EUMCCI Review|Vol 3|No 3|2015|InvestKL

WM RM8.40 I EM RM10.60

VOL 3 NO 3 2015

InvestKL:

MAKING KL THE REGIONAL HQ FOR MNCs IN ASIA

“Malaysia is a place where entreprenuers can create success stories!”

ROBERTO BENETELLO OF RBC SDN BHD

EU-ASEAN FORUM ON FOOD SAFETY 2015 Nurturing the Dialogue on Food Safety

Medini, the new urban metropolis located in the southern tip of the peninsula is the future iconic township of Iskandar Malaysia.

This innovative city is set to be a premium international destination. It is strategically located in Nusajaya, Johor and master planned and developed

by Medini Iskandar Malaysia Sdn Bhd. Medini is conveniently connected to Singapore, being just 10 minutes away from the Tuas Second Link.

Spread over 2,230 acres of prime land, Medini is a mixed-use development that combines exquisite living and lifestyle with the needs of growing and established businesses. This smart city, with its completed infrastructures, connected location and special incentives is your ideal business and investment destination.

Discover more about this unique opportunity. Call +607 509 8500 or visit www.medini.com.my

EUMCCI REVIEW 43

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EUMCCI REVIEW

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CALENDAR OF EVENTS

EDI T O R’ S NO T E The ASEAN Community After years of talking about it, it is finally here. “It” refers to the much anticipated ASEAN Economic Community (AEC) or ASEAN Community which will be launched on 31st December. With a population of more than 600 million, AEC is one of the largest trade blocs in the world and one of the most dynamic.

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This year also sees the end of Malaysia’s role as Chairman of ASEAN. Laos will take over as the new Chairman for the next year. So how did Malaysia fare? Read our story on the launch of AEC and a report card on Malaysia’s role as Chairman starting from page 12.

Our cover story features InvestKL, a Government agency which is tasked with turning Kuala Lumpur into global city and the hub for MNCs in Asia. Features InvestKL has a target of attracting 100 MNCs to set up their regional HQs in Greater KL by 2020.

Find out more about the work done by InvestKL to put KL on the international map, turn to page 6.

The Second EU-ASEAN Food Safety Forum was a huge success. It is heartening to know that this event has gained recognition as one of the most important avenues to discuss many things pertaining to the issue of food safety in the region. Find out more about the goings on at the event from our feature which starts from page 23.

Roberto Benetello came to Southeast Asia and fell in love with the place. Today, his company, RBC Sdn Bhd, helps other European SMEs that want to expand to Malaysia and other Asian countries. In his interview starting on page 20, he gives interesing insights on doing business in this part of the world and why more European SMEs are venturing out to the East.

EUMCCI and the Green Buildings Committee are proud to award Tenaga Nasional (TNB) the inaugural Innovation and Leadership Award for its Home Report Initiative, which encourages its customers to save electricity by showing them how much power they consume compared to others in their area. Tips are also given on how to reduce their utility bill. The story appears on page 30.

2015 has been an exciting year for EUMCCI. We have lined up even more interesting events for 2016, and we invite all our partners and stakeholders to join us in the new year.

We would also like to wish everyone a very Happy New Year.

The Editorial Committee

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CONTENTS 2

Editor’s Note

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From the Chairman’s Desk

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InvestKL: Making KL The Regional Headquarters For MNCs in Asia

12 The ASEAN Community Is Born 16 VIP Luncheon 18 4th ASEAN-EU Business Summit Discussion Outcomes 20 Helping European SMEs Expand To Southeast Asia 23 EU-ASEAN Forum on Food Safety 2015 26 Country Focus: Kingdom of Netherlands 30 TNB Receives Innovation and Leadership Award 2015 From EUMCCI 31 Chamber News 33 Corporate Partner News 39 New Corporate Partners 40 Calendar of Events

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I

t gives me great pleasure to greet you all in the new year with this issue of EUMCCI Review overlooking the Chamber’s activities in the last quarter of 2015. And what a year it had been for EUMCCI! We organised a very successful ASEAN-EU Business Summit with the EUAsean Business Council. I have received lots of compliments about this summit from public and private stakeholders alike. The recently concluded EU ASEAN Forum on Food Safety 2015 is another example of EUMCCI bringing EU and ASEAN together to improve the business environment.

FROM THE C HAIRMAN

Finally on December 17th, the Chamber reached a key milestone when all resolutions to implement the “Chamber of Chambers” model were passed at the AGM with overwhelming support. I look forward to welcoming all our members and valued partners in 2016 for a new start in building a strong platform for the EUMalaysia Business Community.

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EUMCCI is also starting the new year with some new staff changes. I am pleased to announce the appointment of Barbara Er as Director of our SEBSEAM project. Barbara will be reporting to the Board (through the Chairman/Deputy). On behalf of the Board I would like to thank Barbara for graciously volunteering her time and valuable experience in the supervision of the Chamber operations over the last 4 months and for her leadership in SEBSEAM. She has accepted to formally assume the position of Project Director of SEBSEAM and we are very thankful and confident that with Barbara’s leadership we will continue to execute and deliver SEBSEAM with exceptional standards. As we are entering the third year of this landmark five year project, we look forward to ramping up our activities with our consortium members and ensuring we deliver to the expectations and commitment with the EU Delegation.

Ms. Hema Moorthi will continue to be involved in the operational support of SEBSEAM, with a view to take on a more senior role in the project

supervised by Barbara. I would like to thank Ms. Mann Ng for her past contributions as Project Manager as she has decided to pursue other opportunities outside the Chamber. I wish her success in her future roles.

I am also pleased to announce the promotion and appointment of Ms. Jennifer Chien as our Operations Manager. Jennifer will also be reporting to the Board (through the Chairman/Deputy) until further notice and will be in charge of the day-today operations of the Chamber. Jennifer has had an excellent start as communications manager and has made great contributions including playing a leading role in the execution of our recent ASEANEU Business Summit.

Ms. Tania Jo Maliamauv has also joined the team as the Committee Manager, overseeing the Chamber’s advocacy work. I am also pleased to inform you that Allan Jensen has accepted to lead and oversee our Chamber Committees and to Chair our Editorial Committee and to develop a new fresh plan for next year. I will support Allan as an alternate Chair in his role as Chairman of the Editorial Committee. Allan will provide guidance to Tania with a view to re-energize the work of our Committees.

The Board has also approved the creation of a Membership Committee which will be overseen

by Dato’ Andy Seo with the objective to review and redefine our membership governance and processes. I am very confident that with Andy’s extensive experience we will have significant improvements in our membership governance and process. On behalf of the Board, I would also like to thank Ms. Minna Saneri for her past contributions to our Chamber and wish her success in her future professional endeavours as she is no longer with our Chamber.

My personal thanks to both Allan and Andy for their generous offer to allocate their precious time as Board members to lead and oversee our Committees and Membership activities.

Please join me to welcome and wish Barbara, Jennifer, Tania and Hema success in their respective roles and appointments and to offer them all the help and support needed.

Fermin Fautsch with Finance Minister Minister II Datuk Seri Ahmad Husni during the 4th EUMCCI VIP Luncheon Series.

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I would like to wish all our readers a very happy New Year.

Fermin Fautsch Chairman

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COVER STORY

MAKING KL THE REGIONAL HEADQUARTERS FOR MNCs IN ASIA

Since commencing operations in June 2011, InvestKL has been actively attracting top international companies to set up their headquarters in Greater Kuala Lumpur/Klang Valley (Greater KL).

Thanks to InvestKL’s efforts, there has been a marked interest in Kuala Lumpur from foreign companies which would have looked elsewhere within this region to set up their headquarters.

SHARMILA VALLI NARAYANAN takes a look at the success of InvestKL thus far.

Pictures courtesy of InvestKL

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E

ver since Malaysia first embarked on the road to industrialisation in the 1970s, foreign investors have flocked to its shore thanks to its political stability and investor friendly policies. The industrial plan with its focus on manufacturing and emphasis on low labour cost that worked so well for Malaysia in the late 20th century has had to undergo a huge paradigm shift in the early 21st century. The emergence of new developing economies in Southeast Asia like Vietnam, Cambodia and Laos which offer lower cost saw many labour intensive manufacturing industries shift to these from countries like Malaysia.

2010. ETP’s goal is to elevate the country to developed nation status by 2020. By then it is estimated that the GNI (Gross National Income) per capita would reach USD 15,000.

This would be made possible by attracting investments worth USD444 billion, which will in turn, create 3.3 million jobs.

Malaysia needed a new game plan in the 21st century to propel it from a middle income country to a high income nation.

The Government introduced the Economic Transformation Plan (ETP) in September

Who is InvestKL?

InvestKL plays a central role in achieving this target as it is tasked with attracting 100 foreign multinational companies (MNCs) to Malaysia by 2020. These MNCs will contribute a large part of foreign investments and will spur the creation of jobs, talent, income growth and innovation.

In 2011 the Malaysian Government created an agency called InvestKL under the purview of the Ministry of International Trade and Industry (MITI), Ministry of Federal

Terrorities and PEMANDU (Performance, Management and Delivery Unit) under the Prime Minister’s Department.

InvestKL is mandated by the Malaysian Government to promote Greater Kuala Lumpur (Greater KL) as a potential regional base among global multinational companies (MNCs) and facilitate investments in their regional business, innovation and talent hubs, as part of their strategic move to grow their business in Asia. Under ETP, Greater KL has been designated a National Key Economic Area (NKEA). As a NKEA, Greater KL enjoys greater Government support for business and investment. The agency supports the ETP by focusing on MNCs engaged in NKEAs such as oil, gas and energy, engineering services, healthcare, wholesale and retail, food processing and environmental technology.

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COVER STORY

Rebranding Greater KL The InvestKL office is located at the heart of Kuala Lumpur Sentral or better known as KL Sentral. KL Sentral has completely changed the skyline of what was formerly an area of the old railway marshalling yard in Brickfields. Although a bulk of the projects in the 290,000 square meters of development is completed, KL Sentral is still a work in progress with some major projects such as luxury hotels, residences and office towers awaiting completion. It is fitting that InvestKL’s office overlooks some of the most ambitious development projects to be undertaken in the capital under ETP. Despite the massive developments in Kuala Lumpur and its reputation for being an

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international centre for manufacturing and shared-services sector, the team at InvestKL was faced with the problem of how to brand the city especially in light of its two fiercest competitors: Singapore and Hong Kong.

Singapore had established itself as a service – hub centre, while Hong Kong touted itself as the springboard into China.

The solution was to rebrand GKL as a regional hub for business, innovation, talent and access to Asia. The InvestKL team worked hard to show MNCs with presence in other parts of Asia that GKL “could provide integrated business service solutions, become a hub for innovation and supply the talent and resources that MNCs needed, and prove that Malaysia was an easy place to do business.”

This message and coupled with the Government’s push of ETP and the projects that started to take off under ETP sent a very strong message to investors that Malaysia was serious about its commitment to transformation. Positive news from international press helped too. For example the respected business magazine, The Economist in a survey on investment destinations in Southeast Asia a few years ago rated Malaysia very highly in terms of cost competitiveness and infrastructure.

