SAMARKAND: The Investment, Trade and Industry Ministry is diversifying trade efforts by focusing on non-traditional trading partners to address the challenges in the era of globalisation.
Minister Tengku Datuk Seri Zafrul Abdul Aziz said that with geopolitical challenges reducing global trade, the ministry is focusing on countries such as those in Africa, South America and West Asia.
“This is exactly our strategy. Our largest trading partner is China, followed by the US. We saw that global trade fell last year with the world’s biggest countries. However, (trade with) West Asian, African and South American countries increased.
“That’s part of our diversifying policy in trade (focusing on non-traditional countries). We need to focus on diversifying our trade, not on traditional markets but on new ones because that’s (where) the growth will be. We have to plan now for the future,” Tengku Zafrul said at the Sil Road Samarkand Complex in Uzbekistan.
The minister is in Uzbekistan to accompany Prime Minister Datuk Seri Anwar Ibrahim, who is on an official visit to 3 Central Asian countries from 14 to 19 May.
Tengku Zafrul said the 3 countries (Uzbekistan, Kyrgyz Republic and Kazakhstan) are rapidly developing with faster and stronger gross domestic product (GDP) even though economies are still small compared with Malaysia’s.
“Their economic growth is huge. We can also participate in economic growth, not only among large companies but also among SMEs,” he added.
According to Tengku Zafrul, the trade commitment for Malaysian exports was about RM3.1 billion including RM700 million in Kyrgyzstan, RM1.7 billion in Kazakhstan and RM710 million in Uzbekistan.
Malaysia-Kyrgyzstan trade volume reached US$36.35 million (RM162.3 billion) in 2023, a 312.6% rise from 2022 with Malaysian exports of US$36.09 million (RM161.1 million) in 2023.
Malaysia’s total trade with Kazakhstan in 2023 amounted to US$104.2 million (RM474.5 million). Malaysian exports totalled US$102.2 million (RM465.6 million) and imports from Kazakhstan amounted to US$1.9 million (RM8.9 million).
Malaysia-Uzbekistan trade volume reached US$94.03 million (RM451.1 million) in 2023, with Malaysian exports at US$93.6 million (RM449 million) and imports at US$414,518 (RM1.99 million).
On investment cooperation, Tengku Zafrul said with Malaysia’s GDP 10 times larger than Kazakhstan’s 4 times larger than Uzbekistan’s, the Central Asian Countries are seeking Malaysia to invest in their countries instead of the other way around.
— BERNAMA
