17th Dec 2008: Malaysian Frozen Food Processors Association (MFFPA) official press release on ‘Saving the Malaysian Seafood Export Industry’ in relation to EU ban to importing Malaysian seafood

PRESS RELEASE
FOR IMMEDIATE RELEASE                         

Saving the Malaysian Seafood Export Industry

History:

Malaysian government ‘self ban’ its seafood export industry to the European Union since June 2008.

The main reasons behind this ‘self ban’ are
1) The EU Health Authority, D.G. Sanco found that our Malaysian Competent Authority was not competent (We have to stress that the current Competent Authority was not handling this issue for the period 2005 when the guidelines were given, the current authority is actually trying very hard to ‘FIX’ things up). The Guidelines of Export to EU was given to the Malaysian authority in 2005 but the guidelines were not implemented properly when the inspection was carried out in April/May 2008. The majority or 90% of the unsatisfactory points stated by the EU Health Authority were directed to the Malaysian Competent Authority (main being Health Department MOH follow by Department of Fisheries DOF and Fisheries Authorities LKIM) mainly on issues concerning the fishing vessels, landing ports and agriculture farms. The processing factories were not the major concern as most of the processing plants were audited by the EU Health Authority on an ad hoc basis.

2) The Malaysian government was only given two choices either a self impose ban or taking the risk have a EU total ban that would be gazetted into law. The first choice would allow Malaysia to ‘save face’ as it is a self- imposed ban and not an ‘actual ban’. The EU inspectors will return for an inspection when the Malaysian government Competent Authority is ready. Indirectly it means that the whole infrastructure has to be ready before inspection.

The Ministry of Health, Department of Fisheries and the Malaysian Frozen Foods Processors Association had went to meet the D.G. Sanco in Belgium but failed to reach a compromise.

Facts:

• The Malaysian seafood industry is the 2nd largest food export industry in Malaysia with a total export value over 2.5 billion annually.
• The European market is the main export market for Malaysian seafood. Malaysian shrimp product commands a higher retail price in the EU market due to its quality and reputation since 1970s.
• Thailand is the largest shrimp export country in the world commanding about 25% of total world export. Malaysia currently controls less than 3% of world shrimp export market. (This clearly shows the potential to expand its world market share in this industry).
• The industry has a workforce over 10,000 direct labor and an estimated of 50,000 indirect labor.
• This seafood export industry is one of the very few industry that has never ask for any emergency government assistance for the pass 50 years. This current crisis is not the fault of the private sectors but more to the Malaysian Competent Authority.
• Minister of Health YB Dato Liow Tiong Lai and Minister of Agriculture and Agro-Based Industry YB Dato Mustapa Mohd. has been very helpful in trying to solve this issue. They had presented the case to the cabinet.
• Cabinet has approved a RM 500 million rescue package as soft loan to help the seafood export industry with priority to members of the Malaysian Frozen Foods Processors Association. This approval was given 3 months ago.
• Agro Bank is appointed to be the main bank handling this rescue package. Agro Bank had approached the industry player and all paper work is ready. Agro Bank had also interviewed applicants and inspected respective processing plants.
• The seafood exporters has reported an estimated loss in sales and production for more than 1.5 billion to date. Ready stocks for the EU festive season such as X’Mas and New Year are ‘stuck’ in cold rooms. Cannot sell to other countries because of different packing and requirements from other countries. To reprocess will have quality problems and extra cost incurred. Ultimately not being competitive.
• The Malaysian Competent Authority has announced many dates for the EU inspectors to come to Malaysia. First being August, then October, latest announcement is early March 2009.
• The seafood players can no longer withstand the losses and pressure from commercial banks.
• Many factories have started to retrench workers if not reducing working days since the ban came into force.
• To add insult to injuries, government to increase electricity rate by 30%
• Many processing plants will not last through Chinese New Year 2009. The Malaysian 2nd largest food export industry, is in the verge of collapsing due to Government incompetence.