The testimonies of the MNCs already present in Malaysia turned out to be one of the best marketing tools for InvestKL to sell Greater KL to investors. InvestKL also built very good relationships with investment banks and the Big Four consulting firms as

InvestKL hosted an exclusive closed door breakfast session between the Mayor of Kuala Lumpur and Ambassadors and diplomatic officials from 12 countries.

these firms are often hired by investors on an advisory level.

Success rate for attracting MNCs to Greater KL The easiest way to judge InvestKL is to see how it is doing in achieving its goal of attracting 100 MNCs by 2020. Since its inception in 2011, Invest KL has successfully attracted 47 MNCs, which means it is almost hear the halfway mark.

In other words, it is on track to achieving its KPI of 100 MNCs by 2020.

In terms of investment, InvestKL has achieved over RM5 billion in total approved and committed investments and has created 7,000 high-skilled regional jobs so far. It has attracted some of the global MNCs to

use Greater Kuala Lumpur as a location for their regional operations. And the agency continues to draw foreign investments from the US, Europe, China and Japan. Some of the global companies that have set up their regional headquarters in Greater KL include Fortune 500 companies in Oil & Gas, Financial Services, Industrial Chemicals and Commodities.

InvestKL is confident of attracting 100 Fortune 500 and Forbes 2000 MNCs to set up their regional operations in Greater KL by 2020. Despite challenges facing the nation, Malaysia and Greater KL remain fundamentally strong as an investment destination. This is evident from the nation’s economic growth of 5.6% in the first quarter ended March, 31, 2015 (compared

to Singapore’s 2.6%) and an increase in the FDI to RM28.73 million from RM26.01 million registered in the first quarter this year. To position the city as a leading investment destination, Greater KL has been identified as a competitive city (as tabled in the 11th Malaysia Plan) and as a growth catalyst to spearhead economic growth. The Federal Government’s move to introduce the Principal Hub Incentive (effective 1st May 2015) which offers attractive tax breaks for MNCs that choose Greater KL and other cities in Malaysia as the RHQ, is considered a game changer for the investment scene.

Impact of ASEAN Economic Community (AEC) InvestKL welcomes the launch of AEC and sees it as a wonderful opportunity for Greater EUMCCI REVIEW

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COVER STORY

KL to shine. It sees Greater KL as being in the heart of ASEAN and the AEC offers enormous possibilities to MNCs that have set up their regional headquarters in Greater KL, as well as potential investors aiming to leverage on AEC’s great potential.

As regional integration deepens, regulatory as well as tariff and non-tariff barriers will come down, and as more and more sectors and sub-sectors within AEC are liberalised, InvestKL is confident that investors in Greater KL would be well placed to seize the regional opportunities that may open up for investments and expansion.

InvestKL officials attend important conferences like the recently concluded EU-ASEAN Business Summit organised

by EUMCCI and EUABC to find out the sentiments of the European and Asian business communities with regards to trade within AEC and work with the relevant authorities to facilitate with investors wanting to come to Greater KL.

Greater KL in 2020 InvestKL’s vision for Greater KL is for it to become a world-class metropolis and the top investment destination in ASEAN by 2020. InvestKL will continue to work

with the Government and related agencies by providing a better business ecosystem for foreign investors as part of its efforts to improve the ease of doing business in Malaysia. EU

InvestKL invites companies seeking to leverage competencies and efficiencies in this region to consider locating their regional and global hub in Greater Kuala Lumpur. Visit their website www.investkl. gov.my and get in touch with any of their investor relations directors for more information.

InvestKL has successfully attracted global giants from various sectors such as oil and gas, engineering and construction services, supply chain and more to invest in Greater KL. InvestKL’s success is measured by the number of MNCs, it has managed to attract. Here are some of the highlights of the companies that are in Greater KL thanks to InvestKL’s efforts.

WORLDLINE

Worldline, a global player and European leader in business and payments transactional services, enhanced the role of its Malaysian subsidiary from being a delivery center to being Asia Pacific’s Innovation and Management hubs. It decided in locating its regional headquarters in Greater KL after considering competing bids from Singapore and Hong Kong.

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COLAS RAIL

Colas Rail is a French company which is a world leader in providing rail infrastructure services and a subsidiary of Colas Group. It has chosen Greater KL as the ideal city to become its operations hub for the region. According to its CEO, Richard Fostier, the ease of doing business in Greater KL is what drew Colas Rail to set up its regional hub here. Colas Rail is established in Malaysia under two companies: Colas Rail System Engineering Sdn Bhd and Colas Rail Asia Sdn Bhd. Colas Rail worldwide operations recorded a revenue of 920 million euros in 2014 and it has a workforce of 5,000 people globally.

INTERNATIONAL SOS

International SOS is the world’s largest and leading international medical assistance and travel security risk services company.

It serves about 10,000 clients globally, 70% of which are the Fortune Global 500 companies.

This UK company has a presence in Kuala Lumpur for the past 18 years with two stops, a South and South East Asia (SSEA) Medical Services Operational Headquarters (OHQ). It recently established the Regional Centre of Excellence MSC. David Ng, the general manager has cited three reasons for International SOS to keep coming back to Malaysia. They are the first class infrastructure with complete ecosystem, the high quality of the talent and InvestKL and Malaysian Government’s welcome and facilitation.

GREATER KL’S MAJOR SELLING POINTS:

According to IMD World Talent Report 2014, Greater KL scored the

HIGHEST RANKING

KLIA is the

in Southeast Asia. It scored particularly well in the quality of the labour force and talent environment.

11th BUSIEST

airport in the world.

KL produces

110,000

Kuala Lumpur’s population will be

graduates annually, providing a huge source of educated and skilled workforce.

The workforce is also multicultural and multilingual, which is an added plus point.

10 MILLION by 2020 making Greater KL the largest domestic market within Malaysia.

A high speed rail network will connect KL to Singapore by 2020. The journey from KL to Singapore will take only

The EIU Global Liveability Survey 2014 listed Kuala Lumpur as the second most liveable city in Southeast Asia. It was also only one of two Southeast Asian cities that made it to the

TOP 100.

Malaysia has the

SECOND BEST

English Proficiency Index (EPI) in Asia, according to Education First in its latest 2015 report.

90 MINUTES. This high speed rail network is going to be a game changer for KL.

EUMCCI REVIEW 11

FEATURE

THE ASEAN COMMUNITY IS ESTABLISHED!

The 27th ASEAN Summit held in Kuala Lumpur saw the historic signing of the Kuala Lumpur Declaration on The Establishment of the ASEAN Community on 31st December 2015. Malaysia also handed over the rotating chairmanship of ASEAN to Laos. So, how did Malaysia fare as the Chairman of ASEAN and what lies ahead for the ASEAN Community? SHARMILA VALLI NARAYANAN has the story.

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rom 18th to 22nd November the eyes of the world were on Malaysia, thanks to its hosting the 27th ASEAN Summit in Kuala Lumpur. Leaders from 18 countries including United States President Barack Obama, Japanese Prime Minister Shinzō Abe, Chinese Premier Li Keqiang, Indian Prime Minister Narendra Modi and Australian Prime Minister Malcolm Turnbull were in Kuala Lumpur for a series of meetings with the leaders of ASEAN on the sidelines of the Summit.

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The highlight of the 27th ASEAN Summit was the signing of the Kuala Lumpur Declaration on the Establishment of the ASEAN Community on 22nd November 2015. This declaration will formally establish the ASEAN Community on 31st December 2015. Prime Minister Datuk Seri Najib Tun Razak said that the formation of the ASEAN Community marks “the culmination of decades long effort to integrate, to cohere and to forge ahead together”.

The creation of the ASEAN Community marks a pivotal moment in the history of this region, which was once described as a region driven by conflict and instability.

Datuk Seri Najib Razak boldly declared, “This is ASEAN’s time – this is our time.

ASEAN can and should play a major role in shaping this Asian century, and work with our partners across the continents to shape a world of prosperity, peace and openess.”

Besides the Kuala Lumpur Declaration,

other important agreements and declarations were also signed at the end of the Summit.

Among them were Kuala Lumpur Declaration on ASEAN 2025: Forging Ahead Together, ASEAN Convention Against Trafficking in Persons, Especially Women and Children, and Declaration on Post-ASEAN 2015 Environmental Sustainability And Climate Change Agenda.

Malaysia’s report card on its role as Chairman of ASEAN Datuk Seri Najib Razak, during his address at the opening ceremony of the Summit, said that “Malaysia has been honoured to chair ASEAN in this momentous year”.

Urban Wellbeing, Housing and Local Government Minister Datuk Abdul Rahman Dahlan has been quoted in the local English papers as saying, “Under the chairmanship of Prime Minister Datuk Seri Najib Razak we have done fairly well, in fact rather substantially. For example, out of 506 measures needed to make the AEC a reality, 463 of them have been implemented.”

Malaysia had set eight priorities for ASEAN to achieve during Malaysia’s chairmanship of the bloc. They are to: • Establish the Asean Community on 31st December; • Develop a post-2015 vision for the bloc; • Bring ASEAN closer to its people; • Enhance the development of SMEs; • Increase regional trade and investment; • Strengthen ASEAN institutions; • Promote regional peace and security and • Enhance its global role.

One of the national newspapers, The New Straits Times, declared that “Malaysia has delivered on its pledges on all counts”.

But what do others think? EUMCCI Review asked H.E Luc Vandebon, Ambassador and Head of the EU Delegation to Malaysia, and Chris Humphrey, Executive Director, EUASEAN Business Council (EUABC), their assessment of Malaysia’s performance as the Chairman of ASEAN. “I would like to express my warmest congratulations to Malaysia and to Malaysians for a job very well done, and it is hard to imagine that anyone could have accomplished more during such a momentous year,” says Vandebon.

“Malaysia assumed the Chairmanship of ASEAN at a very challenging time indeed.

They have had to dedicate serious effort and resources to translate visions and plans into reality in order to ensure that

the region as a whole would be prepared to welcome the establishment of the ASEAN Economic Community in January 2016.

Malaysia should be justifiably proud of this achievement. Of course, since the EU has worked for many years on the establishment of an Internal Market of the European Union, we have followed with interest the progress of ASEAN's path towards its own single market. We too have an interest in ASEAN's success, since its goal of creating a region based upon the free flow of goods, services, investment, skilled labour and freer flow of capital, not only benefits the citizens of the region concerned, but also its trading partners.”

The AEC offers exciting new economic opportunities for both ASEAN and EU. “We know that this is an ongoing process and the EU is ready to continue to stand at ASEAN's side and to support fully this integration process,” he says.

“The AEC offers exciting new economic opportunities for both ASEAN and EU. This is an ongoing process and the EU is ready to continue to stand at ASEAN's side and to support fully this integration process.”

H.E Luc Vandebon, Ambassador and Head of the EU Delegation to Malaysia.

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FEATURE

“ASEAN is attempting to form itself into a single economic and production bloc without a strong supranational body at the centre, choosing instead to follow the ‘ASEAN way’.”

Chris Humphrey, Executive Director, EU-ASEAN Business Council (EUABC)

Humphrey concurs with Vandebon’s assessment of Malaysia’s performance.

“Malaysia has done a very good job as the Chair of ASEAN this year. There was a lot of expectation at the beginning of the year about the AEC, but Malaysia has done well in managing that expectation and letting reality set in – that reality being that the AEC is inaugurated and not fully implemented.

