EUMCCI Review 2016 Vol.4 No.2

Review

YOUR PARTNER FOR EU-MAL AYSIA BUSINESS

VOL 4 / NO 2 / 2016

WM RM8.40 / EM RM10.60

CREATING A WORLD-CLASS MALAYSIAN WORKFORCE Harnessing & intensifying skill-sets will ensure efficiency and flexibility of Malaysia's labour market.

Dato’ CM Vignaesvaran Jeyandran, Chief Executive of Human Resources Development Fund

Future direction of trade between EU & Malaysia; possible renewal of EU-Malaysia FTA talks

EU Ambassador Luc Vandebon: Brexit is a wake-up call for EU

EUMCCI Chairman Roberto Benetello: Organisation is a win-win proposition for all

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Review

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EU-Malaysia Chamber of Commerce & Industry (EUMCCI) Suite 10.01, Menara Atlan, 161B Jalan Ampang, 50450 Kuala Lumpur, Malaysia.

Tel: +603-2162 6298 Fax: +603-2162 6198 E-mail: eumcci@eumcci.com Website: www.eumcci.com EUMCCI BOARD CHAIRMAN Roberto Benetello DEPUTY CHAIRMAN Bill Addington & Remco Koster TREASURER Simon Song EX OFFICIO

Articles and other materials of interest to the general membership are actively solicited and may be sent to the Chamber. All materials submitted for publication are subject to editorial review and revisions.

REPRODUCTION No part of the EUMCCI Review may be reproduced or transmitted in any form or by any means, electronic or mechanical without prior written permission.

H.E. Luc Vandebon

HONORARY BOARD

CIRCULATION

Fermin Fautsch

3,000 copies of the EUMCCI Review are distributed, on a quarterly basis to EUMCCI members, all Embassies, industry associations and government officials with whom the Chamber has dealings as well as to European Chambers worldwide. It is also sold in MPH bookstores.

BOARD OF DIRECTORS/REPRESENTATIVES Artur Dabkowski, Allan Jensen, Vojtech Hromek, Jari Niemi, Daniel Bernbeck, Borja Solans, Daniel Pans, Ron Anderson, Werner Somweber, Michael Wong & Gilles Waeldin

EDITORIAL COMMITEE EUMCCI Board Representative – Allan Jensen Stefanie Braukmann, Jennifer Chien

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Editor’s Note Winds of Change

The winds of change are blowing and it will be interesting to see how everything will be once things settle down. United Kingdom and the world are still coming to terms with Brexit. How this will affect United Kingdom, the EU and the world remains to be seen. Since it will take at least two years for the United Kingdom to extricate itself from the European Union, it will be business as usual until then.

Change has also come to the EUMCCI. During the Extraordinary General Meeting that was held on 22nd April 2016, a new board and a new Chairman were elected. EUMCCI welcomes Mr Roberto Benetello as Chairman and members of the new board. Find out all about the new board on page 10.

The EU-Malaysia Trade & Investment Forum is an important annual event in the EUMCCI calendar. It is an annual flagship dialogue with the Malaysian Government to address key issues on EU-Malaysia trade and investment.

This year’s theme for the forum was, ‘Outlook on EU-Malaysia 2020: Trade and Investment Opportunities & Challenges.’

If you missed the forum, read the article on page 18 to find out the key issues that were discussed there.

The cover story is on the Human Resource Development Fund (HRDF).

Read how HRDF plans to transform the Malaysian workers into a world class workforce via upskilling and retraining in order for Malaysia to become a high income nation by 2020. The interview with its CEO Dato’ CM Vignaesvaran Jeyandran, starts on page 4.

There are also a few interesting interviews lined up in this issue. The new Chairman of EUMCCI talks about his vision for the chamber on page 8. H.E Luc Vandebon, Ambassador and Head of Delegation of the EU, who has been dear friend to EUMCCI, will be ending his term soon. Read his interview on page 12 where he talks about things that went well, those that did not and his views on Brexit.

Fermin Fautsch, the former Chairman, also gave an interview where he shared his experiences being the Chairman on page 14.

We hope you enjoy reading this issue and we wish all our Muslim readers Selamat Hari Raya.

