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Malaysia: Trade groups urge the government to reassess SOPs

PETALING JAYA: The Malaysian-German Chamber of Commerce and Industry (MGCC) is the among latest trade group to urge the government to reassess the standard operating procedures (SOPs) under the current lockdown and ramp up vaccinations to ensure business sustainability.

In a statement, the MGCC said there had been confusion with regards to applicable SOPs and inconsistent enforcement.

“After the latest announcements on the enhanced movement control order (EMCO) effective July 3, 2021 in most areas of Selangor and several localities in Kuala Lumpur, the changing SOPs have led to confusion among our members and on the enforcement level.

“The EMCO is not yet reflected in the International Trade and Industry Ministry’s (Miti) CIMS 3.0 system but manufacturing companies depend on Miti exemption letters to operate and allow their staff to safely come to work and return home.”

MGCC said if companies in certain sectors are allowed to operate, all related industries have to operate as well, or the supply chain will collapse.

“We urge you to ramp up vaccination efforts as our members are well prepared to pay for the vaccines and organise vaccination of their staff.”

MGSS said the commencement of the full movement control order from June 1 had already led to a supply chain disruption.

Meanwhile, the American Malaysian Chamber of Commerce (Amcham) has urged the government to use a more balanced approach and to work with industries to protect both lives and livelihoods, while actively engaging with the companies.

“Supplemented with educational programmes and a narrative that supports the workforce being engaged safely, while working with the community to address potential hotspots, will contribute to maintaining Malaysia as a critical part of the global economy.

“Additionally, as the workforce is getting vaccinated, rules, regulations and policies incorporating vaccinated persons need to be articulated and implemented to boost economic recovery. Safety is our goal. Recovery and growth of Malaysia is the outcome we are aiming for.”

Separately, the Chemical Industries Council of Malaysia (CICM) said supply chain disruption under the current lockdown will put Malaysia’s clean drinking water supply at risk and halt operations of essential industries and services.

“Clear and practical SOPs should be promptly issued and approvals to operate granted, so that the entire lime and lime extraction industry could continue its operations quickly.

“CICM does not wish to witness a major supply chain disruption which puts the supply of clean drinking water to the public, in particular, at risk and causes the disruption of operations of essential industries and services.”

CICM noted that the country is going through a pandemic, adding that the well-being of its people should be the utmost priority of the government.

Meanwhile, the Malaysia Metal Recyclers Association president Alfred Seah Chye Ngiap said industries relating to metal recycling have been forced to seize operations since the implementation of the lockdown in June.

“The suspension of the metal recycling industry will also cause manufacturing industries such as steel plants to lose its raw material supply. As soon as the supply chain is disrupted, iron melting plants will be forced to import raw materials from abroad.

“Apart from facing economic and foreign exchange losses, this will also cause our country’s metal production cost to increase and eventually lose its price competitiveness in the international market, ” it said in a statement.

Source: https://www.thestar.com.my/business/business-news/2021/07/13/trade-groups-urge-the-government-to-reassess-sops