This month, Malaysias Economic Planning Unit Prime Ministers Department, as Malaysias National Secretariat for both IMTGT

T and BIMP-EAGA subregional groupings, has launched a study on the benefits and impacts of IMT-GT and BIMP-EAGA economic cooperation at Malaysias study It is a by a national level. It is a three-month level. conductedthreemonth study consulting firm, Malaysian Centre forconducted by a Policy Research, ending in end-Octoberconsulting firm, Malaysian Centre 2011 This study is initiated as a for Policy Research, ending end of response to the Malaysian Cabinet directive last year for October 2011 This study is Malaysia to reassess to what extent the two subregional initiated providing benefits the cooperation frameworks are as a response to and impact to the country. Malaysian Cabinet directive last year for Malaysia to reassess to what challenging initiative and an For sure the study is a very extent the two subregional cooperation mechanisms are opportunity for Malaysia to re-engineer its involvement in providing benefits and impact to IMT-GT and BIMP-EAGA. Among other aspects, the the country. delivery and institutional mechanism at national level will become the main focus, particularly to cater the interests and development needs of the IMT-GT and BIMP-EAGA member-states. More recently, the member-states are getting more active in their involvements in the subregional groupings. Looking aloud, previous Working Groups operations had not provided sufficient avenue to include the states development planning and interests. What is interesting is that whatever positive findings and proposals made by the consultant and the readjustments made by Malaysia on IMT-GT operational mechanism at national level can be shared with Indonesia and Thailand, so that the partner countries can accordingly adjust and improve theirs too to be in sequence. By Dr. Hassan Ibrahim Director of CIMT

Thailand-Malaysia Trade Can Grow at Least 10 Percent in 2011

KUALA LUMPUR: Bilateral trade between Thailand and Malaysia can grow at least 10 per cent this year from the US$20 billion achieved in 2010. Great domestic demand in both countries and the ASEAN Free Trade Area were among the factors that would contribute to the growth, said Her Excellency Nannatee Wiboonchutikula, the Minister Counsellor (Commercial) at the Royal Thai Embassy, Kuala Lumpur. She said there was growing awareness among Thai companies about the Malaysian market, adding that her ministry would work closely with Malaysian government agencies to promote trade and investment. "Malaysia is strong in marketing while Thailand has a big land area and population. Both countries can work together to promote joint venture companies," she said after launching the Thailand Trade Show 2011. H. E. Nannatee said trade relations between Thailand and Malaysia were growing, while there were also signs that investment from Thailand was picking up. She pointed out that already several Thai companies had invested in Malaysia including Charoen Pokphand Group, the largest business conglomerate in Thailand, which had invested in the aquaculture business while Bangkok Bank in the banking sector. She added that there were also many Malaysian companies invested in Thailand, especially in the southern part, in the areas of franchising, small and medium businesses and food processing. Source from BERNAMA

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Malaysia's Trade Surplus Hits RM7.60 Billion in June

KUALA LUMPUR: Malaysia recorded a trade surplus of RM7.60 billion (USD2.53 billion) in June, making it the 164th consecutive month of trade surplus since November 1997, said International Trade and Industry Minister Datuk Seri Mustapa Mohamed. Exports increased 8.6 percent to RM57.35 billion (USD19.1 billion) during the month under review from RM52.83 billion (USD17.6 billion) recorded in June last year, he said in a statement today. Imports rose 6.3 percent to RM49.75 billion (USD16.6 billion) in June against RM46.61 billion (USD15.5 billion) registered a year ago. Total trade amounted to RM107.11 billion (USD35.7 billion), up 7.5 percent from a year ago, against RM99.07 billion (USD33 billion) registered in the same month last year. On a month-on-month basis, exports in June 2011 increased 4.1 percent, imports expanded 6.8 percent and total trade increased 5.3 percent. For the second quarter of the year, total trade grew 4.1 percent to RM313.39 billion (USD104.5 billion) compared with the first quarter. Total exports registered an increase of 2.3 percent to RM170.24 billion (USD56.7 billion) while imports rose 6.4 percent to RM143.15 billion (USD47.7 billion) against the first quarter. Major export products which contributed to higher offtake in June were electrical and electronics, palm oil, liquefied natural gas, chemical and chemical products, refined petroleum products, crude petroleum, manufactures of metals, machinery, appliances and parts, rubber products, optical and scientific equipment and others products. Singapore, China, Japan, the United States of America and Thailand were the top five export destinations, accounting for 50.3 percent of Malaysia's total exports in June 2011. Exports to ASEAN were valued at RM14.67 billion (USD4.89 billion), accounting for 25.6 percent of Malaysia's total exports, in June 2011. Meanwhile, among the main import items in June were electrical and electronics valued at RM14.82 billion (USD4.94 billion), chemical and chemical products, refined petroleum products, machinery, appliances and parts, transport equipment and manufactures of metal. Singapore, China, Japan, the United States of America and Indonesia accounted for the main sources of import during the month in review. Total imports from ASEAN amounted to RM14.49 billion (USD4.83 billion) or 29.1 percent of Malaysia's total imports in June. Source from BERNAMA