To Save the Industry

• The Ministry of Finance has to immediately release the rescue package of RM 500 million.
• The rescue package must be in the form of soft loan with interest rate hopefully not exceeding 2%.
• Provide tax relief for affected companies and special rate electricity until after the crisis.
• The seafood export industry is still viable as there are still orders from foreign customers. What the industry need is a financial help line to hold the stocks and soften the commercial killing interest rates. (The Thai Government issued a zero interest rescue package to safe guard its seafood industry when it was faced with an export crisis in the late 1990s)
• The remaining of the rescue funds is for the up-grading of facilities in processing plants.
• The Competent Authority should be led by one department. Currently 3 departments are working together being Ministry of Health, Department of Fisheries and Fishery Authority LKIM. The Malaysian Competent Authority should speed up their enforcement process and a clear leader must be appointed to be responsible for this project.
• The point is that this industry can be saved if the Government act fast. We will be back on our feet if we can catch the 2009 summer holiday sales. This is one of the industry that is not affected as severe as other industries such as electronic or automobile, etc. Consumers need to eat.

A Good Beginning, A Bad Ending…?

When our forefathers fought for Malaysian independence in the 1950s, their common goal for the three main races namely Malays, Chinese and Indians were to have an independent state governed by the people and not being controlled by the British Empire. At that time, all those living in Malaysia were hopeful and believed that the three main races could share the responsibilities and powers to make a better tomorrow. Politicians at that time fought for a new country call Malaysia and the people are known as Malaysians.

 

More than 50 years later, it is no longer heart felt that many politicians are actually having the same spirit as Tunku Abdul Rahman raised his hand and shouted ‘Merdeka’ with his comrades. Nowadays it is sad to say that many politicians are still fighting but mainly fighting for themselves rather than for Malaysians. Who can blame these selfish liars that would even sell their mothers to gain public support during election time? A straight forward question is that who on earth will spend so much money and effort to climb to the top and gain nothing? A simple answer will be politic is just another business investment and it is a very dirty one indeed.  We, the people actually fall for these every 4 to 5 years probably because we are unique human beings that are easy to forgive and forget.

 

Currently the world is facing another economy crisis and Malaysia is not only having the same problem but to add insult to injury, it is experiencing a political crisis. Obviously this is the best time to see who is a good responsible politician who is currently working very hard to sail Malaysia out of this economy crisis and who is currently working very hard to nail his or her political status especially it will be the annual parties’ election soon. Most may argue that he or she will create a better tomorrow once he or she is in power. In a way the argument is quite valid but the problem arises is that after gaining the position and power, the next important issue to pursue is how to stay in power and not how to make Malaysia a better place for Malaysians. 

 

So when are we, Malaysians, actually going to benefit from the people we elected? A change of government? A change of leadership? Maybe, but would it not be the same if politicians place emphasis on personal wellbeing than public welfare? There is no answer to this question, the nearest answer would probably be … when the politicians wake up and realize that the people of Malaysia is actually the one who pays their salaries.

 

 So to put it simply, ‘We the people are the boss!’ 

Grow up, politicians!

308 had marked a very important date in Malaysian political history. Although it seemed that many will think that the unexpected result was the main topic, it is not. More importantly it was to show that Malaysians overall as voters have matured. After 50 years, religion and race no longer play such important roles compared to other issues such as the economy, social well being and corruption when it comes to voting. Now Malay, Chinese, Indians and other ethnic groups vote as Malaysians. Finally and hopefully the usual tactic ‘Divide & Rule’ through race and religion that politicians play when it involves winning votes and gaining popularity is something in the pass. Let us all focus our energy onto how to have a healthy administration, a strong economy and a peaceful society. Easy said than done, that is for sure.

The big question mark here is that the voters are matured to choose but are the politicians from both sides are matured to accept the decision and act on it? It seems that both titans are yet to sober.

