The Malaysian Investment Development Authority (Mida) and the Federation of Malaysian Manufacturers (FMM) have partnered to connect small and medium enterprises (SMEs) with multinational corporations (MNCs) and large local companies (LLCs), enabling SMEs to become competitive global manufacturers and suppliers. This collaboration aims to overcome entry barriers, accelerate industrial growth, and strengthen the regional economy by leveraging the unique strengths and advantages of each entity involved.
BUTTERWORTH, 22 June 2023 – The Malaysian Investment Development Authority (Mida) and the Federation of Malaysian Manufacturers (FMM) have launched a strategic initiative aimed at connecting small and medium enterprises (SMEs) with multinational corporations (MNCs) and large local companies (LLCs). This collaborative effort aims to enhance the competitiveness of SMEs and position them as global manufacturers and suppliers, fostering industrial growth and contributing to the overall economy.
The partnership between Mida and FMM seeks to empower local companies, particularly SMEs, by overcoming entry barriers and facilitating their integration into the global supply chain. By leveraging the expertise, economies of scale, and technological advancements of MNCs and LLCs, combined with the agility, innovation, and decision-making capabilities of SMEs, this initiative creates a formidable force driving economic growth and supporting job creation.
“We are dedicated to nurturing the growth of businesses, not just in terms of size, but also in terms of their capabilities. To achieve this, it is imperative that local companies stay at the forefront of technological advancements, especially in the context of the Industry 4.0 revolution,” stated Tan Sri Dr Sulaiman Mahbob, Chairman of Mida. “Through partnerships and collaborations, we can harness the full potential of our nation’s economy and ensure its robust growth.”
The manufacturing sector in Malaysia continues to attract substantial investments, with a value of RM15.6 billion and the approval of 192 manufacturing projects, set to create over 11,900 new job opportunities. This commitment demonstrates the government’s dedication to safeguarding investor interests and supporting SMEs through their supply chain ecosystem, even amidst geopolitical developments.
Tan Sri Soh Thian Lai, President of FMM, emphasized the importance of micro SMEs (MSMEs) in Malaysia’s economy, as they contribute nearly 38.2% to the country’s gross domestic product. He highlighted the significance of the Mida-FMM Industrial Linkage Day (Penang) program in nurturing SMEs to enter the global supply chain and generate value for the economy. The program aims to facilitate partnerships with MNCs, enabling SMEs to internationalize and play a vital role in the global market.
With a special focus on the electrical and electronics (E&E), medical devices, and machinery and equipment (M&E) industries, the Industrial Linkage Day (Penang) program aims to drive technological advancements, improve healthcare outcomes, and promote overall industrial growth. Since its launch in 2021, the program has successfully onboarded 22 anchor companies and 196 supplier companies, further expanding with the addition of 11 new anchor companies and 50 registered SMEs ready to supply to MNCs. – source: The Edge