Acknowledgement

YAB Dato’ Seri Azlan Man
Chief Minister of Perlis
 
Members of the Media
 
Distinguished Guests
 
Ladies and Gentlemen
 
A very good morning. It is with great pleasure that I warmly welcome all of you to the Seminar on Investment Opportunities in Perlis. We are deeply honoured to have the support of the Perlis State Government, especially from YB Dato’ Seri Azlan Man, the honourable Chief Minister of Perlis.
 
The good turnout today shows that many companies are interested in finding out more about the business opportunities in the state of Perlis. It is therefore timely to consider adding Perlis to your portfolio as you seek new sites for business expansion.
 
Perlis is a unique state and it has so much to offer to its visitors for both business and leisure. There are many opportunities in Perlis and therefore, we will continue to work closely with the state government in catalysing the investment growth here, through collaborating with the private sector to develop priority industries; focusing on selected number of sectors and clusters with clear competitive advantage to maximise impact; and identify anchor investors to spearhead development of the identified areas.
 
Today’s event is part of MIDA’s on-going engagements with the business community to promote investments in Malaysia, particularly in Perlis. The programme lined-up today includes briefings from MIDA and the Perlis State Government as well as a session by a distinguished speaker from Shorubber Malaysia, who will be sharing its experience in doing business in Perlis, with us. I urge all participants here to take full advantage of the information shared, and look out for the various business opportunities available for your business.
 
Ladies and Gentlemen,

Malaysia continues to be a preferred investment destination despite the challenging global economic environment. Perlis has been one of the recipients of these investments. The close working relationship between the Federal and state Government is key to developing and improving the state’s standing in the country.
 
As at December last year, there were 49 manufacturing projects implemented in Perlis, with total investments of RM1.0 billion.  Majority of these investments were from domestic sources recording a total of RM676.5 million or 65% while the rest were from foreign sources. These projects, which have created over 6,000 job opportunities, were mainly in Electronics & Electrical products, Food Manufacturing, Non-Metallic Mineral products, and Plastic products.
 
Notable companies operating in Perlis include Negeri Sembilan Cement; Shorubber, the manufacturer of rubber gloves; Covidien, manufacturer of catheters; Iriichi, telecommunication equipment manufacturer from Japan; MSM Perlis (formerly known as Kilang Gula Felda Perlis) that operates a sugar refinery located in Chuping; and Perlis Marine Engineering, a company, which is managed by a group of local Bumiputera employees who undertake maintenance and fabrication of Patrol Boats, Speed Boats, Marine Engineering  and Fabrication Works.
 
I am aware that many infrastructure projects are underway to boost connectivity in Perlis, especially the upgrade of rail track between Malaysia’s northern borders with Thailand. The increased accessibility will enable further economic development in various areas of the state.
 
The Government also plans to develop Perlis further with strategic key projects such as Kuala Perlis Maritime City, Kangar Smart City, Padang Besar Border Township and Chuping Valley. The Chuping Valley or Kawasan Pembangunan Lembah Chuping (KPLC), for example is expected to provide a major boost for Perlis.  I am sure that YAB Dato’ Sri Azlan will share with us the latest updates on these projects later.

Ladies and Gentlemen,
 
Malaysia continues to be a destination of choice for foreign multinational corporations seeking to invest here, but the future of the country also relies on the growth of domestic direct investments. As such, the Government has laid out several new strategies such as providing the necessary support to the identified potential companies, and encouraging outsourcing opportunities through the vendor development programme.
 
In ensuring a balanced and inclusive regional growth among all states in Malaysia, including Perlis, I would like to urge all of you to take advantage of the incentive for Less Developed Area (LDA), which was introduced last year. In fact, it was mentioned by YB Minister of MITI during his visit to Perlis in June 2014. This incentive was designed to assist states that received lower investments compared with more developed states. 
 
Under this scheme, newly established companies or existing companies that expand operations into less developed areas will be eligible for 100% income tax exemption for up to 15 years.  In addition, companies that set up operations in remote areas will also be eligible for stamp duty exemptions on transfer/lease of land or building used for development related to manufacturing and services activities. My colleague, Puan Rashidah will provide you more details after this.
 
Under the 10th Malaysia Plan, Domestic Investment Strategic Fund (DISF) was launched by the Prime Minister with an allocation of RM1 billion to attract domestic investments, encourage research & development, provide training in new and emerging technologies, and to accelerate Malaysian industries into the global supply chain. Recently, the Government has announced an additional allocation of RM1 billion for DISF, and this will assist MIDA to accelerate the transition of domestic companies into industries, which are high value-added, high technology, knowledge-intensive and innovation-based.
 
I am pleased to announce that as at April 2016, MIDA has approved RM905.8 million of DISF grant for 207 projects worth a total of RM10.2 billion. These projects mainly involved the electrical & electronics, machinery & equipment, transport, life sciences and R&D industries. To date, companies in Perlis have yet to receive the grant. DISF can go a long way in assisting Malaysian companies to be more active in the global value chain and to upgrade themselves. Please find out more on this grant from any of us here today or contact our office in Alor Setar.
 
Ladies and Gentlemen,

We believe there is much more room for expansion or diversification for existing companies in Malaysia to reinvest, particularly in new growth areas. As the principal investment promotion agency in Malaysia, MIDA will work closely with the Perlis State Government and other government agencies to ensure a conducive business environment for your investments to prosper. 
 
Please leverage on all programmes and facilities provided by the government. Engagements such as these should not be a one way street. We encourage your feedback on issues or challenges you encountered for us to fine tune our policies. Our doors are always open and our staff are ever willing to respond to your enquiries.  On that note, I wish you all a productive day ahead.
 
Thank you.