Jennifer Chien

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CONTENTS VOL 4 / NO 2 / 2016 2

Editor’s Note

38

New Corporate Partners

3

From the Chairman’s Desk

39

Lifestyle

4

Creating A World-class Malaysia Workforce

40

Calendar of Events

7

Sabah, A Prime Investment Destination

8

Making EUMCCI A Win-Win Situation for All

10

New Leadership at EUMCCI

12

Brexit: A Wake-up Call for EU

14

Leaving EUMCCI Stronger and Better

18

Where is EU-Malaysia Trade and Investment Headed in 2016?

24

Country Focus: Poland

26

Celebrating European Food & Culture

30

International Construction Week & Ecobuild SEA

32

Chamber News

34

Corporate Partner News

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08

12

From The Chairman

I

ROBERTO BENETELLO Chairman

n the wake of the recent Brexit vote, all our Chambers and members are undoubtedly grappling with questions and concerns about the implications this will have on our business communities over the next two years. During this period of change, we would like to share with you a timely message from the Chairman of the EU-ASEAN Business Council, which EUMCCI fully supports: “As business leaders we have a responsibility to be a force for economic stability and growth in this time of increased uncertainty. We are fortunate to be working in a region with great growth potential and a strong drive for further development, where European companies have a major and positive role to play. We are fortunate that in ASEAN there is substantial agreement on the key issues and, in most cases, on the policies that will improve the environment for commerce and investment not only among our membership, but among other ASEAN, domestic or international business councils and chambers of commerce. While we will remain aware and engaged in Europe, we can make progress and provide value to our members in ASEAN during the time it will take for the picture in Europe to become clearer. Thus, our joint efforts and the substantial contributions that European companies can make to sustainable, inclusive growth in the region, are as important as ever.�

In this spirit of collaboration and common interest, I would like to ask our Bilateral representatives and our stakeholders to continue to maintain our structure and working relations with all our 11 bilateral chambers, as a Chamber of Chambers, until there are clear indications from the European Commission. Without doubt all parties will need more time to digest the implications and to tackle the range of questions and tasks bound to arise in the near future. We should therefore leverage on our new Board to establish a process for understanding and sharing how our bilateral members and member companies are tackling “post-Brexit" questions and uncertainty and will put this item on our agenda at the next Board meeting. Moving forward, we should strive to develop a process to monitor and adjust, and to maintain the ability to respond flexibly to further changes that we cannot currently predict.

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Cover Story

CREATING A WORLD-CLASS MALAYSIAN WORKFORCE Since it was established in 1993, the Human Resources Development Fund (HRDF) has been at the forefront of reskilling and upskilling the Malaysian workforce. Dato’ CM Vignaesvaran Jeyandran, the Chief Executive of HRDF tells EUMCCI Review how HRDF has changed the mindset of the SMEs towards training and why the 1Malaysia Globally Recognised Industry and Professional Recognition (1MGRIP) will take training to another level for our local workforce.

By Khaw Chia Hui Photography V. Chanthiran

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I

n the 1980s, the Ministry of Labour’s commissioned study found that enterprise-based training in the country, especially within Small and Medium Enterprises (SMEs) were conducted haphazardly and in an unstructured manner.

To address that, Pembangunan Sumber Manusia Berhad Act 2001 (PSMB Act 2001) came into effect through various engagements with relevant stakeholders. The main objective of the PSMB Act was to establish a mechanism that would help manage the funds collected via levies and matching government grants to help build quality human capital. In this instance, the Human Resources Development Council (HRDC) began collecting levies in January 1993.

As a result, the Human Resources Development Fund (HRDF) was established in the following year.

Governed by the PSMB Act 2001, HRDF was given a mandate by the Malaysian Government to catalyse the development of a competent local workforce that will contribute to Malaysia’s vision of a high-income economy by the Year 2020.

Over the years, HRDF has evolved in its role from managing a sizeable fund to becoming a one-stop-centre for providing new HRD solutions to the critical mass of Malaysian SMEs. The custodian and authoritative institution is well positioned to offer robust and prudent solutions that will help Malaysia move up in rank on The Global Competitiveness Index (GCI) by enhancing regional and

global competitiveness and create an effective and efficient Malaysian labour market that will help propel the country towards a high income nation

by Year 2020.

HRDF embraces efficient processes, opening new opportunities for growth, and also measuring success with individual and organisational performance and growth. These have all been articulated not just in HRDF’s new vision and mission statements but also in its brand philosophy.

