UK keen to strengthen trade ties with Malaysia

20 May 2010 , By Business Times

MORE British companies, particularly in the services sector, are expected to look seriously at Malaysia when it unveils more details of the New Economic Model (NEM), said visiting Prince Andrew, the Duke of York.

"I know that Prime Minister Datuk Seri Najib Razak's government has already made some solid progress on this. But we would certainly like to see more in areas like legal and financial services, share ownership, distribution and logistics, and recognition of professional qualifications," he told reporters after the Malaysia-UK Partnership Dialogue organised by the Asian Strategy & Leadership Institute in Kuala Lumpur yesterday.

Prince Andrew, who is the UK's special representative for trade and investment, said with the NEM, British companies can be persuaded that Malaysia has a lot to offer and a market to consider seriously.

"And, we would hope to see rapid progress on the proposed European Union-Malaysia Free Trade Agreement, the conclusion of which would certainly boost the growth of trade and investment between our respective countries," he added.

Malaysia, he added, also offers potential in the rapidly growing Islamic finance sector, which British banks recognise.

Malaysian companies that have a strong stake in the UK include Wessex Water, Stanley Leisure, Laura Ashley, Crabtree and Evelyn, Corus Hotels and Lotus Cars.

International Trade and Industry Minister Datuk Seri Mustapa Mohamed said Malaysia would need collaboration in the services sector, especially in financial services and human capital development, and looked forward for input from the UK.

He expressed potential in expanding the British presence in Malaysia in the areas of aerospace engineering, design and development and creative clusters such as fashion and multimedia.

BAE Systems and Rolls-Royce are two aerospace industry players that have expanded their operations in Malaysia because of the growth of the aviation and tourism sectors.

Besides that Pinewood Studios has announced a joint venture with Khazanah Malaysia to set up a studio in Johor's Iskandar Malaysia.

Perak Crown Prince Raja Nazrin Shah said for British-Malaysian ties to reach new heights, there must continue to be openness.

"If there are problems and issues, these should be worked out with genuine sincerity. A dialogue between different cultures alerts both parties to any biases that might exist ... new horizons of opportunities can then be expanded."

He also called for constructive interaction at all levels, be it governments, think-tanks, universities and civil society organisations.

"There are a host of global problems such as climate change, the international financial system and non-traditional security issues that affect both countries, which can be worked out together to mutually productive ends," said Raja Nazrin.