Welcoming Speech
by HE Dr. Ahmad Faisal Muhamad, Ambassador of Malaysia
At the Business Talk Organised by FELDA
At Traders Hotel, Yangon on 2 November 2011
YBhg. Tun Dr. Mahathir Mohamad, Former Prime Minister of Malaysia.
YBhg. Tun Dr. Siti Hasmah Mohd. Ali.
Mr. Win Aung, President of the Union of Myanmar Federation of Chambers of Commerce and Industry (UMFCCI).
YBhg. Tan Sri Hj. Mohd. Isa Samad, FELDA Group Chairman.
YBhg. Tan Sri Datuk Dr. Yusof Basiron, Chief Executive Officer, Malaysian Palm Oil Council (MPOC).
YBhg. Dato’ Sabri Ahmad, Group President, FELDA Global Ventures Holdings Sdn. Bhd.
Excellencies, ladies and gentlemen.
Mingalabar and a very good afternoon.
It is indeed an honour for me to welcome all of you to the Business Talk jointly organised by FELDA, the Malaysian Palm Oil Council (MPOC) and the Republic of the Union of Myanmar Federation of Chambers of Commerce & Industry (UMFCCI).
Excellencies, Ladies and Gentlemen,
The Federal Land Development Authority or FELDA, was formed by the government in 1956 as a scheme to eradicate rural poverty. Through the scheme, new settlements were opened and those without lands were given lands, assistance and training to cultivate and manage plantations of mostly oil palm and rubber. Now, the majority of FELDA settlers enjoy monthly incomes more than that earned by an average Malaysian. Indeed, the scheme is considered as a huge success, which has contributed to reducing the poverty rate of the country from about 60% in 1956 to about 3% today.
Now, the FELDA Global Group’s revenue touches USD 10 billion. With a total land bank of 850,000 hectares, it is one of the largest operators of oil palm plantation in the world. It is also one of the world’s biggest producers of palm oil, with a total production of over 3 million tonnes a year. Needless to say, FELDA Global Group has a vast experience in the palm oil industry, covering the whole chain of upstream, midstream and downstream activities.
Recently, in his budget speech at the Parliament, the Prime Minister of Malaysia announced the listing of Felda Global Ventures Holdings Sdn Bhd, which is the anchor company of the FELDA Global Group on the Kuala Lumpur Stock Exchange (KLSE) by the middle of 2012. Over the span of about fifty years, FELDA’s progress has been truly remarkable. It has grown from a co-operative scheme set up by the government to eradicate rural poverty to become an influential global player in the palm oil industry. Now, it is set to become the world’s largest listed plantation entity by land, a blue chip in the plantation sector on the KLSE.
Thus, it is indeed a happy occasion for me to be able to share one of Malaysia’s success stories with all my friends in Myanmar, today. For us, FELDA is not just any other company. It is a company, which has a special place in the history of our national development because of its central role in transforming the social and economic well being of our people, especially those in the rural areas.
Ladies and gentlemen,
I hope many more Malaysian companies will follow FELDA’s footsteps and explore the vast opportunities that Myanmar has to offer. I also hope that, like FELDA, these companies will bring with them the same philosophy of social responsibility that underpins their operations in Malaysia. More than just looking for profitable ventures, Malaysian companies must play a role in uplifting the social and economic condition of local communities. They have to be prepared to provide skills training and contribute towards capacity building locally. They should come in with the intention of going for the long-haul.
Although bilateral relations between Malaysia and Myanmar have always been strong, trade and investment links can still be improved. In 2010, total bilateral trade was USD597.8 million, an increase of about 54% from 2009, which is very encouraging. In 2010, Malaysia’s exports to Myanmar was about USD370 million and its imports from Myanmar was about USD230 million. In the same year, investments from Malaysia were recorded at about USD40 million. There remains a huge potential that all these figures can further increase and multiply.
There are so many complementarities between the economies, which open up the possibilities of co-operation in so many sectors. So, I would like to take this opportunity to encourage the private sector of both countries to work harder, increase their contacts, networking and discussions in exploring new areas to collaborate. We in the government sector stand ready to facilitate the process, within the ambit of our ability.
Excellencies, Ladies and Gentlemen,
I am also truly honoured to welcome Malaysia’s Former Prime Minister, Tun Dr Mahathir Mohamad. Here is the man who played a crucial role in many of Malaysia’s success stories. Personally, I am a huge admirer and I spent about four years writing an entire PhD thesis on Tun Dr Mahathir and his foreign policy. So, like everyone else here today, I am looking forward to hearing Tun speak. It is always an honour and a great pleasure to listen to you, Tun.
Before I end, I would like to again congratulate FELDA and MPOC on the successful organisation of this event. I would also like to thank UMFCCI for their tireless hard work and great co-operation to ensure that this event becomes a success. Last but not least, I would like to record my appreciation also to the Union government, especially the Ministry of Commerce and the Ministry of Foreign Affairs, as well as the government of the Yangon Division for their support.
Excellencies, Ladies & Gentlemen,
I hope all of you will find this event to be beneficial, informative and insightful, and I thank you for your presence.
Thank you.