HOLISTIC APPROACH The 11th Malaysia Plan reinforces that an effective and efficient labour market is necessary for local, regional and global competitiveness which will attract foreign direct investments and propel the country towards economic growth. With a mandate given by the Malaysian government, HRDF remains committed in ensuring the creation and growth of quality local human capital through effective high-skilled training programmes and initiatives that would contribute to a 35% skilled workforce by the Year 2020 in line with the 11th Malaysia Plan.

“I believe with the right mind set and by taking a holistic approach, that is, aligning talent management strategies alongside business strategies, companies will realise their organisation’s full potential.

This will enable them to build their talent pool by aligning their skills-sets, aspirations and abilities to fuel their business growth.”

“We are hopeful that this will subsequently bring Malaysia to our aspiration of a high income nation by Year 2020,” Dato’ Vignaesvaran said.

Based on the 11th Malaysia Plan, Malaysia is only 7% shy of the target of 35%. Currently, Malaysia is amongst the top 20 economies in the Global Competitiveness Report 2015-2016, released by the Switzerland-based World Economic Forum.

“Now, for us to go from good to great, with the accelerated transformation in workplace technology, productivity and professional development, we will need to embrace effective solutions that will help us move up in rank and help intensify skill-sets that will

“FOR US TO GO FROM GOOD TO GREAT, WE WILL NEED TO EMBRACE EFFECTIVE SOLUTIONS THAT WILL HELP US ADDRESS CHALLENGES IN REGARDS TO TALENT RETENTION, TALENT MOBILITY OR SKILLS SHORTAGES.” ~ DATO’ CM VIGNAESVARAN JEYANDRAN, THE CHIEF EXECUTIVE OF HRDF

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Cover Story

“THE ISSUE OF BRAIN DRAIN CAN BE MANAGED WELL THROUGH RESKILLING AND UPSKILLING TRAINING PROGRAMMES AND MAPPING THE RIGHT TALENT TO THE RIGHT INDUSTRY AND ORGANISATIONS.” ~ DATO’ CM VIGNAESVARAN JEYANDRAN, THE CHIEF EXECUTIVE OF HRDF ensure the efficiency and flexibility of the Malaysian labour market in a competitive global marketplace.”

BRAIN DRAIN A study conducted by Saujana Edu Urus Sdn Bhd on the 'Effectiveness of HRDF 2006-2008' confirmed that HRDF schemes were effective in terms of increasing employees’ knowledge and skills set, and the performance and productivity levels of the organisations.

However, in this era of globalisation, the Malaysian labour market is facing a worrying trend of brain drain. “One of the many reasons for brain drain is a wide gap that exists between the skills, salaries and the industry jobs. People explore opportunities outside of Malaysia in hope for better salaries for their skills or jobs that would put their skills to productive use.

“I strongly believe that the issue of brain drain can be managed well through reskilling and upskilling training programmes; mapping the right talent to the right industry and organisations (competency mapping); and a well- planned talent development and retention strategies by the

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respective HR units of organisations,” he said adding that upskilling and reskilling inherent talent and resources will not only fuel high priority sectors, but also help the country transition from a developing to a developed economy. In this context, Malaysia will gain a competitive advantage in the new economic order driven by the ASEAN Economic Community and the Trans-Pacific Partnership.

He stated that curbing the brain drain phenomenon is vital as the country would then be able to reduce its dependency on foreign expertise in semi-skilled and skilled areas.

Hence, being on course with the expectation that Malaysia would create over 1.5 million new jobs by Year 2020 in industries which require highly skilled talents.

The sectors that have been identified to require most training are the Manufacturing; Services; and Oil, Gas and Energy.

As tabled in the 11MP, the PSMB Act 2001 will be expanded to include more sectors in hopes of benefiting more employers and employees.

Dato’ Vignaesvaran shared that 80% of HRDF’s registered employers are SMEs, possibly because SMEs have less financial assistance to train their respective talents as compared to larger companies.

1MGRIP Since the inception of HRDF in 1993 to May 2016, over 12.5 million training places have been approved with a disbursement of financial assistance totaling up to RM6.1billion to cover various training programmes.

It is interesting to note that from the various proposals by HRDF’s registered employers, the skill area most requested for was Safety and Health.

“However, it is alarming that only 1% of the training places requested are certification programme. To address this matter, we kicked off the 30% Consolidated Fund on 1 April 2016.

There are six major programmes under the pilot project of the consolidated fund which includes the 1MGRIP,” said Dato’ Vignaesvaran.