Bukit Kayu Hitam ICQ Expansion Project to Cost RM260 Million

BUKIT KAYU HITAM: The expansion of Bukit Kayu Hitam Customs, Immigration and Quarantine (CIQ) Complex will be made in stages over the next five years at a cost of RM260 million (USD86.7 million). Kedah Federal Action Council chairman Datuk Wira Mohd Johari Baharom said the project, which is expected to begin next year, would increase the security system and smoothen the operation of enforcement agencies at the border. He said the design for the expanded version of the ICQ had been completed and the project was now under tendering process. "The project will begin with the relocation of Fisheries Development Authority (LKIM) Complex," he told reporters when asked about the redevelopment of ICQ after breaking fast with enforcement agencies at the Malaysia-Thailand border. Mr. Mohd Johari, who is also Deputy Agriculture and Agro-based Industry Minister said land acquisitions for the purpose had also been completed. "The Home Ministry has paid RM36 million to LKIM in order to take over the latter's complex located next to the ICQ to be turned into additional lanes for commercial vehicles. The project, when completed, will be able to provide comfort to road users and speed up the inspection process on commercial vehicles at the complex," he said. Source from BERNAMA

Honeymoon Packages Popular With Matta Fair Visitors

KUALA LUMPUR: Honeymoon packages seem popular with visitors to the 2011 Matta Fair at the Putra World Trade Centre (PWTC). Sabah Tourism Consultative Council sales manager Ms. Normegawati Sapian said there were numerous enquiries at the council's booths for information on honeymoon destinations in the state. Equator Adventure Sdn Bhd manager Mr. Fairul Pat Lingham said, apart from Sipadan, the company had requests for honeymoon packages to nearby Mabul Island. Mr. Syahrul Ramadhan, of Bengkalis Tourism Board, Riau, Indonesia said the beautiful beaches in Bengkalis, about 90 minutes away from Melaka, were an attractive draw for honeymooning couples. Promoting Brunei at the exhibition was the MegaBorneo Tour Planner whose operations director Mr. Khairul Zainie said the sultanate had many places of interest for couples on honeymoon. Melaka's Naza Talyya Hotel sales manager Ms. Marzila Ahmad said there were many enquiries on honeymoon suites, particularly at their hotels in Melaka, Johor Baharu and Penang. There is a special hall dedicated to a bridal exhibition and honeymoon packages for newlyweds at the fair in PWTC. Source from BERNAMA

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Promote Greater Intra-ASEAN Investments

KUALA LUMPUR: The Association of South-East Asian Nations (ASEAN) should promote greater intra-ASEAN investments, especially by the grouping's home-grown firms, said Minister of Internation Trade and Industry, Datuk Seri Mustapa Mohamed said. He said ASEAN companies should be encouraged to take steps to strengthen intra-ASEAN investment flows, which was in line with the aspiration to build and form an ASEAN Economic Community (AEC) by 2015. "A number of Malaysian companies are already operating in ASEAN and are keen to expand and invest in new projects," he said. Datuk Seri Mustapa said this at the ASEAN Economic Ministers-ASEAN Investment Area (AIA) Council Meeting yesterday in Manado, Indonesia, according to a statement by the Ministry of International Trade and Industry (MITI) today. The statement said intra-ASEAN investment increased significantly to US$12.1 billion (US$=RM3.02) in 2010 from US$5.2 billion in 2009, exceeding the peak of 2007 (US$9.6 billion), and average levels (US$4.5 billion) over the last 15 years (1995-2009). Intra-ASEAN investment accounted for 16 per cent of total foreign direct invest (FDI) flows to ASEAN. The major ASEAN investors are Singapore (US$7.4 billion), Malaysia (US$2.3 billion) and Indonesia (US$1.6 billion), it said. MITI said at the meeting, Datuk Seri Mustapa also has expressed confidence in ASEAN's economic growth prospects but stressed the importance of achieving greater ASEAN integration through the establishment of the AEC by 2015. "The AEC is vital for the generation of new economic growth opportunities for all ASEAN member states in the years to come," he said. The statement said global economic and FDI recovery has had a positive impact on ASEAN. FDI flows into ASEAN in 2010 reached US$75.8 billion, double the 2009 level of US$37.9 billion. Investments into ASEAN were mainly from the European Union (US$17 billion), US (US$8.6 billion), Japan (US$8.4 billion), South Korea (US$3.8 billion), China (US$2.7 billion) and India (US$2.6 billion). MITI said Datuk Seri Mustapa welcomed ASEAN's strong rebound from the 2008 global financial crisis indicated by increased regional gross domestic product growth of 7.4 per cent in 2010 from 1.6 per cent in 2009. Datuk Seri Mustapa said while focusing on achieving a functioning AEC, which would make ASEAN a single market, efforts should also be made to strengthen ASEAN global competitiveness. He supported Indonesia's initiative to host the ASEAN Investment Forum on the sidelines of the 19th ASEAN Summit in Bali in November 2011. The forum seeks to develop a regional approach on investment to position ASEAN as a highly competitive global economic region. Source by BERNAMA

