The Malaysian External Trade Development Corporation (MATRADE) is continuing its efforts in supporting the business expansion of local mid-tier companies (MTC) to other region with potential, including the Middle East, Africa and Latin America.
This ongoing initiative aligns well with MATRADE’s plan of hosting the ASEAN Mid-Tier Companies CEO Summit next year.
“The objective is to strengthen the business network and collaboration between MTCs in the ASEAN region, given that Malaysia will take over the ASEAN chairmanship. This effort is expected to support the development of Malaysia’s MTCs in expanding and strengthening their positions in Southeast Asia,” said MATRADE chairman Datuk Seri Reezal Merican Naina Merican.
According to him, participants in the Mid-Tier Companies Development Programme (MTCDP) had recorded cumulative annual sales of RM32.92 billion in 2023, of which RM19.15 billion or 58% had been derived from 5 export activities.
“Meanwhile, a total of 77 new markets were also penetrated including Albania, Togo, Botswana, Moldova, Jamaica and Venezuela,” he added.
He also pointed out that MTCs continued to strengthen the domestic supply chain through a collaboration network involving more than 10,000 local SMEs, which is an increase of 11% compared to the previous year (9,135 SMEs).
“About 74% of this total is involved in the manufacturing sector while 26% is involved in the services sector.
“The success of MTCs at the global level also encourages the growth of SMEs under the business cooperation network, as well as directly increasing local employment opportunities, local economic development and Malaysia as a whole,” he said.
Reezal also pointed out that the government has high hopes that MTCs can guide SMEs in their global supply chain.
Meanwhile, MATRADE chief executive officer Datuk Mohd Mustafa Abdul Aziz highlighted that MTCDP has successfully assisted 348 companies so far since its inception in 2014.
Mustafa emphasised the importance of MTCs to strengthen global competitiveness through the application of the sustainability agenda and digitalisation in operations, which are critical factors in international trade.
Additionally, local MTCs are now seen to prioritise branding initiatives to position themselves effectively on the international stage.
“Branding is one of the key differentiators in today’s competitive global market and it is important for Malaysian companies to build a strong and distinctive brand identity, in line with the needs of international consumers,” Mustafa added.