One of the key tasks that Malaysia has taken on was taking the lead in the drafting the ASEAN 2025 Vision which sets out the blueprints for the next 10 years for the three pillars of ASEAN Integration, including the AEC. As the Malaysian Prime Minister said at the ASEAN Business Investment Summit on 20 November, a lot of hard work lies ahead still and everyone in the region needs to fully embrace the AEC to truly make it work.”

The bumpy road of Non-tariff Barriers (NTB) One of the biggest concerns of the business community is the slow progress made in eliminating NTB. The ongoing challenges of ASEAN to reduce, let alone eliminate NTB is seen as the major obstacle that prevents this region from being the free market haven everyone hopes it will be.

“Everyone started the year hoping for truly exceptional progress to be made on NTB. After all, under the 2007 AEC Blueprint, NTBs were meant to be eliminated by the end of this year. That has not happened.

More NTBs have been added in the region since 2007 than have been removed. There was a lot of talk about going for low hanging fruit, but much of that has failed to materialise,” says Humphrey, voicing the frustration of the business community.

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Despite the setbacks, he commends ASEAN for its determined efforts to implement the NTB. It has set itself the goal of eliminating NTB in 10 years time and it is enshrined as one of the goals of the ASEAN Vision 2025. “You have to remember that it has taken Europe over 50 years to get to where it is today, and the single market in the EU is still far from complete. ASEAN is attempting to form itself into a single economic and production bloc without a strong supranational body at the centre, choosing instead to follow the ‘ASEAN way’,” explains Humphrey.

He emphasised that despite the setbacks in NTB, ASEAN can be genuinely proud of itself for what is has achieved so far.

“What they are planning to achieve is even more remarkable,” he says. “NTBs were always going to be one of the more difficult elements of the AEC process that needed to be tackled, but I sense a real desire across much of the region to move on these issues, increase levels of harmonisation and standardisation, and to genuinely make intra-ASEAN trade much easier and less complex.”

ASEAN 2025 The Kuala Lumpur Declaration on ASEAN 2025: Forging Ahead Together, lays down the blueprint on how ASEAN will chart its path toward a cohesive ASEAN Community in the next 10 years. The official ASEAN website hails this document as “a forward looking roadmap that articulates ASEAN goals and aspirations to realise further consolidation, integration and stronger cohesiveness as a Community. ASEAN is working towards a Community that

is ‘politically cohesive, economically integrated, and socially responsible’ ”. This document is the result of a year of planning and intense discussion.

Some critics have dismissed it as a document that “continues to retain mediocre ASEAN commitment” (Malaysian Insider, 23rd November 2015). Despite its shortcomings in the eyes of its critics, the Document has to be applauded for the determination of the ASEAN Member States to move forward to the next phase of ASEAN’s evolution. It is an ASEAN where the ASEAN people’s life will be enhanced by increased economic opportunities: “They will benefit from greater employment opportunities and quality jobs as well as from the mobility of skilled labour and talents. They will enjoy access to wider choices, safer and better quality products and services.” In short, they will benefit “from a strengthened ASEAN institutional capacity to implement the ASEAN agenda”.

For critics who question the effectiveness of ASEAN, they need to remember what this region was like in 1967 when ASEAN was first formed. It was dismissed as a “cultural and political fault zone” where “wars of separation should emerge as a natural consequence”. As Prime Minister Datuk Seri Najib said, the region would not be what it is today without ASEAN. “ASEAN more than served its purpose and had been a great success.”

Based on ASEAN’s past success, there is no doubt that the ASEAN Community heralds the beginning of a new fruitful era in ASEAN’s history. EU

EUMCCI REVIEW 15

FEATURE

BUDGET 2016: IMPACT ON MALAYSIA AND EU TRADE

Minister of Finance II Datuk Seri Ahmad Husni details how Budget 2016 will affect trade between Malaysian and European businesses. SUVARNA OOI has the story.

Photography V. Chanthiran

DATE: 5th November 2015 PLACE: Hilton Kuala Lumpur PLATINUM PARTNERS: Siemens and Medini

M

inister of Finance II Datuk Seri Ahmad Husni Muhamad Hanadzlah was the guest of honour at the 4th EUMCCI VIP Luncheon series. The event, held at the Sentral Ballroom of Hilton Kuala Lumpur, was attended by more than 50 guests.

With the recent announcement of the national budget, Datuk Seri Ahmad Husni’s speech titled “Budget 2016 Highlights: How it affects businesses?” was a timely one. He reiterated several important figures from the budget, namely:

• The Malaysian economy grew by 5.3% in the first half of 2015 and is expected to grow between 4.5% and 5.5% this year despite a slower global growth of 3.1% • Revenue is expected to grow 1.4% to RM225.7 billion on higher tax revenue in 2016, while Goods and Services Tax (GST) collection is expected to increase to RM39 billion from RM27 billion in 2015 • The nation’s Gross Domestic Product (GDP) is expected to expand between 4% and 5% in 2016; growth will be driven by private investment and consumption at 6.7% and 6.4% respectively • Exports is expected to grow by 0.9% and imports by 1.5%; the inflow of foreign direct investment remains strong at RM22.4 billion in the first half of this year The minister also outlined the government’s plan to continue to push for domestic growth. He said, “One way to achieve this 16 EUMCCI REVIEW

is by increasing exports to our major trade partners including the European Union. We certainly cannot ignore the significance of the European Union’s contribution to the Malaysian economy.

“To date, there are 1,489 companies with a total investment value of RM57 billion and

together they have provided over 168,000 employment opportunities. With such encouraging figures, it is only prudent for the government, through the National Export Council, to further encourage trading activities with European Union countries as well as bring in more expertise from that region.”

FEATURE

Moving forward, an increasing number of European SMEs is expected to tap into the Malaysian market in areas such as agri-food, professional services, transportation and green technology. In terms of investment, the country is enjoying about 70% growth in foreign direct investment from European Union companies.

Strengthening The Local Economy One of the issues raised by the audience was the unexpected increase in income tax despite the implementation of the GST. In Budget 2016, the taxable income band for the highest tax rate will be increased from 25% to 26%, for those with an income between RM600,000 and RM1 million, while for those earning above RM1 million, the tax rate will be increased from 25% to 28%.

According to Datuk Seri Ahmad Husni, this increase was unavoidable given the decrease in government revenue due to lower oil and commodities prices, and the slowdown in global trade and economy. The increase in taxable income was introduced to strengthen the tax structure and to make it more competitive and progressive.

Besides increasing exports, the government is taking steps to boost Malaysia’s domestic tourism industry, which includes the implementation of the e-visa by mid-2016 to facilitate tourist arrivals. As a major contributor to the economy, the industry has been greatly affected by several airline disasters in the past year.

At the same time, the minister highlighted 3 focus areas to boost the local economy.

These are: 1. STRENGTHENING THE DOMESTIC MARKET One of the ways to achieve this is by increasing domestic investment activity, which is estimated to contribute 26.7% to GDP in 2016. The first project that will be implemented is the development of the Malaysian Vision Valley, which will cover an area of 108,000 hectares from Nilai to Port Dickson with an initial investment forecast of RM5 billion.

2. CAPACITY AND NATION BUILDING Datuk Seri Ahmad Husni said, “To achieve

our objective of becoming a high income nation, we need to develop a highly skilled workforce as well as focus on increasing productivity and innovation. As such, one of the efforts to enhance income will be via the transformation of technical and vocational education and training (TVET).” In Budget 2016, the government has set a target that by 2020, 60% out of 1.5 million new jobs are for workers with TVET skills.

3. LOOKING AFTER THE WELL-BEING OF THE RAKYAT In Budget 2016, the government has introduced several initiatives to help the people deal with the rise in the cost of living. These includes: • The increase in the national minimum wage from RM900 to RM1,000 per month for Peninsular Malaysia and from RM800 to RM920 for Sabah, Sarawak and the Federal Territory of Labuan •The increase of BR1M (Bantuan Rakyat 1 Malaysia or People's Aid Scheme); those with an income below RM1,000 per month will receive RM1,050; while BR1M for households with an income of RM3,000 and below per month will be increased from RM950 to RM1,000; and BR1M for households with an income between RM3,001 and RM4,000 per month will be

raised from RM750 to RM800 • For single individuals aged 21 and above with a monthly income not exceeding RM2,000, the assistance will be increased from RM350 to RM400 Other concerns and queries brought up by the audience included the government’s funding of major infrastructure projects such as the high-speed rail via public private partnership and the continued reliance on foreign labour.

There were also questions about the TransPacific Partnership Agreement (TPPA), which involves 12 participating countries.

These countries make up 40% of global GDP and approximately a third of world trade.

According to Datuk Seri Ahmad Husni, the TPPA would greatly benefit Malaysian small and medium-sized enterprises (SMEs) as, according to the HSBC Small Business Confidence Monitor Survey, 42% of them are involved in cross-border and international trade. This is in line with the government’s objective of further expanding the role of SMEs as the largest contributor to the local economy. EU EUMCCI REVIEW 17

FEATURE

4TH ASEAN-EU BUSINESS SUMMIT DISCUSSION OUTCOMES The various panel discussions focussed on key sectors were one of the highlights of the 4th ASEAN-EU Business Summit held on 23rd August 2015 in Kuala Lumpur. The summit was organised by the EU-ASEAN Business Council (EUABC) and EUMCCI. There were two plenary sessions and four panel sessions. Here are the discussion outcomes of these sessions.

PLENARY SESSION 1

PLENARY SESSION 2

Business leaders panel on successful business strategies in ASEAN and the AEC

Financing ASEAN’s future: mobilising strategic finance to help SMEs and long term investment

How can business prepare for a more integrated ASEAN?

How can we better finance SMEs and infrastructure in ASEAN?

Panel members: Peter ter Kulve, President, South East Asia & Australasia, Unilever; Rober Yap, Executive Chairman, YCH Group; Donald Kanak, Chairman, Prudential Corporation, Asia; Tengku Dato’ Zafrul Tengku Abdul Aziz, Group CEO CIMB Group and Tan Sri Dr Mohd Munir Abdul Majid, Chairman, ASEAN Business Advisory Council (moderator).

• Businesses need a strategy that has both regional and national elements (one size doesn’t fit all!)

• Regional strategies must appreciate the diversity of ASEAN and embrace it • Successful businesses have a long term view and commitment to the region • Successful business strategies must: i. Include an investment in local talent & communities; ii. Be environmentally and socially sustainable; iii. Increase the use of local supply chains, particularly from SMEs. • As the region integrates further, local variations will have a magnified business impact (e.g. customs procedures, labelling, testing standards, talent mobility and flexibility).

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Panel members: Choon Seng Tan, Head of South East Asia, ING Bank; U Moe Kyaw, Myanmar ASEAN Business Advisory Council; Richard B. Green, Managing Director, Marsh & McLennan; Mohit Mehrotra, Partner, Financial Services, Deloitte Consulting; Phil Smith, CEO, Zurich Insurance Malaysia and Teymoor Nabili, Channel NewsAsia Presenter (moderator).