The 1MGRIP programme is aimed at helping employers upskill their existing workforce. The objective of

1MGRIP is to provide opportunities for employees to increase their skills in specific fields and become experts in their respective fields in hopes that the enhancements in their career development would eventually lead to them earning higher incomes.

1MGRIP also aims to offer specialised high-level training programmes that encompasses skills required for knowledge intensive sectors, high-tech and high value-add products and activities, which will in turn help increase labour supply in strategic and high impact sectors of the economy. The ultimate goal of this is to decrease the country’s dependency on foreign expertise.

The 1MGRIP is also an initiative with a different angle of approach to stakeholders. In this instance, 1MGRIP allows employees to choose suitable and relevant certification trainings for themselves instead of being sent by employers on trainings, which may not be in line with the employees’ career development plan.

Dato’ Vignaesvaran also vowed that HRDF is committed to channelling critical information and to regularise communications with its stakeholders so as to ensure all parties involved can mutually benefit from its programmes.

He added that one of HRDF’s biggest successes is having 38% of skilled workers within the Act’s coverage, which is more than the target percentage as a whole. “I would consider HRDF’s ultimate success to be when all employers in Malaysia become fully aware of the importance of developing their human capital potential.

His aspiration for HRDF is to be a credible conduit between the country’s Human Capital Development and the Government and to build and enhance the country's human resource capabilities and potential. “Towards this, I am working with my team to communicate the need for organisations to map new skill requirements, while taking stock of their current capabilities.”

As a parting shot and one final takeaway, he quoted a person who said, “while extraordinary products and unique service still afford a competitive advantage, the one advantage that stands the test of time… is people”.

Feature

SABAH, A PRIME INVESTMENT DESTINATION The land below the wind, known for its pristine diving spots, aims to open more doors to attract foreign sustainable development.

By Khaw Chia Hui

B

eing one of two Malaysian states in the island of Borneo, Sabah has long banked on its natural resources for development. Its surrounding islands are highly popular among local and international divers while its forests and seas provide sought-after materials for various industries.

It has been focused on timber and wood-based industry, food as well as agro-based and biotechnology industries.

Do you know almost 30% of Malaysia's oil palm production comes from Sabah?

Despite a slowdown in the energy sector, Sabah's oil and gas projects are still under way, such as the Sabah Oil and Gas Terminal, Sabah Sarawak Gas Pipeline, a 30MW geothermal power plant in Tawau and the Sabah Ammonia and Urea project in Sipitang.

Going forward, the state is no longer content to play second fiddle to its peninsular siblings in attracting foreign investments. To get things rolling, Sabah Development Corridor (SDC) was launched in 2008 to focus on harnessing the state's potential.

Six Strategic Development Areas were created under SDC to generate economic growth. They are Bio-Triangle, Agro Marine Belt, Interior Food Valley, Kinabalu Gold Coast and Brunei Bay Integrated Development Areas as well as the Oil and Gas Clusters. Among the many incentives offered is full tax exemption for 10 years in projects such as the Integrated Livestock Valley, Sabah Agro-Industrial Precinct, Palm Oil Industry Cluster, Sabah Oil and Gas Industrial Park, Sandakan Education Hub and Marine Integrated Cluster.

The government agency involved in implementing the SDC is Sabah Economic Development and Investment Authority (Sedia). Sedia is also tasked with introducing SDC in international trade fairs and investment promotions. By 2012, Sabah emerged as the preferred destination for Foreign Direct Investment as well as domestic investment. The state has been drawing investors from China, Taiwan, the United States, the European Union, Singapore and Australia.

Early this year, Sabah was announced to be a part of the federal government's biomass push. It was reported that the initiative could position Malaysia as the premier biomass processing hub in Southeast Asia. The country is expected to produce about 100 million dry metric tonnes of solid biomass annually from the palm oil sector. At the International Biomass Conference Malaysia 2015, Minister of International Trade and Industry, Datuk Seri Mustapha Mohamed said that in addition to contributing RM30 billion to the Gross National Income by 2020, the country is focusing on value added downstream activities such as bioenergy, biofuels and biochemical, among others.

As it is, Sabah's 4.8 million dry tonnes of palm oil biomass has been used for high value applications – pellets, biogas, bio ethanol and bio-based chemicals – and it stands to create RM3.2 billion in additional gross national income, RM13.5 billion in new investment opportunities and over 25,000 jobs.