The individual parties for ruling party Barisan National are having leadership crisis. Prime Minister Badawi is facing a lot of pressure from within for his resignation. He has in return told his United Malay National Organisation (UMNO) that he had reach an agreement to hand over the premiership to his second man, Najib, in due time. The top two leaders from MCA (Malaysian Chinese Association) had decided not to defend their posts in the upcoming party election, whereas Samy Vellu, president for the MIC (Malaysian Indian Congress) insists that he will leave if his service is no longer needed although he had lost in the election, a position that he had won and held 8 consecutive terms?!?! Gerakan acting president Koh Tze Khoon did offer his resignation but was asked to stay back by some of his supporters. The stories just go on… The interesting issue here is that all leaders stayed back. Most of them have been in the political arena for maybe too long and they still opted to cling on despite the poor election results. This scenario is very unlikely in other countries. How is this possible? Would it be unwise to argue that the election result was a hint that they should have passed on the batons and let other potential leaders to have a run for it?

Probably this happens because there are too much at stake and the surprise election result gave little or no warning for them to properly plan out their exit from politics. So how do we conclude? The answer would be between a simple choice of being responsible or being selfish.

On the other hand, the opposition coalition, currently known as Pakatan, is facing another dilemma. They came into power by accident! To put it very simply, it is a case of getting pregnant before marriage. The best beings that the parties involved are the Democratic Action Party (DAP), Keadilan and PAS. DAP being the protector of Chinese well being and PAS always wanting to run Malaysia by the Islamic rule. The Keadilan party is currently led by former sacked deputy prime minister Anwar Ibrahim, who is also the mentor behind Pakatan. Keadilan is obviously squashed in between these two parties with initially different views but maintaining the balance of power. These three main opposition parties understand that one thing they have in common is to provide the public with an alternative choice to replace the existing government. However this is only possible if they team up as one. The election result has proved them right. So now that they are the strongest opposition in Malaysian political history and with a very high possibility to take over government, are they really ready to govern? If so, why are we yet to see a blueprint from them on how are they going to progress this country. Hopefully the excuse of taking over by accident will not be used again!

Obviously by now Pakatan should have a set of blueprint on how to run Malaysia if they take over power. There should be by now a shadow ministry line up so that the public are assured that their future is in good hands. So why are we not given the two most important answers? Is it because the parties are having different conclusions although showcasing as one? Well again the answer would be either being responsible or being selfish?

In short, we the public has clearly shown our maturity and voiced out our decision. Now all we need is for the politicians to wake up and understand our messages. We want a strong economy, peaceful society and a clean administration. Stop playing the outdated race and religion issues. It is not easy to let go nor is it simple to take up status and power. The most important thing to remember is that it is the people who voted the politicians in and all politicians are supposed to serve the people. It should never be the fact that politicians rein superiority over the people.

To all politicians, be responsible and drop the selfishness. Grow up!

 

 

100 days for Penang CM

When Lim Guan Eng, an ex ISA detainee, took over as the 4th Chief Minister of Penang in March 2008, many Malaysian knew that the beginning of the end is finally here. Malysians have grown up, so did Malaysian politics. It was then some were concerned whether they, the voters, had gone too far. The main concern was can this new and inexperience person lead efficiently with his team? It was an unexpected gamble that many were not prepared. Some even consoled themselves by saying that ’… if we die, at least all of us die together and equally’. So how did Lim perform so far?

Well, I think the overall sentiment is that he has done pretty well for these 100 days. Most Penangnitesare happy with him and his team although there are some rotten apples that are slowing down his effort. Now the Penangnitesobviously want to see not only the changes made for the state but is he strong enough to change from within his team? It is easy to find faults from the previous government and improve on them, to provide and implement new ideas that benefit the people, but what about improvement within his team of comrades, those that had fought with him side by side for years?

One of the major setback of the previous government is that ‘quality’ was sacrificed for ‘loyalty’. They preferred people that listen and follow. The ‘Sit ! Good boy’ syndrome. History shows that those that were of quality often do not last long as they are seen as a threat to those in power. Obviously Singapore shot way ahead of Malaysia because the Singapore government treasures those that can perform and have no qualms removing those that were not up to par.

As for Penang to achieve its long awaited recognition and status, it now lies in the hands of Lim Guan Eng. One must remember that it is useless to have a body without a soul. Has he got what it takes to remove those that is not performing as well as expected? He must now remember that he is the Chief Minister of Penang and no longer only a leader in a party. Will he make the same mistake as Barisan did and has he the courage to ‘CHOP’ ?

