[27 Jan] Malaysian Rubber Products Export to Touch RM 11 bln This Year

Exports of rubber products is expected to touch RM11.1 billion this year following the recovery in the automotive sector worldwide.

Malaysian Rubber Export Promotion Council Chief Executive Officer Teo Suat Cheng said the rubber gloves industry alone is expected to contribute RM7.7 billion to the country's earnings, hence recording a sterling performance.

“We hope the council's new and improved incentives will assist rubber product manufacturers to achieve the forecast export performance," he said at the launch of this year incentives here today.

For 2009, export of rubber products are expected to reach RM10.56 billion with export of rubber gloves likely to constitute about 67 per cent of the total export value of rubber products.

The official export value for 2009 will only be released in March.

The council said rubber gloves contributed significantly to the exports of rubber products last year, especially the exports of medical gloves, which increased 25 per cent.

The revised, improved and new incentives launched by the council this year include a range of financial support for international trade exhibitions, product certification, laboratory accreditation, acquisition of market research reports, website development and production of promotional materials.

Earlier, Plantation Industries and Commodities Minister Tan Sri Bernard Dompok said as the industry becomes more competitive, rubber manufacturers and exporters should explore new markets while continue to service existing markets to maintain competitiveness.

“Promotions need to be undertaken aggressively and consistently in maintaining our market share in established markets as well as expand market share in emerging countries such as China, India, Russia and Brazil," he said in his speech.

He said the export of Malaysian rubber products have been dependent on traditional markets such as the United States, Western Europe, Japan and Singapore which accounted for over 65 per cent of total rubber exports.

“We have to strategically plan our market promotion policy, to protect and increase Malaysia's market share in existing markets and to conquer new markets for Malaysian rubber products," said Dompok.

He said rubber manufacturers should also aim to produce high value, high priced products and sell consumers quality and reliable products at a premium.

(Source: irco.biz)