• Increase the supply and availability of finance:

i. Diversify the financial system and increase the role of non-bank finance channels ii. More efficiently match the supply of finance with demand iii. Liberalisation and increasing competition will force SMEs to improve their performance

• Improving the quality and credit worthiness of demand for

finances i. Find solutions to mitigate credit risk ii. Upscaling the management of SMEs and improving corporate governance practices. iii. Increase cross sector dialogue

PANEL 1

PANEL 3

Growing a world class automotive industry in ASEAN

A regional approach to ASEAN’s infrastructure challenges and regional connectivity

Panel members: Martin Hayes, President, Robert Bosch SEA; Segsarn Trai-Ukos, Country Manager, Michelin, Thailand; M. Madani Sahari, CEO, Malaysia Automotive Institute; Armin Keller, Managing Director, Volkswagen Group, Malaysia; Michael Grewe, Chairman, Automotive Committee, EABC Thailand, Martin Tonko, Partner, Roland Berger Strategy Consultants, Tokyo and Vivek Vaidya, Vice President, APAC Automotive Practice, Frost & Sullivan (moderator).

How to help ASEAN develop competitive automotive industry?

a

globally

• Change National Automotive Policies – remove “winners & losers” mentality and increase regional cooperation

• Promote the development of green technologies by introducing

CO2 emissions/fuel consumption based tax regimes • Improve export opportunities by adopting true international standards in the automotive industry. This allows ASEAN to “play” in the global market • Promote the use of regional supply chains and “centres of supply Excellence” through harmonised standards and MRAs covering testing • Tackle the paucity of talent by allowing talent mobility within ASEAN and improve technical training to ensure there’s a ready supply of highly skilled labour.

Panel members: Lim Chze Cheen, Head, ASEAN Connectivity Division, ASEAN Secretariat; Philippe Van Hoof, Co-Head Financial Institutions Asia, ING; Robert MC Yap, Deputy Chairman & Executive Director, Y3 Technologies; Maan Hontiveros, CEO, AirAsia Philippines and Dr Fraser Thompson, Director, AlphaBeta (moderator).

Increasing connectivity (physical and digital) and ensuring interoperability across the region

• There are many successes such as: aviation, ASEAN highway network, identification of priority PPP projects, ongoing development of a post 2015 connectivity masterplan, spectrum harmonization • There are two challenges when it comes to infrastructure: i. Financing infrastructure projects – ASEAN should expedite the development of alternative finance sources, work with the private sector through PPP arrangements, develop the insurance industry, finance/viability guarantees, make projects more ‘bankable’ ii. National implementation of regional agreements and the use of best practice approach to soft infrastructure • To do more to improve digital connectivity – harmonisation of standards, improvements to the regulatory regime and capacity upgrading

PANEL 2

PANEL 4

Matters concerning the agri-food industry: consumer protection, industry competition, and the harmonisation of standards

Increasing competitiveness – removing trade and investment restrictions and boosting trade

Panel members: Rick Perdian, Director/ Senior Business Development Manager, Swiss Re Centre for Global Dialogue; Douglas Foo, Chairman, Sakae Holdings; Dr Siang Hee Tan, Executive Director, CropLife Asia; Rajinder Raj Sud, Standards & Conformance Expert, ARISE, Alan Adcock, Partner & Deputy Director, Tilleke & Gibbins and Matt Kovac, Policy Director, Food Industry Asia (moderator).

International best practice, protecting consumers and driving the export potential of the ASEAN food industry

• There are two overarching challenges – improving food safety and ensuring food supply security: i. Introduce robust food safety regimes; ii. Allow ASEAN food producers to access international markets; • ASEAN has been successful as a catalyst for some harmonisation across the region, but bottlenecks sometimes arise at the national level • Priorities at the ASEAN and national level should be: i. Keeping prices affordable for the ASEAN consumer; ii. Improving competitiveness of ASEAN producers; iii. Removing technical trade barriers; iv. Harmonising regulations and expanding MRAs; v. Facilitating food safety insurance regimes.

Panel members: Johan Von Zweigbergk, Vice President, Corporate Affairs Asia, Philip Morris; Glyn Evans, Transit Adviser – Customs & Transport, ARISE; Tai Lai Kok, Executive Director, Head of Tax, KPMG Malaysia; Jeanette Fielding, Head of Global Public Affairs, Bayer Healthcare; Chester Toh, Equity Partner & Co-Head Myanmar Practice, Rajah & Tann; Theodoor Bakker, Senior Foreign Counsel, ABNR Jakarta & Board Member, EuroCham Indonesia and Deborah Elms, Executive Director, Asian Trade Centre (moderator).

Harmonising standards and regulation to boost trade volumes and ease the flow of goods and services

• Key impediments to trade and investment in ASEAN include:

i. Opacity and complexity of regulations and requirements; ii. Non-conformity with international and regional standards; iii. Protectionist tendencies even within more developed countries; iv. Wide disparities in quality of legislation and in national implementation • Political will in ASEAN countries critical to remove these barriers and constant business engagement with policymakers essential to creating it • The post-2015 agenda not only needs to focus on implementation, but needs to be a visionary document to prepare ASEAN for increasing competitive pressures

Information courtesy of EUABC; special thanks to Chris Humphrey, Executive Director, EU-ASEAN Business Council EUMCCI REVIEW 19

INTERVIEW

HELPING EUROPEAN SMEs EXPAND TO SOUTHEAST ASIA Roberto Benetello was so attracted by the culture and dynamism of Asia, he decided to set up business in Malaysia. He tells SHARMILA VALLI NARAYANAN the reasons why European SMEs are increasingly looking to expand their presence here in Asia and the best thing about doing business in Malaysia.

Photography By V. Chanthiran

R

oberto Benetello had a very successful corporate career for over 20 years working with American and British blue chip corporations. His job took him all over the world. However it was Asia that captivated him. When the time came for him to set up his own business, it was natural that he would choose to come to Asia, and in particular, to Southeast Asia.

Malaysia, with its multi racial population, stood out for Benetello. “The melting pot of cultures that is Malaysia, is in my view, the beauty and charm of this country,” he says. In 2014 he set up RBC Sdn Bhd, a consultancy services company specialising in the areas of strategic planning, strategic marketing, international business development, startups, online strategy, international business strategy and event planning. The European SMEs wanting to expand their business into Southeast Asia are the main clients of RBC. RBC’s field of expertise is in the renewable energy sector.

Benetello, the founder and director of RBC talked to EUMCCI Review about his journey so far as an entrepreneur in Malaysia.

ER: Why did you choose Malaysia as your base?

I had been toying with the idea of moving to Southeast Asia for a few years. I had always been attracted to the Asian culture and by the dynamism of the economy in this part of the world. This idea started to take shape three years ago when I begun travelling regularly to Southeast Asia in an effort to get to know about it better. It was a year and half ago when I finally made the decision to focus my efforts and invest in this project.

At that point my visits to Malaysia became more frequent and lasted longer and longer.

20 EUMCCI REVIEW

In Europe and especially in some Southern European countries, the current state of the economy doesn’t allow much room for entrepreneurship to flourish. Risk-taking and creativity are often limited by a sluggish, rigid and cash-poor economic climate. For many European SMEs, finding an entry point into markets that promise some future growth is not just a nice thing to do, it is a vital strategy aimed at ensuring medium-to-long term survival. Southeast Asia seems to be one of the few places in the world where this growth may take place in the years to come.

Since the launch of the SEBSEAM-M (Support for European Business in South East Asia Markets – Malaysia) project, how has the reception been among European SMEs towards SEA especially Malaysia?

My experience is anecdotal and doesn’t carry statistical significance since my sample population is somehow limited by the companies I have been dealing with, primarily in the renewable energy sector.

I can certainly say that there is a lot of curiosity and excitement. I am currently in touch with European industry associations representing various industrial lines. I can say that they all would like to come and explore opportunities in this region. The first obvious step is to organise missions and get business actors, stakeholders and government representatives from both sides to get to know each other and explore collaborative opportunities. I am convinced that it is only by fostering these type of relationships that bigger ideas are born.

Large European organizations and some forward-thinking SMEs have already made, to a bigger or lesser extent, their move towards this part of the world. However, I believe there is still a conspicuous number of European SMEs that would tremendously benefit from establishing and/or growing their business here. These are the companies that my organization wants to help.

These companies cannot afford to hire expensive global consulting firms for long periods, or are disillusioned by diplomatic foreign trade initiatives they got involved with in the past. They need quick and effective solutions to set the ball rolling in ASEAN . This type of support involves what I call pragmatic business planning.

After an initial and brief desk research and

“For many European SMEs, finding an entry point into markets that promise some future growth is not just a nice thing to do, it is a vital strategy aimed at ensuring medium-to-long term survival.” planning phase, the bulk of the work is carried out in the field trying to match the European SME client with local potential clients, manufacturing and distribution partners, investors, regulatory bodies and organisations, government officials, employment agencies and so on. Often the entry strategy requires an approach in phases. The first phase may involve setting up commercial distribution agreements with local partners, or manufacturing/licensing agreements with local manufacturers, or following up existing sales leads, or handling the local implementation of a small project, or the setting up of a service and maintenance team. The second phase may involve setting up a local branch with a physical presence, finding a local joint-venture/strategic partner or investor, recruiting local personnel, bringing over expatriate key employees, accessing local funding opportunities, and so on.

In Malaysia biomass is primarily linked with the palm oil industry. Palm oil mills are still continuing to run processes that were designed a long time ago. Vastly improved energy efficiencies at mills are possible today. This requires new technologies to come and improve on the way things have been done so far. This is not an easy task due do the reactionary stance of some industry players. However, more and more players now understand what is at stake long-term and have started looking into game-changing technologies, mostly from abroad. These local innovators, opinions leaders and trend setters are essential partners when it comes to bringing in new technologies not just in Malaysia but in the whole ASEAN region.

On-site power production allows for access to electricity in rural areas which are not on the power grid as well as provides flexibility to operate within stringent environmental regulations.

Your company specialises in renewable energy. What is the prospect for renewable energy in this part of this world, especially in relation to Malaysia?

Recently the Energy Ministers of the Association of Southeast Asian Nations (ASEAN) have announced the adoption of a target to increase the share of renewable energy in the regional fuel mix to 23% (from 15%) by 2020. The decision was taken during the 33rd ASEAN Ministers on Energy Meeting on 7th October 2015.

The member states have also adopted a target to reduce the region’s greenhouse gas emissions by 20% over a period of 10 years.

This is an important signal for renewable energy development in Southeast Asia and it bears significant repercussions on the related business opportunities in this area.

What are the areas of renewable energy in Malaysia that European SMEs should look into?

Agency Innovasi Malaysia (AIM) in their National Biomass Strategy 2020 has set as a national objective of mobilising at globally competitive costs, approximately 25 million tonnes a year of biomass for high-value end uses. This will be achieved through improved logistics and higher margins on some other higher value products such as pellets, bio gas, bio ethanol and bio based chemicals.

My involvement with renewable energy has so far been mostly around biomass to energy.

Turning biomass into added value products requires technologies that need

In ASEAN, more and more organisations are seeking distributed power technologies to support energy security, giving them control over cost, flexibility of what type of fuel to use and, most importantly, reliability and stability of power supply.

