Export contribution of SMEs still low: Matrade

KUALA LUMPUR: The export contribution of Malaysian small and medium enterprises (SMEs) is still low despite their huge number, said the Malaysia External Trade Development Corporation (Matrade).
Matrade CEO Dr Mohd Shahreen Zainooreen Madros said the overseas forays (among over 900,000 local SMEs) stood at merely 17.8%, with the SME Masterplan targeting the figure to rise to 23% by 2020.
“Local SMEs have to strive for the export markets to ensure business sustainability, as Malaysia is pursuing the globalisation agenda.
“The role of SMEs is crucial to the economy and social development as they contribute nearly 36% of the country’’s gross domestic product and 65% of the country’’s employment,” he told Bernama at the Beyond Nations Public Contest prize-giving ceremony yesterday.
Mohd Shahreen said there are abundant opportunities overseas for Malaysian companies to tap into, with Asean alone having a market of 625 million people, China (Malaysia’s biggest trading partner) 1.4 billion, and India (Malaysia’s emerging trading partner) 1.3 billion.
He said there were also other big markets such as the US, Latin America, Europe and Africa.
“We would like to invite all Malaysian SMEs to register as Matrade members in order to benefit from our latest programmes and export opportunity updates from around the world,” he said, adding that Matrade’s 47 global trade offices would also be able to help link local SMEs with potential business partners across six continents.
The Beyond Nations brand awareness campaign was launched by Prime Minister Datuk Seri Najib Abdul Razak in September 2016, with the aim of creating insights on export and making it a common business value for all SMEs.