Har Man Ahmad, trade Commissioner at MATRADE, called on Filipino business in the cosmetics and personal care category, as well as raw material suppliers to take advantage of demand for such products in the country.
"Filipino consumers may seek to find opportunities in providing raw materials to the strong manufacturing base of Malaysia," Ahmad said.
Malaysia targets big trading potential
Malaysia sees big trading potential with its neighbor, but according to the trading authorities in the country, that potential is not being fulfilled in recent years.
In 2013 trade between the two countries actually declined by approximately 9.6% to $4.47 billion, which the authorities put down to lower global trade in electronic goods, mainly due to a global market decline in demand attributable to some weakened economies .
The Malaysian trading authorities are hoping that boosted trade in cosmetic products and raw materials, together with rebounding demand in electronic goods, as well as trade in food and agricultural products will help to plug the gap.
Malaysia cosmetics markets sees big growth
Malaysia has been enjoying steady economic growth in recent years, with the country’s Department of Statistics recording GDP at a current rate of 6.4%, the industrial production index running at 7.0% in June of this year and imports currently up by 9.2% to RM57.3 billion also, in the month of June.
The economic growth and activity is in turn translating into better salary prospects for the average Malaysian, which in turn is leading to a higher expendable income that is filtering down into a higher spend on a host of fast moving consumer goods, including cosmetics.
The Muslim country is also seeing a big rise in halal cosmetics, with demand for halal certified cosmetics booming for both the domestic market, as well as for exports to other Muslim countries.