EUMCCI REVIEW 21

INTERVIEW

“Turning biomass into added value products requires technologies that need to be imported. Here lies a tremendous opportunity for European SMEs.” to be imported. Here lies a tremendous opportunity for European SMEs. What is the feedback that you have got so far from European SMEs with regards to the business environment in Malaysia?

Malaysia is a multi-ethnic, multicultural and multilingual society. It’s a relatively open, newly industrialised market economy and is ranked highly in the World Bank’s ‘Ease of Doing Business’ survey (18th place). Malaysia is a member of ASEAN. It is predicted that ASEAN will become the fourth largest single market by 2030.

Malaysia is considered to be one of the best access points into ASEAN. Malaysia is also one of the world’s top locations for offshore manufacturing and service based operations. Multinational corporations from more than 40 countries have invested in over 5,000 Malaysian companies.

In addition, the Ringgit, the Malaysian local currency, has fallen to a 17-year low. This surely represents an incentive for European investors to invest in this country.

In September of this year EUMCCI organised the Biomass Symposium.

What is your feedback on this event? How helpful was this event in generating interest among European SMEs? The main aim of the meeting was to introduce to some European companies the Lahad Datu project in Sabah and its investment opportunities in palm-based industries. Sabah is the largest oil palm growing state in Malaysia, producing a large amount of palm oil and palm biomass for downstream industries. Lahad Datu provides the needed policy support, basic 22 EUMCCI REVIEW

Roberto Benetello with Fairuz Mohd Hussain, the local director of RBC Sdn Bhd.

and specialized infrastructure. A key present focus is to determine the most efficient way to aggregate large amounts of biomass as feedstock for downstream activities.

collection centre will collect palm biomass from 113 palm oil mills in the region.

This will ensure companies a reliable and constant supply of raw materials.

Sabah's geographical location allows easy access to all Southeast Asian countries and China. Lahad Datu’s industrial complex is only 55 minutes away from Sabah’s capital, Kota Kinabalu. The 4,400 acres complex is designed to cater for light, medium and heavy industries which should take advantage of the abundant palm oil, biomass and by-products available in the region and transform these into value added products. The industrial complex has a deep sea port including a liquid bulk terminal, a container terminal, a dry bulk terminal, a barge berth plus a large industrial area for development. Investment opportunities are in manufacturing palm-oil based or derived added value products that can be categorized in four main areas: food based, oleo chemicals, phytonutrients and biorefinery.

Investment opportunities in palm-based biomass include: bio-pellets, bio-fuel, bioethanol, bio-based chemicals, furniture from oil palm lumber, wood plastic composite, plywood, MDF, pulp and paper, compost/ fertilizers and animal feed. The Lahad Datu

I believe the Lahad Datu industrial complex is extremely consistent with the 2020 biomass strategy outlined by AIM by implementing a viable biomass mobilisation model and by providing the right infrastructure necessary to create the much needed shift towards value added downstream products.

What is the best thing about doing business in Malaysia?

Malaysia is still a place where entrepreneurs can create success stories by showing their creativity and determination. However, foreign investors must not have the misconception that Malaysia, and to the same extent other Southeast Asia countries, is a place to make easy money fast. Success requires time and dedication. It is important that foreign investors commit to long term investment projects and factor into their business plan ways to create wealth also for the local economies and transfer knowledge to local personnel. It must be a win-win approach! EU

FEATURE

2ND EU-ASEAN FORUM ON FOOD SAFETY SHOWS STEADY PROGRESS

The recent EU-ASEAN Forum on Food Safety held in Kuala Lumpur highlighted challenges, key considerations and the way forward on food safety and harmonisation in the region. SUVARNA BEESETTI provides a summary of the forum.

Photography V. Chanthiran

2ND EU-ASEAN FORUM ON FOOD SAFETY DATE: 8-9 December 2015 VENUE: Doubletree by Hilton Hotel Kuala Lumpur ORGANISED BY: EUMCCI PLATINUM SPONSORS: DPO International and Novozymes

T

he recently held 2nd EU-ASEAN Forum on Food Safety saw food authorities and industry experts from Europe and ASEAN gather for a 2-day session to share their expertise and experiences in the area of food safety and the progress made by each ASEAN member country.

Some of the key issues that were brought to light included identifying existing and emerging risks along the food chain, the current status and future direction of

food safety and harmonisation, as well as its accompanying challenges and key considerations.

The forum kicked off with a welcoming speech by EUMCCI Chairman Fermin Fautsch who believes that the 10 ASEAN countries will greatly benefit from the EU’s 50 years of experience, including some hard-learned lessons, in managing the harmonisation of its member states’ regulations and standards on food safety.

This was followed by the opening remarks by H.E. Luc Vandebon, Ambassador and Head of EU Delegation to Malaysia, as well as an address by Datuk Seri Dr S Subramaniam, Minister of Health Malaysia, who noted that concerted efforts have been made in recent years to strengthen the national food safety control systems of ASEAN member states.

“It is my hope that the input of various stakeholders during the forum will help pave the way for the development of the ASEAN Food Safety Regulatory Framework, which will provide the basis for ASEAN member states to establish and maintain harmonised regulatory systems for food safety,” he said.

The first speaker was Sandra Callagan, Minister Counsellor from the EU Delegation to Malaysia, who outlined the EU’s past EUMCCI REVIEW 23

FEATURE

struggles in achieving harmonisation and the structural reforms that it had implemented in dealing with food safety issues.

A presentation by Sylvia Laksmi Sardy, Senior Officer Standards and Conformance from the Association of Southeast Asian Nations, provided the latest updates on the ASEAN Food Safety Policy. The final draft of the policy had been submitted to the AEAN Economic Ministers, ASEAN Health Ministers and ASEAN Ministers of Agriculture and Forestry. It was adopted during the 27th ASEAN Summit in November.

She noted that the implementation of the ASEAN Food Safety Policy would require a coordination mechanism at the regional and national level, as well as training, technical infrastructure and capacity building.

She pointed out that the harmonisation of standards, technical regulations and conformity assessment procedures are important tools to facilitate trade without compromising on the safety of food products.

Representatives from the ASEAN Regional Integration Support by the EU (ARISE)

also presented their views. Team Leader Dr Paul Mandl highlighted the complexity in establishing a common approach for food safety among ASEAN members.

His colleague, Raj Rajinder Sud, a Standards and Conformance Expert, stressed that the ASEAN Food Safety Policy will provide a common reference for a coordinated approach to food safety in the region. The policy will also be the basis for the ASEAN Food Safety Regulatory Framework.

He also presented the 10 core principles of the ASEAN Food Safety Policy: 1. Integrated ‘food chain’ approach 2. Systematic Risk Analysis Framework 3. Science-based, independent risk assessment process 4. Primary responsibility of food business operators 5. Consistency with ATIGA and WTO’s SPS and TBT Agreements 6. Equivalence and mutual recognition 7. Harmonisation with international standards 8. Reliable traceability system 9. Strengthening and harmonisation of regional and national food control systems 10. Transparency

ASEAN FOOD SAFETY POLICY • Provide common food safety principles for all ASEAN bodies related

to food safety under the respective ministerial meetings.

• Adoption of the policy adoption will: - Pave the way for the development

of the ASEAN Food Safety Regulatory Framework, which will provide the basis for ASEAN member states to establish and maintain harmonised regulatory systems for food safety.

- Provide a platform for further harmonisation of sanitary and phytosanitary measures, standards and other technical requirements for food across the ASEAN region.

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ISSUES THAT WARRANTED FURTHER ATTENTION • Further deliberation and

communication is needed in the role and management structure of the ASEAN Risk Assessment Centre (ARAC), the coordinating centre on food safety risk assessment in ASEAN.

•

The need to push for a stronger coordinated approach among ASEAN countries in the development of international standards and meeting the standards of trading partners.

• The difficulties faced

by ASEAN countries when attempting harmonisation with the existence of many different agencies and authorities that share partial responsibility of the food production chain.

There were also several panel discussions involving representatives from various organisations around the region. Issues discussed included the challenges and key considerations of food standards harmonisation, as well as the support and collaboration for effective standards implementation. The panels were moderated

by Professor JØrgen Schlundt, Professor of Food Science and Technology from the Nanyang Technological University of Singapore.

Day 2 of the forum kicked off with a presentation on the role of science in supporting ASEAN Food Safety Standards Harmonisation by Teoh Keng Ngee, Senior Manager from ILSI Southeast Asia Region, Singapore.

This was followed by an outline of the industry’s role in supporting harmonisation of food standards by Ng Kim Keat from the Federation of Malaysian Manufacturers (FMM), and Adhi Lukman, Chair of the Indonesia Food & Beverage Association (GAPMMI), who spoke about food safety implementation from the Indonesian perspective. EU

Feedback from participants It was a good sharing session that brought together an impressive level of expertise, knowledge and experience on food safety regulations at the EUASEAN level. Particularly for SMEs, this is one forum that should not be missed. – Cheah Pi Chuey, participant from Flavor Inn Corporation Sdn Bhd

This is a very useful event to follow the progress made by each ASEAN country in terms of food safety and help us understand each others’ standards so we can work towards a common platform. Participants were also able to get a balanced view from the industry and various trade associations on the outstanding issues that need to be addressed first, in order for us to move faster towards establishing harmonised standards. – Dr Nik Ismail Nik Daud, Immediate Past President of the Malaysian Institute of Food Technology

I attended the forum when it was held for the first time last year. This time around, I have to admit I am quite impressed with the progress made. I found the updates shared by some of the speakers on their country’s progress quite informative. I’m hoping to get more input where food safety is concerned and look forward to hear more about it in future events. – Lee Beng Hock, participant from PT Golden Harvest Cocoa Indonesia

The forum was very informative as it provided me with a better understanding of the subject matter from the ASEAN perspective as well as the progress of the industry while using EU as a benchmark and role model. For me, the highlight of the forum were the various panel discussions as they gave me a better grasp of the framework and how the private sector can participate and contribute to the industry as a whole. I look forward to attending next year’s event. – Aliah Abdul Wahab, participant from Chr. Hansen Singapore Pte Ltd

I was a participant at the forum’s inaugural launch and I’m back again this year. As an observer, I found it to be an informative event as it provides the attendees with an insight into the ASEAN food safety sector and the industry’s overall progress.

The forum aims to help those involved realise how much more there is to do and prepares them for the challenges that will arise. Compared to last year, I can see that this year’s event has cultivated a higher level of awareness of the issue. – Karina Katzer, First Secretary, Trade & Investment Promotion Section, Embassy of the Republic of Poland

The forum gave us an insight into the industry’s direction towards food safety harmonisation. As an industry player, we have been facing quite a number of trade barriers. Despite being neighbours, we have been facing various challenges in terms of meeting different requirements when exporting products to each ASEAN member country. Therefore this forum is a good place to kick-start this much awaited effort. – Lam Lee Yein, participant from Kerry Asia Pacific

One of the current challenges faced by the industry is the lack of clear reference for many compounds.

For example, pesticide residue and dioxin is strictly regulated in certain countries but not in others. In addition, the industry has to deal with frequent changes in terms of regulation updates.