Thailand Will Send Military Personnel to Learn From Malaysia

GEORGE TOWN: The Malaysian Armed Forces will impart its knowledge and expertise on border area control to 100 Royal Thai Army (RTA) officers and rankand-file when the latter arrive at the Bukit Kayu Hitam camp on Sept 9. Outgoing Second Infantry Division Commander Mej-Jen Datuk Mohd Noor Daud said the specially selected Thai army personnel and their Malaysian counterparts would also take part in several programmes. He said this was a testament to the good relations shared by the armed forces of both countries. He was speaking to reporters at the Tun Razak Second Infantry headquarters camp here after handing over his duties to Mej-Jen Datuk Azizan Md Delin Wednesday. Datuk Mohd Noor has been appointed Head of Staff at the Army Headquarters while Datuk Azizan was the headquarters' former human resources director-general. Mohd Noor said the annual joint exercise between the Malaysian army and the RTA had been the contributing factor towards the good relations shared by Malaysia and Thailand. Meanwhile, Datuk Azizan promised to carry out his duties in the new posting to the best of his ability and planned to further strengthen the division. Source by BERNAMA

Indonesia's F&B Imports Up 15.7 Per Cent, Malaysia Biggest Contributor

JAKARTA: Indonesia's imports of processed food and beverage (F&B) products rose 15.7 percent in the first seven months of 2011 with Malaysia being the biggest contributor. Indonesian Food and Beverage Association (Gapmmi) Secretary-General Franky Sibarani said imports from Malaysia made up 24.7 percent of the total, followed by China (12.9 percent), Thailand (10.2 percent) and Singapore (7.9 percent). During Jan-July 2011, he said, the value of F&B imports from Malaysia reached US$33.85 million, a 65.6 percent jump from US$20.44 million in the previous corresponding period, Media Indonesia daily reported today. Data from Gapmmi showed leaps in F&B imports through Dumai Port in Riau besides Tanjung Periok Port in Jakarta, Tanjung Perak Port in Surabaya and Belawan Port in Medan. Other entry points, however, showed decreases in imports like Juanda Airport in Surabaya (95 percent), Ngurah Rai Airport in Bali (47 percent), Soekarno-Hatta Port in Makassar (60 percent) and Tanjung Emas Port in Semarang (12.2 percent). The increase in imports in recent months reflected demand ahead of Ramadan and Aidilfitri celebrations. Source by BERNAMA

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Indonesia to Develop First Green, Earthquakeproof Hospital

JAKARTA: Indonesia's first green, earthquake-proof hospital will be built as part of the University of Indonesia (UI) development plan for its new School of Medicine, in Depok, south of Jakarta. Work on project is due to begin next month and is expected to be completed by 2014. Japanese architect Mr. Henry Tsang has been working with a team of architects and engineers to finalise building plans for the hospital, with an earthquakeresistant technique called 'Base Isolation', designed by Japanese tyre manufacturer Bridgestone, English daily Jakarta Globe reported Wednesday. Mr. Tsang said the 13-storey, 70-metre tall hospital would be made to "float" on top of a base made out of the same material as tyres, and the building would move with the base but would not crack or collapse. 'Base Isolation', he said, worked best with shorter-duration tremors, and an earthquake generally lasted under a minute. A quake lasting longer than two minutes would shake the building so much that it could potentially topple over, he said. In addition to being quake-proof, the hospital design also focuses on environmental sustainability, like maximising the use of natural energy with solar power, rainwater and natural ventilation. The University of Indonesia and the Indonesian Health Ministry have applied to the Japan International Corporation Agency to help fund the project, which is estimated to cost a total of 6.7 billion yen, including building equipment, furniture, satellite clinics and seismic isolation system. Source by BERNAMA

