O VERVIEW O F WO O D- BASED INDUSTRIES

2 Exc ha ng e o f Info rm a tio n o n the pro g re ss re po rt o f ASEAN m e m b e r c o untrie s in the wo o d- b a se d se c to r MALA YSIA

1. O VERVIEW O F WO O D- BASED INDUSTRIES

The timb e r ind ustry in Ma la ysia c o ntinue s to p la y a n imp o rta nt ro le in the so c io - e c o no mic d e ve lo p me nt o f the c o untry. It is a ma jo r c o ntrib uto r to the c o untry’ s e xp o rt e a rning s a nd p ro vid e s e mp lo yme nt o p p o rtunitie s. The Ma la ysia n timb e r ind ustry, re c o g nise d a s o ne o f the o ld e st ma nufa c turing ind ustrie s in Ma la ysia , ha s g ro wn tre me nd o usly in the p a st d e c a d e s a nd no w e nc o mp a sse s a wid e ra ng e o f a c tivitie s fro m sa wmilling , se c o nd a ry p ro c e ssing to te rtia ry p ro c e ssing . Exp o rts o f wo o d a nd wo o d -b a se d p ro d uc ts in 2004 wa s RM 19.78 b illio n re g iste ring a n inc re a se o f 18.9 p e rc e nt fro m the p re vio us ye a r. Plywo o d a nd furniture p ro d uc ts we re the ‘ g ro wth d rive rs’ o f the ind ustry d e sp ite inc re a sing c o mp e titio n. The se two p ro d uc ts a c c o unte d fo r mo re tha n ha lf o f a ll re c e ip ts fro m Ma la ysia ’ s timb e r ind ustry e xp o rts. The p riva te se c to r’ s p a rtic ip a tio n, b a c ke d b y the g o ve rnme nt’ s fa c ilita ting ro le ha s g re a tly c o ntrib ute d to the d e ve lo p me nt o f timb e r ind ustry in Ma la ysia . Ne ve rthe le ss, the ind ustry is a t thre sho ld o f a p e rio d o f tre me nd o us c ha lle ng e s a nd c ha ng e s. As the ind ustry mo ve s to wa rd s a g lo b a l e c o no my, the c o nc e p t o f sta nd a rd iza tio n ha s b e c o me a c ritic a l b usine ss issue with tre me nd o us imp lic a tio ns fo r e nha nc ing c o mp e titive ne ss. In this c o nte xt, the G o ve rnme nt ha s id e ntifie d the d e ve lo p me nt o f sta nd a rd s a s o ne o f the sp e c ific me a sure s tha t ha s to b e g ive n p rio rity to furthe r e nha nc e the d e ve lo p me nt o f the timb e r ind ustry in Ma la ysia .

2. STANDARDS AND C O NFO RMITY ASSESSMENT