KUALA LUMPUR: The government will ensure that Malaysia remains a competitive location for trade and investments through various initiatives including through the conclusion of ongoing Free Trade Agreement (FTA) negotiations at bilateral and regional levels in the shortest time possible.

The Ministry of International Trade and Industry (MITI) said this in its 2008 report released yesterday.

It also said that pro-active efforts will be undertaken to expand market access and boost business opportunities for exporters and businesses by engaging new FTA partners particularly in regions that have potential for expansion of trade and investment.

“These efforts are in line with Malaysia’s vision to be among the top 10 trading nations by 2020,” it said.

The ministry said the pace of trade and investment liberalisation was intensifying at an unprecedented rate, and the increased competition in the global market would certainly have an impact on Malaysia’s trade and industry.

It said the country’s involvement in FTAs began with the establishment of the Asean Free Trade Area (AFTA) in 1993.

“Since then, Malaysia has concluded bilateral FTAs with Japan and Pakistan while actively negotiating with United States, Chile, India, Australia and New Zealand,” it said.

MITI said Malaysia continues to focus on trade liberalisation initiatives of the rules-based multilateral trading system under the World Trade Organisation (WTO).

The country was also pursuing regional and bilateral free trade agree-ments (FTAs) to complement the multilateral approach to trade liberalisation.

It said that together with other Asean members, Malaysia has concluded regional FTAs with China, Korea, Japan, India, Australia as well as New Zealand and currently negotiating with the European Union.

Malaysia has also concluded preferential trading arrangements with member countries of the Organisation of the Islamic Conference (OIC) — the Trade Preferential System-OIC (TPS-OIC).

MITI added that the Developing Eight Preferen-tial Tariff Arrangement (D8-PTA) is awaiting implemen-tation as the required number of signatories and ratifications has yet to be met.

“Malaysia has signed and ratified both the agreements,” it said.

The ministry said Malaysia was pursuing comprehensive FTAs that cover liberalisation, facilitation and economic cooperation in areas such as goods and services, investments, customs cooperation and intellectual property rights.

Several outreach programmes have been undertaken in order to ensure that the FTAs that have been negotiated bring the desired benefits to the business community.

These were in the form of briefings, seminars and workshops involving government departments and agencies as well as the private sector.

In 2008, 46 outreach programmes were organised by MITI and its agencies, Small and Medium Industries Development Corporation (Smidec), Malaysia External Trade Development Corporation (Matrade) and Malaysian Industrial Development Authority (Mida).

MITI said these outreach programmes were organised to create awareness and educate the public particularly the business community on the opportunities available as well as to prepare them for competition in a more liberalised business environment. In addition, FTA service units have also been established in Mida, Matrade and Smidec as frontline of the ministry.

Implementation of the liberalisation package in each FTA is progressive, providing room for local producers to adapt to the increased competition.

Updates are continually announced either through the mass media or on the MITI website to inform the public on latest develop-ments of FTA.

— Bernama