If he does weight Penangnites over his party, this Chief Minister and his quality comrades will be here for quite a while…

Anyway, ” … it is always better to try and fail then fail to try” said Chief Minister Lim.

Why have State Exco Members in Malaysia?

Exco members are considered to be similiar to federal minister but only on state level. Their duties are to manage and run their respective portfolios. It may sound simple but it does not make sense.

Imagine that you are the owner of a company and would you in your rightfull mind hire someone inexperience to run one of your departments if not the whole company? The answer is definately ‘ NO’ simply because he or she is inexperience and may not even have the qualification and knowhow to perform efficiently and effectively. I do not think we need a genious to tell us this common sense.

But then why are we still having State Exco Members in Malaysia especially in the five states that have recently been taken over by Pakatan (Malaysian Opposition alliance) ? Many Malaysians were hoping that the newly elected government will at least have the sense to right this wrong because putting inexperience senior party members on high position does not benefit the states and the people. How can one be given a top position when he or she have no experience nor previous exposure? Are we being naive and hoping for miracles or this is a way to a peace supporters? Are we not supposed to have professionals looking out for the best interest of the states and the people?

I think that elected partys(s) running a state should run it like an organisation. The Chief Minister (CM)is the executive chairman follow by the vice chairman and board members (exco members). These group of people led by the CM should be considered the state supreme council deciding on macro topics and the direction of the state for the next 5 years. This will ensure that all ideas by the board members are to be tabled, discussed, adopted or even rejected by the majority and not by one or two individuals.  Only then the finalised blue print will be handed down to the respective professionals heading the various portfolios.

The advantage of having a state supreme council is that the people do not have to worry if an ‘idiot’ is appointed to an important portfolio and having the risk of him or her not performing. Furthermore this is a win-win situation for all as the seniors in the party will still maintain the status and power whereas the execution can be done by the experts. More importantly the state will progress better and the people will benefit more.

Many will resist change as it tends to create uncertainties.

But if it is for the good of the public, why not?

MR.C

Malaysia Cutting Cost

Most Malaysians welcome the news when Prime Minister Badawi announced his cost cutting plan in mid  June 2008. Although DAP secretary general and current Penang state Chief Minister Lim Guan Eng hasthe opinion that Badawi is actually following the foot steps of his administration, it is no doubt a good move. 10% may not seems to be a lot but at least it is a start. Obviously most government departments by now would have issued a directive to their various departments ‘freezing’ almost everthing. But is it going to work?

Easy said than done. Many departments are now cutting down on expenses such as celebrations, meetings, foreign trips, entertainment, etc. But is there going to be a report card on how each departments has perform? If there is a will and no way to evaluate, it is going to be another sound effort going down the drain. I personally think that there should be a transparent evaluation system that will show the public how much has each department saves compare to previous years spending. This evaluation should be done every 6 months to avoid any rotten apples spoiling the whole basket.

On the other hand, the government should also look into cost saving from the very basic. Some of these basics are …

Switching off electricity

Government offices tend to ‘waste’ a lot of unnecessry electricity. Sometimes one hardly notices anyone working in the office but the lights for the entire floor are switched on! 

Avoiding personal calls

It seems that some government servants are ‘so free’ that they spend time chatting with friends through office phone lines. These are people that are not only violating basic rules but are also wasting tax payers money as they are not productive.

Travelling expenses

I do not think most Malaysians will mind if our leaders are flying first or business class. This is because we need them to be at their best when attending official functions abroad. But the government should not only restrict themselves to fly MAS only. They should be allow to choose whichever airline that gives the best time schedule and price. Furthermore government should not pay ‘full fare’ when others can obtain discounted fares from other travel agents.

I always wonder why some government low to middle ranking executives flying business class and staying in 4 to 5 stars hotel. Only then I was told that they are actually paying ‘full fare economy’ and was given an upgrade to business class. Ridiculous!

The government should have a scale for different ranking government servant enjoying different privileges. Seniority should mean something or the new comers will never learn to become good future leaders.

In short, it is not hard to save but do they have the heart to do so.

Bye and take care.

MR.C