KL plywood exporters to target W. Asia

KL plywood exporters to target W. Asia

KUALA LUMPUR (AFP): Malaysia yesterday told its timber exporters to penetrate new markets in West Asia and South Africa ahead of the withdrawal by Europe and the United States of preferential privileges for its exports.

From January 1997, Malaysia is expected to graduate from the U.S. Generalized System of Preferences (GSP).

This will be followed a year later by the graduation of Malaysian wood products from the European Union GSP, Primary Industries Minister Lim Keng Yaik said.

"It is important that exporters be more resilient and efficient in their production as well as intensify efforts to penetrate other markets such as West Asia and South Africa," Lim said at a dinner organized by the Malaysian Panel Manufacturers Association.

The government will provide support by spearheading promotional missions to seek new markets.

Malaysia is now a major supplier of plywood in the world, second to Indonesia. Both countries compete in almost similar markets overseas.

Malaysia's plywood exports have risen to 3.34 million cubic meters last year -- from less than a million cubic meters before 1990 -- or an increase of 11.2 percent over 1994 in terms of volume.

Asia was the biggest importer of Malaysian plywood taking up 89 percent of total volume exported last year.

Exports to Japan, which emerged as the largest single importer last year to replace China, soared 93 percent to 1.01 million cubic meters valued at 1.1 billion ringgit.