JAMES Ritchie has written 35 books and is planning to pen four more in the near future. Readers can, from excerpts of ‘Abdul Taib Mahmud: 50 Years in the News’, published by us on Wednesday and Sunday, get a glimpse of some exciting political events that had happened in Sarawak.
Taib (right) inspecting a Renault car after officiating at the assembly line for Renault cars at the Associated Motor Industries Malaysia Sdn Bhd in Batu Tiga, Selangor on February 11, 1969.
PIONEER STATUS
In the motor trade, Taib urged local motor vehicle assemblers to export to neighbouring countries. Launching the first locally assembled Renault 16 in Kuala Lumpur, he said that present production capacity exceeded the domestic market demand of 20,000 vehicles.
He told the Associated Motor Industry Sdn Bhd (ST, Feb 12, 1969):
“Some of the more progressive assemblers are already starting to do this. This enables them to remain more viable and helps the country earn more foreign exchange.
“The government, together with the Malaysian Motor Vehicle Assemblers Association is currently working out the standard definitions for motor cars and commercial vehicles.
“I hope investors will take the opportunities to manufacture parts which the government will, from time to time, declare as pioneer status.”
In June that year, Taib told the local Kelantan Chinese Chamber of Commerce in Kota Bahru that the Federal government would help investors start industries in the East Coast. He suggested that they venture into fish, canning, feedmill and timber for starters. The government would help them by giving five percent concession to industrialists with pioneer status.
Within the next few months, Taib led a 15-member trade delegation to the Middle East for Trade Talks in Karachi, Bahrain, Kuwait, Beirut, Cairo and Teheran on September 12, 1969. He also spoke of Malaysia boosting exports to the Middle East.
A month later, he called on Malaysia’s industrialists to take advantage of the abundance of “capital floating around” to strengthen economic partnerships among races. Speaking at the balloting of shares in South Pacific Textile Industries which was oversubscribed 23 times, he said;
“This heavy subscription indicates that there is definitely no lack of capital in this country for new or expanding industrial ventures. It also reflects that the present drive by our industrialists has not met the abundant supply of local capital.
“There is, therefore, a very urgent case for grooming more entrepreneurs by the present fortunate few to help them expand private investments in Malaysia.”
SEEKING ADB HELP
Later, at the Sixth Ministerial Conference on economic development in South East Asia in Kuala Lumpur on May 4, 1971, Taib urged the Asian Development Bank (ADB) to help Malaysia finance special socio-economic development projects.
Taib, who had been promoted to Deputy Minister in the Prime Ministers department two months earlier said (ST, May 5, 1971):
“Malaysia, like some developing countries, has been automatically excluded from obtaining soft-term loans from the International Development Authority because of her per capita income level.
“However, it has been found that there are certain projects
which, though not direct revenue earning, need to be judged purely on their immediate economic viability.
“The ADB special funds will be the major source for financing those projects which are desired or even necessary for socio-economic reasons but cannot normally be implemented under ordinary operation loans.
“The projects will contribute in no small measure towards the economic and social development of the less developed members of ADB.”
UNITING THE VARIOUS CHAMBERS OF COMMERCE
Taib said that states like Sarawak and Sabah and those in the East coast were lagging far behind because of their poor economy. During a visit to Terengganu where he met local businessmen at the Chinese Chamber of Commerce, Taib spoke about his plan to industrialise the East Coast and initiated the establishment of more industries in the region. Among some of the attractive incentives was a five percent concession to companies with “pioneer status”.
Taib said that if industries such as fish, canning, feedmills and timber were developed, the East coast states would be able to provide job opportunities for the unemployed and help raise the standard of living of the people.
Taib brought the other Chambers of Commerce together to ensure a “spirit of understanding and co-operation”. Speaking at the annual meeting of the Penang Malay Chamber of Commerce, Taib praised Tunku Abdul Rahman for a policy which advocated the unity and solidarity of all races. Urging the private sector to help the Bumiputeras in business and industry, Taib said:
“In the social field, the government is very serious about people coming together. People in the economic field should adopt concrete steps in supplementing the programmes of the government to help build a united Malaysian nation.”
A FULL FEDERAL MINISTER AT 35
In July 1971, Taib was given another portfolio in addition to commerce – that of Works, Posts and Telecommunications. A month later he announced that Langkawi would get a clinker plant and that there was a plan for an ASEAN Highway under the coming Malaysia Plan.
On January 2, 1972, Taib,35, was promoted to full Cabinet Minister by Tun Razak and was given the important portfolio of Natural Resources.
This promotion was considered appropriate as “he does not lack the experience in handling big jobs” (ST, December 23, 1971). Taib realised the enormity of his responsibilities and to ensure synchronisation, approached the Prime Minister. Within the month, his portfolio changed from Natural Resources to Primary Industries.
“It was felt that the original title (Ministry of Natural Resources) did not describe fully the approach of the new ministry of resource marketing.
“I put the suggestion to Tun Abdul Razak, the Prime Minister and he agreed that the term Primary Industries was more suitable for what he wanted in the way of an integrated approach to resource marketing,” he told the Malaysian Business (February, 1972).
Taib then set to work giving the highest priority to export markets.
REORGANISING THE RUBBER INDUSTRY
One of his major tasks was to reorganise and “Malaysianise” the rubber sector. Firstly, Taib prompted the Rubber Industr y Smallholders Development Authority (RISDA) into operation as the need to improve the smallholders’ condition in Malaysia was urgent.
He also reorganised the Rubber Research Institute (RRI) as well as the Malaysian Rubber Research and Development Board (successor to the Malaysian Rubber Fund Board). Trips abroad were planned to promote rubber and to prepare for in-depth studies of the market processes. Taib told the Malaysian Business (November 1972):
“In the Rubber Research Institute, a new division is to be created as a projects division to work more closely on passing results onto the smallholders. We must know more about how to suit our planting programmes to soil conditions all over Malaysia, and we must try every new idea in the field before there is mass planting. So we shall have pilot projects in each estate.
“Market reform will take a long time; it will drag on, and we must not go on with this alone without tackling also the basic production problems. There are many smallholders unable to withstand even the present price dip. We must make the rubber industry as resilient as rubber itself.”
Taib called for a “framework of co-operation” with Singapore whereby both the neighbouring countries would work out a solution to avoid the erosion of grades and to ensure that the Standard Malaysia Rubber (SMR) label remained a Malaysian guarantee of quality.
An understanding was also worked out between Indonesia (the world’s second largest producer of rubber) and Thailand.
He also called for a study on the production of semi-processed rubber from overseas manufacturers.
(To be continued)