Plans To Promote Resolution Centre

Malaysia

as

Dispute

PUTRAJAYA: Plans are underway to promote Malaysia as a dispute resolution centre in Southeast Asia and the Asia-Pacific region. The move is being made by the judiciary and the Malaysian Bar in view of the positive changes made by Chief Justice Tun Zaki Azmi to the judiciary, including efficiently disposing off court cases in a speedy manner. Malaysian Bar president Mr. Lim Chee Wee said in order to raise this awareness, a 5th China-ASEAN forum on legal cooperation and development would be held in Kuala Lumpur this Sept 26 and 27. The forum will be co-hosted by the Malaysian Bar, China Law Society, ASEAN Law Association and Kuala Lumpur Regional Centre for Arbitration (KLRCA). The objective of the forum is to create a platform for legal professionals from China and ASEAN countries to interact, deepen mutual understanding and to study each other's legal system in order to strengthen trade, social and professional ties. It is also to provide legal and intellectual support for a healthy and sustainable development of the ChinaASEAN Free Trade Area (CAFTA) and to promote continuous development of strategic partnership between China and ASEAN. Mr. Lim said there was growth in cross-border trade where many contracting partners to a contract were asking themselves which country's law should they use to govern the contract and through which country should their dispute be resolved. Currently, he said a lot of businessmen in Asia-Pacific countries looked to Hong Kong, Singapore, London and New York as a resolution centre to resolve their disputes. Also present were Mr. Zaki, who is also president of the ASEAN Law Association of Malaysia and Federal Court Judge Tan Sri James Foong Cheng Yuen who is the deputy president. Mr. Zaki said the forum was expected to attract about 300 delegates from all over the world and to date, 186 from Singapore, Indonesia, the Philippines, China and France had registered. Source by BERNAMA

Perlis Food Promotion in Sabah

KOTA KINABALU: The Raja Muda of Perlis, Tuanku Syed Faizuddin Putra Jamalullail, launched a two-week Perlis food promotion here in a move to draw more tourists to the state. The promotion, of food such as Arau style beef kurma, "asam pedas rebus" Kuala Perlis, Padang Besar salted fish curry, Timah Tasoh "sotong sambal" and "ikan pindang menara" Wang Kelian, is being held at the Hyatt Regency Kinabalu Hotel. At the launch, Tuanku Syed Faizuddin outlined the five attractions of Perlis - its location as a transit point to Langkawi and Thailand, the uniqueness of border tourism activities, agro-tourism, eco-tourism and educational tourism. The Raja Puan Muda of Perlis, Tuanku Hajah Lailatul Shahreen Akashah Khalil, was also present at the event organised by the Perlis state government with the cooperation of the National Library of Malaysia. Tuanku Syed Faizuddin said Perlis was also known for its vineyards, "harumanis" mango, sugarcane plantations and padi industry. The state boasted several institutions of higher learning, such as Universiti Malaysia Perlis (UniMAP), Universiti Teknologi Mara (UiTM), Allianze University College of Medical Sciences (AUCMS) and Perlis Islamic Institute of Higher Learning, he said. Source by BERNAMA

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FAMA Imports Six Million Coconuts for Festive Season

BATU PAHAT: The Federal Agricultural Marketing Authority (FAMA) imported six million coconuts from Indonesia to ensure adequate supply for the festive season. Its Fresh Business Development senior director Mr. Lee Yoon Keong said three million coconuts were imported this month while three million more will be imported next month. "The coconuts are imported from Bengkalis, Tanjung Samak and Guntong, Indonesia using barges to Batu Pahat, Pasir Gudang, Butterworth and Kuala Lumpur," he told reporters after observing unloading of coconuts at Batu Pahat port here today. Mr. Lee said the coconuts will be sold directly to consumers at 'pasar tani' at RM1.30 each compared to RM1.50 at wholesale price set by the Government. He said from January to July this year, FAMA imported seven million coconuts to meet the needs of consumers. He said it also provides 125,000 coconuts with fibre as buffer stock and bring in coconuts from Sabah and Sarawak as additional supply. Traders interested in buying the coconuts can contact FAMA to get their supply for the festive season. Source by BERNAMA

IMT-GT Meetings in August, September & October 2011

4th Meeting of the Working Group on Human Resource Development
Venue : Indonesia

5th Meeting of the Working Group on Agriculture and Agro-Based Industry

Venue : Putrajaya, Malaysia

4th Meeting of the Working Group on Tourism

Venue : Thailand

IMT-GT Implementation Blueprint 20122016 Workshop

Venue : Melaka, Malaysia

18th IMT-GT Senior Officials Meeting

Venue : Medan, Indonesia

18th IMT-GT Ministerial Meeting

Venue : Medan, Indonesia

8th Chief Ministers & Governors Forum

Venue : Medan, Indonesia

CIMT Bulletin Editorial Team

ADVISOR Dr Hassan Ibrahim hassan@imtgt.org

TEAM MEMBERS Ritzwan Reza Ibrahim reza@imtgt.org Hamiliana Ali Nurshiela Ismail hamiliana@imtgt.org shiela@imtgt.org

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