SPV boost for Bumiputera timber companies

Primary Industries Minister Teresa Kok says the government wants to produce ‘Bumiputera champions’ in the timber industry. (Reuters pic)

SERDANG: The primary industries ministry has approved the establishment of a special purpose vehicle (SPV) for the Certified Timber and Credit Suppliers (CTCS) programme carried out by the Malaysian Timber Industry Board (MTIB).

The SPV will assist Bumiputera companies to get contracts to supply timber products to large and multinational corporations in the construction sector, its minister Teresa Kok said today.

“This will directly promote the use of timber products in the construction industry,” she said at a book launch at Universiti Putra Malaysia here.

Kok said the government had set several key performance indicators to monitor the programme.

“This effort can produce Bumiputera champions in the furniture industry,” she said.

She advised Bumiputera entrepreneurs to be more creative and innovative as well as to persevere in overcoming challenges in the timber industry.

“The development of timber industry is important as the sector contributed significant income to the country and in generating jobs for the people.

“However, the contributions of Bumiputera entrepreneurs towards the total value of Malaysia’s timber exports is still low at RM6.63 million or less than 1%,” she said.

Timber exports last year totalled RM20.4 billion.

Malaysia’s furniture industry also exported RM7.07 billion worth of products during the year. - FMT