As such, ASEAN countries will be left behind if they make no effort to catch up. SMEs planning to penetrate the ASEAN region will certainly benefit from the forum. – Chee Pui Har, participant from Kerry Asia Pacific

EUMCCI REVIEW 25

FEATURE

KINGDOM OF THE

NETHERLANDS T

rade ties between the Netherlands and Malaysia go back over three centuries, says H.E. Harry Molenaar, Ambassador of the Kingdom of Netherlands. “Next year, we celebrate 375 years of relations with Malacca, which became a Dutch trading post in 1641. This trade continues until this day. The trade relations between our countries are very healthy and covers many different sectors ranging from high-tech to agriculture and from petrochemicals to ICT.”

Trade Ties That Bind According to figures released by MATRADE (Malaysian External Trade Development Corporation), trade between the two countries equaled nearly USD 10 billion in 2014. “This makes Netherlands the 13th largest trading partner of Malaysia and the second largest among the 28 EU member states,” he adds.

The Netherlands is one of the top 10 foreign investors in Malaysia. Thanks to the persistent efforts done by Malaysian agencies like MIDA and PlaTCOM as well as by regional investment agencies that have sucessfully showcased Malaysia as a top investment destination and as a hub in Asia, Malaysia has become one of the top two investment destinations in ASEAN for Dutch companies. Almost all of the large Dutch companies such as Shell, Heineken, Unilever, Arcadis, Randstad and Exact are present in Malaysia.

Molenaar is very pleased that the Malaysian 26 EUMCCI REVIEW

Dutch Business Council (MDBC) has rejoined the EUMCCI recently. “The MDBC is a very active business chamber with more than 2200 members. It plays an important role in linking the Dutch/European private sector to their Malaysian counterparts.”

He also revealed a new trend in Dutch investments in Malaysia which is the increasing number of Dutch startups and SMEs that are coming to Malaysia. These companies are investing in sectors like high-tech manufacturing, app-building, innovative healthcare solutions and stateof-the-art agricultural machinery. “ I like the vibe of these often young, entrepreneurs.” says Molenaar. “As a country that is the hub for startups in Europe, we try to facilitate startups in other countries by organising knowledge exchange via regional business incubators for startups. Startup Delta, a Dutch startup ecosystem, led by our former European Commissioner Neelie Kroes is a driving agent behind the Netherlands as a start-up country.”

Netherlands welcomes the creation of the Asean Economic Community (AEC). “Our country has always been a trading nation.

We are one of the founding members of the European Union. We benefited economically from being a part of the EU which stands for free movement of capital, goods, services and persons. AEC will act as a positive incentive to trade between the Netherlands and Malaysia, which is also a hub into Southeast Asia. Any initiative that decreases boundaries to trade, such as the AEC as well as the Trans Pacific Partnership (TPP) agreement should be welcomed,” he says.

H.E. Harry Molenaar, Ambassador of the Kingdom of Netherlands.

Exploring New Trade Ventures Malaysia can learn a lot from the Dutch on water management, says Molenaar. “My country has a lot of expertise in the area of water management thanks to our centuries long battle with seas, rivers and deltas.

I would like to share our expertise with Malaysia, which has issues such as water rationing during droughts, flash floods in the cities and floods in the East Coast during the monsoon. We are working very hard on this with the relevant authorities at the moment.”

Sustainability is another area where Malaysians can learn from the Dutch. “I would like to facilitate an exchange between Dutch companies such as Unilever, Dutch Lady, and Philips and Malaysian enterprises to start a dialogue on how sustainability can be profitable. Because in the end, it will pay off for companies to produce, work and trade in a smart, social and environmentally friendly way.”

The Netherlands Contribution To The World

For a small country (roughly nine times smaller than Malaysia), its contribution to the world is enormous. Here are some of the things that the Netherlands has contributed to make the world a better place: The Dutch have won 15 Nobel prizes over the years in the fields of chemistry, physics, medicine, economy and peace.

The Netherlands is considered the first capitalist country with the world’s first full-time stock exchange. The Dutch East India Company (VOC) was the first corporation to issue stock and bonds. The VOC is also considered the first multinational corporation in the world.

The black-and-white Holstein-Friesian dairy cows are the world’s highest dairy production animals. The cows were first bred in the Netherlands.

Dutch carrot growers invented the orange carrot in the 16th century by cross breeding pale yellow carrots with red carrots. Before that carrots came in white, yellow, black, purple or red varieties.

The Dutch are a seafaring nation and were world explorers who opened up the Asian market to Europe. They made important contributions to cartography, navigation and time keeping and created the world’s first modern atlas. The Dutch were open to sharing their knowledge with the rest of Europe and printed many of the maps they produced. This in turn helped other European nations to discover the East and the New World.

Netherlands rivals Italy in terms of being home to the greatest painters in the West such as Rembrandt, Vermeer and Van Gogh.

Netherland has made enourmous contributions in the field of audio visual and multimedia. This nation has given the world the compact cassette (1962), laserdisc (1969), compact disc (1979 – jointly developed by Phillips and Sony), Bluetooth in the 1990s (jointly developed by Dutch electrical engineer Jaap Haartsen and Swedish engineer Sven Mattisson), WiFI, DVD (Phillips and Sony), Blu-Ray (jointly developed by Phillips and Sony in 1997 and 2006).

• • • • •

• •

The Green Economy is another area whose potential has still not been tapped fully. He believes that introducing smart Dutch green innovations and solutions to Malaysian companies will demonstrate to them the financial benefits of going green. “For example, the Palm Oil industry produces a lot of biomass, which is not being used efficiently at the moment. We have demonstrated how this biomass can be turned into highly efficient biodiesel that can be used to fuel the machines in the plantations. This enables companies to save money by using their waste products.

I would like to link more Dutch institutions and universities with their Malaysian counterparts, so that more of these smart and green innovations can help drive Malaysia into becoming a hub for the Green Economy in this region.”

During his tenure here as ambassador, Molenaar would also like to see an increase in the awareness among Malaysian companies on the importance of improving employment

Netherlands At A Glance:

Official name : Kingdom of Netherlands Capital and largest city : Amsterdam Official languages : Dutch (national), Limburgish, Dutch Low Saxon (recognised regional languages) Population : 16, 971,452 Government : Unitary parliamentary constitutional monarchy Monarch : King Willem-Alexander Prime Minister : Mark-Rutte Legislature : States General Upper House : Senate Lower House : House of Representatives

conditions as part of the company Corporate Social Responsibility. Last but not least, he has also taken up the challenge to further digitalise the Embassy by starting a Facebook page and have its own Twitter account: @NLinMalaysia. “I like the interaction these social media provide for the business community here and in the Netherlands, and for the more than one thousand Dutch citizens residing in Malaysia.” EU

Information courtesy of Wikipedia For more information on The Netherlands and on DutchMalaysia ties visit these websites: http://malaysia.nlembassy.org www.twitter.com/NLinMalaysia www.facebook.com/ DutchEmbassyMalaysia/ www.investinholland.com www.hollandtrade.com

EUMCCI REVIEW 27

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REVIEW

TENAGA NASIONAL BERHAD (TNB) RECEIVES THE INAUGURAL INNOVATION AND LEADERSHIP AWARD 2015 FROM EUMCCI TNB’s recent initiative in introducing the electric power consumption readings online to its customers through the free Home Energy Report website has won recognition from EUMCCI.

O

n December 15th 2015, EUMCCI presented TNB the inaugural Innovation and Leadership Award for its electric power consumption readings online for its customers through the free Home Energy Report (HER) website which is currently being piloted for 200,000 consumers. This makes TNB the first utility company in Southeast Asia to unveil a programme of this kind. The aim of this programme is to help customers manage their energy use and save money on their monthly bills.

In a ceremony at the TNB headquarters in Bangsar, Mr Gregers Reimann, Chair of EUMCCI Green Buildings Committee presented the award to Mr Loo Kok Seng, Senior General Manager (Corporate Planning & Sustainability).

Also present at the ceremony were Mr Allan Jensen, EUMCCI’s Board of Director overseeing the Chamber’s advocacy work, and from TNB Huzairin Mohd Radzi, Senior Manager Corporate Planning and Sustainability Department and Omar Sidek, General Manager, Corporate Communications among others. EU

From left: Huzairin Mohd Radzi, Omar Sidek, Loo Kok Seng, Gregers Reimann, Allan Jensen and Mohd Najib Hamsan.

30 EUMCCI REVIEW

15th December 2015 TENAGA NASIONAL BERHAD No 129, Jalan Bangsar 59200 Kuala Lumpur Dear Dato’ Ir. Hj. Azman bin Mohd, INNOVATION AND LEADERSHIP AWARD 2015 The EU-Malaysia Chamber of Commerce & Industry would like to award Tenaga Nasional Berhad (TNB) with the Innovation and Leadership Award 2015. The award is EUMCCI’s recognition of the excellent initiative by TNB on making the electric power consumption readings available online to its customers through the free Home Energy Report website. This online initiative gives three significant benefits to the TNB customers to improve the customers’ ability of tracking, understanding and reducing their electricity consumption.

Firstly, the TNB online system allows the customers to track their own electricity consumption monthly to detect any abnormalities. Secondly, the TNB online system provides a benchmarking against similar type of users in the neighbourhood. This peer-to-peer comparison is instrumental in motivating people to take action in order to reduce their electricity bill, especially since the TNB online system also gives consumers an energy efficient benchmark target. The benchmarking makes it crystal clear to the consumer how much he stands to save every month insofar he was to implement energy efficient measures.

And lastly, the TNB online system has a user-friendly and customised list of energy saving recommendations that outlines the expected saving for each of the energy efficiency measures.

One of the long term objectives of the working committees of the EUMCCI is to implement mandatory energy labeling of buildings in Malaysia. As such, the EUMCCI finds that the Home Energy Report initiative of the TNB ties well in with this objective and looks forward to continued collaboration. Once again EUMCCI would like to congratulate Tenaga Nasional Berhad on this achievement.

Best Wishes Gregers Reimann Chairperson- Green Buildings Committee EU – Malaysia Chamber of Commerce and Industry

CHAMBER NEWS

EUMCCI APPRECIATION DINNER

A

s 2015 draws to a close, EUMalaysia Chamber of Commerce and Industry (EUMCCI) held their annual appreciation dinner to thank members, stakeholders, corporate sponsors as well as the Malaysian government and agencies for their ongoing support.

Since its inception in 2003, EUMCCI has become a strong member-based organisation with more than 400 member companies, including its bilateral partner organisations and their networks. It has also built a strong relationship with the Malaysian Government, said EUMCCI Chairman, Fermin Fautsch at the dinner which was held at the Kuala Lumpur Convention Centre on 2nd December.

“During the year of Malaysia’s Chairmanship of ASEAN and the launch of the AEC, the Chamber played a broader role representing Malaysia when the EU-ASEAN Business Council met with ASEAN Finance Ministers

and Central Bank Governors in April.

Following that meeting, EUMCCI coorganised a hugely successful ASEAN-EU Business Summit with the EU-ABC, with over 200 participants, including the ASEAN Economic Ministers.”

“The Chamber will continue to grow and evolve in the coming year. Some exciting changes are on the cards including the recent Board approval of the creation of Board Committees to provide governance and guidance to each of the Chamber’s core activities,” said Fautsch.

Datuk Andy Seo will chair the Membership Committee, with the objective to review and redefine its membership governance and processes while Allan Jensen will lead and oversee the Chamber advocacy committees as well as the Editorial Committee to develop a fresh new start next year and re-energise the advocacy work, he stated.

