THIS year has been filled with both “mountains and hills” and also the “low valleys” for the business community. Not too long ago, the country had restrictions due to the COVID-19 pandemic in the beginning of the year. Since then, it seems that there is a bit of light at the end of the proverbial tunnel.
All is not doom and gloom, though. Head of Sarawak Business Federation (SBF) Datuk Jonathan Chai Voon Tok said that 2023 is expected to be a tough year but still hopes that the economy would pick up instead of going into a recession.
He hopes that the country’s economy would be resilient enough to weather the challenges or difficulties ahead and most importantly, the newly formed federal government under the helm of Datuk Seri Anwar Ibrahim should introduce effective measures and policies to help expedite recovery, and speed up approval of work permits for foreign workers.
Chai, who is also the secretary-general of SBF, added that this would help enable institutional reforms to tackle corruption and abuses of power and rebuild the country to reclaim the confidence of investors and make Malaysia a favourite destination for them again.
Orang Ulu Chamber of Commerce and Industry (OUCCI), President Datuk Mutang Tagal also says with a new Unity Government, OUCCI hopes for a new dawn of change in the nation such as simplifying the registration and procurement procedure for companies to register with relevant federal government agencies; revamp and restructure how procurement and contracts are dished out or awarded to contractors
He stressed that opportunities must be given fairly to all business enterprises especially SMEs that include Orang Ulu businesses. Relevant ministries such as Finance, Works, and Rural Development that implement many projects must allocate certain jobs to all Bumiputera Business Chambers including OUCCI for their members.
He reinstated that many of the smaller enterprises are unable to compete successfully through open tenders and the government must be bold enough to make concessions and exceptions.
He opines that Sarawak requires more good tar-sealed roads, bridges, clean water supply, fast and reliable internet and broadband network.
“Bumiputra companies including Orang Ulu enterprises should be given chances to participate in these projects.
“The Ministry of Works is helmed by a Sarawakian, Datuk Seri Alexander Nanta Linggi and the Bumiputera Chambers including OUCCI looked forward to more work pacts to be allocated to them to be tendered out among its members,” he said to New Sarawak Tribune.
Mutang opines for bigger projects these Chambers will form consortiums to undertake projects worth billions and he hopes that under Prime Minister Datuk Seri Anwar Ibrahim, the Chambers, including OUCCI can look forward to a more level playing field in business participation; a major boost and uplifting to their businesses.
“In budget 2023, OUCCI hopes for more financial allocations to be given to small and medium enterprises (SMEs) in the form of grants, soft loans, revolving funds, and project financing.
“These funds will provide lifelines to these SMEs because of increased costs of doing business, contracts and more. Suppliers these days no longer provide credit. Materials must be paid in cash.
“For SMEs including Orang Ulu businesses, these pose huge financial constraints on them to run their businesses profitably. The Ministry of Finance (MOF) has to be sensitive to the needs of these Bumiputera SMEs for they generate the bulk of Gross Domestic Product (GDP) to the national economy, provide employment, pay taxes and keep the economy growing,” he added.
With the Federal Ministry of Tourism was also helmed by a Sarawakian in Datuk Seri Tiong King Sing. The Chambers calls upon Tiong to facilitate the entry of overseas tourists to Sarawak by getting a few more landing rights from foreign airlines in Sarawak.
Mutang suggests that increased tourist arrivals translate into increased tourist dollars and the Orang Ulu businesses will benefit from these tourists who spend money when visiting their areas.
In addition, he hopes that the ministry can assist by providing grants and soft loans to tourism operators to upgrade their homestays, and longhouses, upgrade tourist attractions in their areas like access roads, rest and recreation areas, restaurants, buses, taxis, and boats among others.
Explaining further, in a tourism aspect which could also benefit businesses in 2023, Mutang adds that training of tourist guides must be ongoing to upgrade their skills and knowledge for instance Mulu Caves, a World Heritage should be aggressively promoted and marketed, the Bakun and Murum Dams to be promoted as a natural tourism destination.
He adds that Mount Murud as the highest mountain in Sarawak and the Twin Peaks of Batu Lawi should be made more accessible to visitors from within Malaysia and overseas.
“The same goes for the Cottage Industries in all Orang Ulu settlements should be set up to encourage the production of world-class beads, baskets, mats, handbags, bracelets, potteries, carvings, musical instruments like the Sape, Bamboo Band equipment etc for the export market. All these will be sources of income for Orang Ulu entrepreneurs,” he said.
The secretary general of the Orang Ulu Chamber of Commerce and Industry (OUCCI), Osart Jalong also pointed out that for the Bumiputera businesses and in particular, the Dayak and Orang Ulu businesses, a “levelling” and catch strategy and policy need to be created to ensure participation of these communities in project and service deliveries and thereby enabling them to share in the State and National development expenditures.
He states that sadly, in the past the beneficiaries of these development expenditures were large and experienced companies which are owned by the rich and coincidentally by one or two communities in the country.
“Whilst the open tender system gives the appearance of fair competition, only the experienced and financially capable can qualify. The result is, such a procurement system makes the rich become richer and the smaller and growing Bumiputera companies phased out of the industries.
Jalong suggested that the Government comes up with technical and commercial criteria in selected tenders requiring partnerships with Bumiputra, or in Sarawak, Dayak and Orang Ulu businesses and this will enable businesses belonging to the indigenous communities to grow and eventually compete with bigger companies on an even keel.
Datuk Sim Kiang Chiok, Sarawak Housing and Real Estate Developers’ Association (SHEDA) Kuching Branch has said in Sarawak with the new economy such as carbon trading and storing, digital economy, hydrogen manufacturing, export of green electric energy, and other high-tech manufacturing, Sarawak will grow while complimenting the traditional business sectors will be restored and revived in 2023.
He adds that with our stable Sarawak government with strong leadership they are restoring our MA63 rights and we can also expect better income for our State Government to assist our economy and businesses in 2023 and beyond.
Kiang Chiok also notes that the shortage of workers in the state can be resolved quickly with the reduction of red tape and other processes, and stronger ringgit to reduce imported inflation.
“We can also foresee that our business in Swk will be good in the medium and long term.
“Political stability in Malaysia, the early end of the Russia-Ukraine war, and China opening up further of their economy from strict Covid-19 restrictions, lower interest rates at the right balance so that economic growth is not impeded,” he added of his hopes in 2023.
