community.

The Ministry of International Trade and Industry (MITI), in a statement today, said both countries would set up networking opportunities for Malaysian and Belgium SMEs to facilitate collaboration and exchange of information such as in micro financing and use of alternative energy sources.

“Malaysia and Belgium will also share experience and improve understanding of one another’s policies and operations through visits and discussions by government officials and professionals from both countries,” it said.

MITI said both countries would find ways to improve capacity building in the areas of human resource and skills development.

In Malaysia currently, SMEs account for about 99 per cent of total business establishments and contribute to 31 per cent gross domestic product, 56 per cent share of employment and 19 per cent share of exports, it said.

Meanwhile, Dungau said Malaysia’s trade with Belgium remained relatively small compared with other European Union member states.

“Malaysia’s trade with Belgium amounted to US$1.2 billion last year, an increase of 20 per cent from US$1.1 billion recorded in 2009.

“Exports to Belgium were valued at US$591.5 million, an increase of 3.9 percent, while imports were amounted to US$623 per cent, up 40.7 per cent,” he said.

In terms of investments, a total of 27 Belgian manufacturing projects valued at US$595.4 million had been implemented, while 42 manufacturing projects valued at US$245.9 million had been approved, he said.

These project are mainly in chemicals and chemical products, rubber products, food manufacturing and fabricated metal products, he said.

Dungau said potential areas of investment in Malaysia for Belgium in the manufacturing sector were green technology industry in the solar products and solar panels, electrical and electronic.

“Other areas are aerospace, medical devices and pharmaceutical product, machinery and equipment, non-metallic mineral, basic metal, oil and gas, global operation hub and logistics,” he said.