He also announced the appointment of Barbara Er as Director of the SEBSEAM project. “As we are entering the third year of this landmark five year project, we look forward to ramping up our activities with our consortium members and ensuring we deliver to the expectations and commitment with the EU Delegation,” he stated.

The dinner was attended by members, industry partners and invited guests as they enjoyed the cocktails followed by a fabulous spread of cuisine.EU – By Sharmila Vella

EUMCCI REVIEW 31

CHAMBER NEWS

EUMCCI STAKEHOLDERS’ GATHERING

T

he EUMCCI Stakeholders’ Gathering held on 10th December 2015 at Connexion@Nexus, Bangsar South, saw the stakeholders gathering to hear some important announcements from the Chairman Fermin Fautsch regarding the Chamber.

He talked about the evolution of EUMCCI into a Chamber of Chambers, which is an umbrella organisation for other European chambers. “It is important that EUMCCI represents all the European bilateral chambers and business councils so that the EU business community in Malaysia can speak strongly as one voice,” explained Fautsch.

“EUMCCI’s focus should be on advocacy, networking, executing special projects and dealing with the Malaysian authorities as a single voice for EU-Malaysia business relationships,” he continued. He was happy to note that the bilateral chambers that left EUMCCI are coming back. He also touched on matters regarding membership structure and changes that are being put forward regarding fee, voting rights and other matters.

The proposed amendments were passed by members during Annual General Meeting held on 17th December with overwhelming support. EU

32 EUMCCI REVIEW

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THE WORLD’S BEST SCIENCE CAREERS EMPLOYER IS IN MALAYSIA

S

cience, the premier global science weekly, releases its annual Science Careers Top Employers Survey. Its latest 2015 Top Employers Survey ranks Novozymes, the world’s largest developer of industrial enzymes and microorganisms, as the top employer. Unbeknownst to many Malaysians, Novozymes has its Southeast Asia headquarters in Technology Park Malaysia. The world’s best Science Careers Employer has a strong presence in Malaysia.

The survey polls employees in the biotechnology, pharmaceutical, and related industries to determine the 20 best employers globally.

The key driving characteristics of the ranking were ‘Innovative leader in the industry’, ‘Treats employees with respect’ and ‘Is socially responsible’.

One fifth of Novozymes’ 6,500 employees work in research and development (R&D) globally and 1,800 people are employed in the Asia Pacific region. The headquarters in Kuala Lumpur holds important functions such as application development, sales and marketing. Novozymes invests 13-14% of total revenue into R&D each year.

Tue Micheelsen, Novozymes Vice President for Asia Pacific.

Novozymes’ biotechnology is used by companies throughout the world to save energy, water and raw materials in the production of a wide range of products, from laundry detergents, textiles, food and drink to biofuels, animal feed and crops.

In 2014, the worldwide application of Novozymes’ biological products helped customers reduce their CO² emissions by an estimated 60 million tons, equivalent to taking 25 million cars off the road.

SPANISH NATIONAL DAY CELEBRATIONS

O

n October 12th 2015, the Embassy of Spain celebrated the Spanish National Day and Armed Forces Day in style with a lovely reception hosted by the Ambassador of Spain, H.E. Carlos Domínguez, at the JW Marriot Hotel in Kuala Lumpur. Among those who were invited to the reception were La Cámara (Malaysian Spanish Chamber of Commerce), the Spanish community in the city and fellow Malaysians.

The guest-of-honour was the Deputy Minister of Agriculture and Agricultural Industry, Dato Tajuddin Abdul Rahman. He opened the reception with a ceremony toasting to King Felipe VI and for the prosperity of the Spanish people. This was followed by a speech by H.E Carlos Dominguez, who pointed out the significance of the date October 12th not only for Spain but also for Latin America. It is the date that Christopher Columbus landed in the Bahamas, in South America and changed the course of world history. Many countries in Latin America such as Chile, Mexico and Argentina, among others, a few celebrate the date in various ways as well. The Ambassador warmly welcomed the ambassadors and representatives of Latin American countries accredited in Malaysia who were present at the function. He said that the date October 12th is one that bonds Spain to South America and forms a large part of Spanish national identity.

EUMCCI REVIEW 33

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News

SCANIA TO HELP CONVERT WASTE TO WEALTH IN MALAYSIA

S

cania is more than a century old Swedish company that is famous for its trucks, among other things. It is also one of the companies at the forefront of research into biofuel. It has more than 20 years of experience in developing and producing commercial biofuel-based transport solutions in Sweden and around the world.

On November 17th 2015, Scania Malaysia and Agensi Inovasi Malaysia (AIM) or Malaysia Innovation Agency signed an MOU to colloborate in exploring viable commercial opportunities for

biofuels from municipal waste in Malaysia – in line with the National Biomass Strategy 2020 (NBS 2020).

Biofuels help clean up the air and reduce the carbon footprint from transport. Biofuels turn waste into clean energy, increase security of fuel supply and improve local economies, help create local job opportunities and industrial development.

“Long-term business success means delivering greater profitability along with efficiency, CO2 reductions and social and ethical responsibility. Scania is proud to take the lead in the shift towards a sustainable transport system,” said Marie Sjödin Enström, managing director of Scania SEA. “This means integrating sustainability fully into businesses and working with AIM to transform Malaysia towards creating lasting value.”

From left to right: Dato’ Azman Mahmud, CEO of MIDA, Dato’ Mah Siew Keong, Minister in the Prime Minister’s Department Malaysia, Mark Rozario, CEO of AIM, Marie Sjödin Enström, MD of Scania SEA, HE Mrs Kristina Persson, Minister for Strategic Development & Nordic Cooperation of Sweden, HE Mr Bengt G Carlsson, Ambassador of Sweden to Malaysia after the signing of the Memorandum of Understanding (MOU) between Scania Malaysia and AIM.

GRAND HYATT KUALA LUMPUR WINS HIGHLY COVETED AWARD

G

rand Hyatt Kuala Lumpur is simply the best! The hotel had every reason to celebrate as it recently clinched the highly coveted ‘Best Business Hotel in Kuala Lumpur’ award at the 2015 Business Traveller Asia-Pacific Awards. This prestigious accolade demonstrates the commitment to excellence that the fivestar luxury hotel is dedicated to achieving and is a testament to the consistency of the hotel’s service standards, guided by the brand’s principle of ‘caring for people so they can be their best’. In addition to this, the overall Grand Hyatt brand also received the ‘Best Business Hotel Brand in the World’ title, making it the 12th time the brand has won the award, including its third award in a row. It has also won every year between 2002 and 2009. Since opening its doors on 24th August 2012, Grand Hyatt Kuala Lumpur has been consistently recognised with awards, with recent honours including the Second Best Conference Hotel in Asia and Fifth Best Business Hotel in Asia in the 2015 Smart Travel Asia Best in Travel Poll.

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News

STAYING AHEAD WITH A MONASH UNIVERSITY MBA

HUNGARY CELEBRATES FIRST NATIONAL DAY SINCE RE-OPENING ITS EMBASSY IN KUALA LUMPUR

T

he Hungarians have returned in style!

After the Hungarian embassy closed six years ago, it reopened in Kuala Lumpur in May. On 22nd October 2015, His Excellency Ambassador Attila Káli hosted the first Hungarian National Day reception at the elegant Ritz-Carlton Hotel to commemorate the 59th anniversary of the 1956 Revolution.

The Ambassador and the guest-of-honour, Datuk Alexander Nanta Linggi, Deputy Minister of Rural and Regional Development, proposed toasts to the Heads of State of Hungary and Malaysia.

I

n this constantly changing world, there is an urgent need for masters graduates to be equipped with skill sets that enable them to embrace and adapt to the constantly changing practices and situations.

“A Master in Business Administration is meant to prepare you to undertake a leadership position in an ever-changing global business environment,” explains Professor Iain Leonard Densten, Director of MBA International in the School of Business at Monash University Malaysia. “The MBA in Monash has been established in Australia for more than 40 years. We’re looking at the idea of getting people to understand change, why it is needed and how we can change,” he explains.

The event was attended by close to 200 guests from the diplomatic corps, the Malaysian government and business sectors as well as the Hungarian community in Malaysia. The guests were entertained by Hungarian violin artist Helga V who played pieces of popular folk music as well as classical music. Guests dined on famous Hungarian dishes, drank from the selection of fine wines and had a taste of the popular Hungarian dessert, the chimney cake.

While most of the concepts taught in the MBA will be similar to that in Australia, there would be more region-specific focus such as on Islamic finance for the MBA to remain relevant to this part of the world.

Monash University’s MBA is accredited by the Association of MBA (AMBA). This international organisation focuses primarily on MBA throughout the world and indicates that the MBA has met their well-established, international high standards.

Such accreditation makes this MBA one out of only a handful of the 65 locally-available MBA programmes in Malaysia to have such quality recognition, and also provides another quality assurance mechanism, in terms of enabling Monash University’s MBA to be benchmarked with other leading international MBA programmes through the world.

For more information on the Monash Malaysia MBA program, visit www.buseco. monash.edu.my/mba.

EUMCCI REVIEW 35

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News

REBRANDING EXERCISE

F

leming Group, a leading global B2B event organizer has re-branded, integrating its existing brands – Fleming Europe, Fleming Gulf, American Leaders and Kakushin under a single name: “Fleming.” With this step, Fleming. aims to synergize its global operations and consolidate its stronghold in the market.

Fleming. is an expert in creating Critical Business Connections by connecting clients with the right people to bring them the desired results. After 13 years in the business, Fleming. has grown to offer a complete portfolio of Conferences, Trainings, Exhibitions, Blended Learning, and Online Conferences in five continents and various industries. More than 50,000 satisfied companies support, attend and endorse Fleming.

BERJAYA TIMES SQUARE HOTEL KUALA LUMPUR’S WINNING STREAK CONTINUES

S

amplings On The Fourteenth Restaurant at Berjaya Times Square Hotel, Kuala Lumpur has built a steadfast name as one of the most distinguished fine-dining restaurant in the local dining scene since its opening in 2011. Defined by its modern style

and refined setting, it is an exquisite addition to the upscale eating establishments in Kuala Lumpur. It also has the distinction of being one of the best restaurants in the country. This was proven when the restaurant won 12 awards out of the 34 categories it contested in during the 15th edition of the prestigious Malaysia International Gourmet Festival (MIGF).

In competition with 25 other prominent diners throughout Malaysia, Samplings On the Fourteenth Restaurant won in categories such as Judges’ Choice for Most Creative Menu, Most Creative Restaurant Station and Most Creative Food Presentation at Taste MIGF, Diners’ Choice for Most Outstanding Dining Experience, Most Outstanding Service Team, Most Outstanding Palate Cleanser, Most Outstanding Starter/Appetiser – Warm, Most Outstanding Main Course – Meat, Best Restaurant Ambience, Best Use of The Festival Theme, as well as the Most Popular Restaurant Award at both the VIP Gala Launch as well as Taste MIGF which depended on the most taste sovereigns and gourmet dollars collected respectively.

The culinary team led by its Chef De Cuisine, Chef Valmurugan Subramaniam outdid themselves and topped last year’s performance of winning eight awards at the esteemed annual affair.

