Raw material costs may impact business

KUALA LUMPUR: The cost of raw materials may go up at the end of 2014 following the electricity tariff revision, says the Bumiputera Manufacturers and Services Association of Malaysia (PPIPBM). 

This, said its President Datuk Ab Rahim Abu Bakar, will somewhat impact businesses, although he declined to state to what extent.

"The tariff revision will have its impact, although for now we have yet to see it," he added, when met on the sidelines of the "Exploring Business Opportunities in Electricity and Water Energy in Dubai", seminar here.

The electricity tariff revision is effective Jan 1, 2014.
Ab Rahim is also President of the Malaysian Energy Entrepreneurs Association.

The one-day seminar was organised by the Malaysia External Trade Development Corporation (Matrade), in collaboration with the Dubai Electricity and Water Authority (Dewa), United Arab Emirates (UAE).

The seminar's objective was to provide information to local companies on electricity, water energy and the renewable energy sector, as well as business opportunities in Dubai.

Matrade's Deputy Chief Executive Officer Datuk Dzulkifli Mahmud said participants at the seminar benefited from the presence of Dewa's Head of Contract and Procurement Abdul Syed Abdul Hameed.

"He provided information on the vendor registration, pre-qualification, tender and purchase procedures, required by the Dubai government.

"We also conducted a session where local companies had a one-on-one consultation with Abdul Syed on a number of issues," he added.

In his welcoming remarks at the seminar, Dzulkifli said the government was determined to see Malaysia become a major player in the green technology and renewable energy industry, not only regionally, but also globally.

"Going green is not just an approach to economic development, but equally important, it is the way to sustain economic growth in the long term," he added.

He also said Dubai's electricity and water sector had grown rapidly, and now was the perfect time for Malaysian companies to explore business opportunities there, especially in green technology.

The UAE ranked as Malaysia's 14th largest trading partner last year with bilateral trade worth US$8.1 billion, an increase of 17.2 per cent when compared to 2011 at US$6.92 billion.

Malaysia's major exports to the UAE includes jewellery, electrical and electronics products, machinery, appliances and parts and palm oil.

Meanwhile, Matrade will organise a promotional and market awareness programme, to help Malaysian companies participate in the World Summit for Green Economy from April 14-17 next year in Dubai.

The summit is being organised in conjunction with the Water, Energy, Technology and Environment Exhibition (WETEX).