For further enquiries or reservations, kindly contact Berjaya Times Square Hotel, Kuala Lumpur ’s Dining Concierge at +60(3) 2117 8121 or e-mail bth.diningreservations@ berjayahotel.com.

36 EUMCCI REVIEW

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BAHRU STAINLESS SDN BHD INJECTS ECONOMIC STIMULUS TO PASIR GUDANG

A

new industrial plant has opened in Tanjung Langsat, near Pasir Gudang, Johor, which is creating excitement in the stainless steel industry in Malaysia. Bahru Stainless Sdn Bhd, a joint venture between stainless-steel giants Acerinox of Spain and Nisshin Steel of Japan. Acerinox is one of the world’s largest stainless steel manufacturer while Nisshin steel is one of oldest stainless steel manufacturer within the carbon steel business since 1959.

Bahru Stainless is situated on 142 hectares of land in Tanjung Langsat, in southern Johor Bahru as part of the Iskandar project. Located at the heart of ASEAN, Bahru Stainless has easy access to the international and domestic markets via the Tanjung Langsat Port and Johor Port.

Bahru Stainless has invested RM2.2 billion so far for its first two phases. The presence of Bahru Stainless has brought many economic benefits to the Johor Government and to Pasir Gudang specifically in terms of raw water usage, electricity consumption, industrial lubricants usage and logistics to name a few. It employs 521 workers, of whom almost 95% are locals. Most of Bahru Stainless products are exported overseas while close to 30% are used for local markets.

BOSCH SPREADS ITS WINGS TO JOHOR

B

osch is expanding the company’s footprint in Malaysia with the opening of a new sales office in Johor Bahru. With the new office, Bosch provides a onestop solution with a diverse portfolio of Bosch products to offer. The office will focus on the business divisions Automotive Aftermarket, Power Tools, Security Systems and Bosch Home Appliance divisions.

Apart from being a sales centre, the office also acts as an “Experience Bosch” showroom with the range of products and solutions tailored for the company’s customer base in the state. Furthermore, it will also serve as a venue for trainings, host events and product launches. The guest of honour for the ceremonial opening was the Deputy Chief Executive Office of MIDA, Datuk Phang Ah Tong.

Mr. Simon Song, managing director of Bosch Malaysia said, “Johor is rapidly growing in many aspects, from urban development to infrastructure. We are excited to be a part of the state’s vibrant economy.”

Johor is known for its vibrant economy. Home to the Iskandar Malaysia project, the main southern development corridor in that state, it has attracted investments worth RM25 billion since January 2014.

EUMCCI REVIEW 37

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News LANGUAGE WORKS TURNS 20 AND WINS INTERNATIONAL RECOGNITION

L

anguage Works celebrated its 20th anniversary in style by winning the first Green Project Management (GPM) Global Partner of the Year Award.

Director Brian Cracknell received the award on behalf of the company from the GPM Global President Joel Carboni. The award is given in recognition of outstanding achievement in competence development, contributions to Project Management (PM) discipline and commitment to advancing sustainable development.

GPM Global is a social enterprise which is sustainability centred and certified. It specialises in sustainable approaches to portfolio, program, and project management. It seeks to improve delivery capability without compromising the ability of future generations to meet their needs.

CONNECTING SOUTHEAST ASIA AND THE WORLD VIA TRADE EXHIBITS

E

CMI ITE Asia Sdn Bhd, a member of ITE Group PLC, is one of the world’s leading organisers of international trade exhibitions and conferences. It has brought many exciting trade exhibitions to the region and has helped create platforms to connect local businesses with big players around the world.

One such exhibition is the Coatings & Corrosion Asia (CCA2016) to be held from 17th to 19th May 2016 in Putra World Trade Centre (PWTC), Kuala Lumpur.

CCA2016 is the first exhibition of its kind to be held in Malaysia and it promotes the latest coating technologies for the region’s environmental, manufacturing and industrial needs.

Other important trade exhibitions organised by ECMI ITE Asia include the lab series of scientific instrument and laboratory equipment called Lab Asia, to be held from 6th to 8th October 2015 at the PWTC Kuala Lumpur, and the Cosmobeauté series. Cosmobeauté is a popular trade exhibition for beauty trade professionals within the region since 2005. Beginning in Malaysia, it has now expanded to Indonesia, Vietnam and Myanmar. Upcoming Cosmobeauté exhibitions will be held in Indonesia (15th to 17th October 2015), Vietnam (21st to 23rd April 2015) and Myanmar (1st to 2nd June 2016).

With its track record of organising innovative trade exhibitions, ECMI ITE Asia will continue serving as a bridge that connects Southeast Asia and the world.

38 EUMCCI REVIEW

Language Works joined the GPM Global effort, in 2013 and up to now has focused on training candidates for the GPMb, its most popular course. Among their corporate clients is SSI Schaefer, the German multinational. SMEs and larger companies who make Human Resource Development Fund (HRDF) contributions have also taken GPMb courses under the HRDF’s 1MalaysiaGRIP (Globally Recognised Industry and Professional Certification) scheme.

“GPM’s partner network spans over 145 countries.

So to receive the inaugural Global Training Partner of the Year award is very special for the Language Works team. It’s a great honour,” said Cracknell.

Brian Cracknell with S. Vanajah of Corporate Services.

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Person-in-Charge: Eng. Idriz Konjari, Director/CEO Address: No.2-3, Block C, Platinum Walk, Jalan Langkawi, Setapak, 53300 Kuala Lumpur, Malaysia Tel: 603-4131 4629 Email: idriz.konjari@egnatium.com Website: www.egnatium.com

Malaysian Exhibition Services Sdn Bhd

A pioneer in the exhibition sector since its inception in 1980, Malaysian Exhibition Services (MES) has grown and evolved since then to be one of the market leaders in the trade show industry in the region. MES currently runs a comprehensive portfolio of exhibitions over a two year cycle including oil and gas, energy and renewables and food and hospitality.

Person-in-Charge: Alun Jones Address: Suite 14.01, 14th Floor Plaza Permata, Jalan Kampar Off Jalan Tun Razak, 50400 Kuala Lumpur Tel: 603-4041 0311 Fax: 603-4043 7241 Email: enquiry@mesallworld.com Website: www.mesallworld.com

Knowledge Group

Knowledge Group has been in the forefront of developing and running market-demanded conferences, workshops, summits, exhibitions and customised in-house programs throughout the ASEAN region since 1999.

Person-in-Charge: Thila Periasamy Address: Address: B-13-5, Megan Avenue 2, Jalan Yap Kwan Seng, 50450 Kuala Lumpur Tel: 603-2170 1588 Fax: 603-2166 5451 Email: admin@knowledgegroupco.com Website: www.knowledgegroupco.com

Wong & Partners

Wong & Partners, as a member firm of Baker & McKenzie International, prides itself on being a progressive law firm in the 21st century by combining our rich local knowledge with broad global capabilities.

Person-in-Charge: Adeline Wong Address: Level 21, The Gardens South Tower, Mid Valley City, Lingkaran Syed Putra, 59200 Kuala Lumpur Tel: 603-2298 7888 Fax: 603-2282 2669 Email: kl.info@wongpartners.com Website: www.wongpartners.com

Zaid Ibrahim & Co.

Zaid Ibrahim & Co. (ZI) is a pioneer commercial law firm and is one of the most highly regarded in Malaysia. As a member firm of ZICO Law, ZI provides a direct access to a powerhouse of 300 lawyers in the 8 out of 10 ASEAN countries.

Person-in-Charge: En. Mohd Sofiyuddin Ahmad Tabrani Partner & Head, Compliance & Governance Practice Address: Level 19, Menara Milenium, Pusat Bandar Damansara, 50490 Kuala Lumpur.

Tel: 603-2087 9811 Fax: 603-2094 4888, 2094 4666 Email: mohd.sofiyuddin@zicolaw.com Website: http://www.zicolaw.com/

Stoppani Asia

Stoppani Asia is a Contract Manufacturer with Engineering, Metal Fabrication and Equipment Assembly Services â&#x20AC;&#x201C; delivering Swiss precision and quality within low cost Asian markets.

Person-in-Charge: Marcel Wismer, CEO Address: 2614, Jalan Perusahaan Baru 1, Kawasan Perusahaan Prai, 13600 Prai, Penang, Malaysia Tel: 604-371 1100 Fax: 604-397 3328 Email: marcel.wismer@stoppani.asia Website: www.stoppani.com

EUMCCI REVIEW 39

CALENDAR OF EVENTS

Here is the line up of recent and upcoming events organised or supported by EUMCCI. The dates and venues for the upcoming events have not been finalized.

Please refer to the EUMCCI website – www.eumcci.com – for the latest updates on the events.

VIP LUNCHEON WITH THE FINANCE MINISTER II

EU-ASEAN FORUM ON FOOD SAFETY COCKTAIL SESSION

Date: 5th November 2015 Time: 12.00pm to 2.00pm Venue: Ballroom B, Level 6 Hilton KL

Date: 7th December 2015 Time: 6.00pm to 8.00pm Venue: Poolside, Doubletree by Hilton KL, Jalan Tun Razak

EUMCCI MEMBERS’ APPRECIATION EVENING 2015 Date: 2nd December 2015 Time: 5.30pm to 8.00pm Venue: Banquet Hall, Level 3, Kuala Lumpur Convention Centre

UPCOMING EVENTS

EMPLOYMENT PASS BREAKFAST DIALOGUE Date: 12th January 2016 Time & Venue: TBC

THE EU-ASEAN FORUM ON FOOD SAFETY Date: 8th and 9th December 2015 Time: 9.00am to 6.00pm Venue: Double Tree by Hilton Kuala Lumpur @ Jalan Tun Razak

LUNCHEON WITH THE KEDAH CHIEF MINISTER*

YEAR END COMMITTEE REVIEW*

RECENT EVENTS

EUMCCI STAKEHOLDERS’ GATHERING Date: 10th December 2015 Time: 9.00am to 11.00am Venue: Reflexion, Level 3A, Connexion, Bangsar South

BREAKFAST DIALOGUE ON NEWTON FUNDING* * Date, time & venue: TBC

NOTE: All events are correct at the time of printing. The events might be subject to change due to

unforeseen circumstances. Please check EUMCCI website at www.eumcci.com for the latest updates on events or direct inquiries to events@eumcci.com or eumcci@eumcci.com or call +603-2162 6298 40 EUMCCI REVIEW

SAFE, COMFORTABLE & FRIENDLY JAMBATAN SULTAN ABDUL HALIM MU’ADZAM SHAH Jambatan Sultan Abdul Halim Mu’adzam Shah was officially opened by Y.A.B. Dato’ Sri Mohd Najib Bin Tun Abdul Razak, the Prime Minister of Malaysia on 1 March 2014.

The project’s overall length is 24km of which 16.9km is a marine bridge. It links Batu Kawan on the mainland to Batu Maung on the island and it is the longest bridge in Southeast Asia.

Jambatan Sultan Abdul Halim Mu’adzam Shah will not only provide an alternative route for users to commute to Penang island from the mainland and vice versa but it also is a catalyst for the socio economic growth and development in Penang, especially in the southern part of the state.

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