Currently, the Malaysian Investment Development Authority (MIDA) has listed Taiwan, Singapore, South Korea, Japan and Hong Kong as being Sabah's main foreign investors. MIDA Chief Executive Officer stated at the Biomass Conference that the total investment into the biomass industry from 2013 to mid-2015 was about RM1billion. Investment is expected to reach RM25 billion by 2020, he said. Malaysia currently exports biomass products to China, Japan, South Korea, Taiwan and Europe.

Biomass industry development spells an opportunity for Sabah to have sustainable development while reducing its dependence on natural resources.

Another segment that is vital for Sabah is the halal hub, which is in line with Malaysia's Halal Industry Master Plan, aiming to push the country to become a leading global halal hub in four years.

The state has already in the midst of developing a 184-hectare land within the Kota Kinabalu Industrial Park (KKIP) in Sepanggar as a halal industrial cluster.

Sabah has set up a Halal Industry Development Corporation in Sabah to help in assisting entrepreneurs on matters related to the industry.

Meanwhile, Sabah is also part of the East ASEAN Growth Area (BIMP-EAGA) together with Brunei, Indonesia, Malaysia and the Philippines. It is a subregional economic co-operation initiative.

The members share geographical proximity and economic areas such as agro-industry, fisheries, tourism, logistics and energy. As for now, Sabah is on a thrust to achieve economic goals that it has set out by the federal and state governments.

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Interview

MAKING EUMCCI A WIN-WIN SITUATION FOR ALL

Roberto Benetello, the new Chairman of EUMCCI, talks to Sharmila Valli Narayanan about the importance of SMEs to the European economy and how EUMCCI must work more effectively in partnership with the various Government stakeholders to attract these companies to Malaysia.

R

oberto Benetello first came to know of EUMCCI more than a year ago when he set up his own company in Malaysia. As with most foreigners who set up business here, he needed guidance on how to go about dealing with the different Government agencies and coping with various issues.

Someone directed him to EUMCCI. He was told that the Chamber was “more active, did things differently, had a bigger sphere of influence and gave more personal service than others.” Impressed with what the Chamber had to offer, he quickly signed up to become a member.

He subsequently gained first hand experience with how how the EUMCCI works when he attended the Biomass Symposium organised by EUMCCI in September 2015.

He was impressed with the way the event was run and with the excellent relationships EUMCCI had built with all the relevant Government agencies.

Now, almost a year later, Benetello, who is also a committee member of the Italy Malaysia Business Association (IMBA), was elected unanimously by the new Board of Directors to become the new Chairman of EUMCCI on 22nd April 2016. He sat down with EUMCCI Review to talk about his vision for the Chamber.

Congratulations on your election as Chairman of EUMCCI. How has it been so far being the Chairman?

It is an honour to be elected to the post. Since the elections, I have been very busy attending functions, events and meeting many people. It’s very important for me to develop a good and precise understanding of the job so that I can make the transition as the new Chairman smoothly. I am pleased to say that so far it has been good.

What will your focus for EUMCCI be?

One of the most important things that EUMCCI should do is to focus more on European SMEs and to help them connect with Government agencies and bodies and try to explain to these businesses truthfully, how easy or hard it is to do business in Malaysia.

EUMCCI’s name and branding is very strong because we represent the EU. Therefore, it is important that we are a trusted source of information to these companies on the business environment here in Malaysia. Most of these businesses need support, information and guidance. The relevant Malaysian Government agencies do provide this on their websites, but it is not enough. I speak from personal

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experience because I know what it is like to set up a business here and the kind of support that I needed.

SMEs are very reliant on these Government websites for information on Malaysia, unlike the MNCs which can afford to hire consultants for more detailed information on the business environment in Malaysia.

SMEs need information such as how easy or difficult it is to open a bank account, how long it takes to set up a limited company, how much you need to pay a company secretary, how easy to get legal support, etc. EUMCCI needs to provide the best and most accurate information for these businesses based on the experiences of others who have come here before. We need to tell them what can go wrong and how things can also be very good. We need to act as a bridge between the needs of this business community and the Government agencies etc. EUMCCI has to be more aggressive in supporting these European SMEs decision makers.

We also need to highlight to the Malaysian Government and its relevant agencies the importance of European SMEs to the European economy. Right now the focus is on attracting the MNCs.

What you’re saying is that the Malaysian Government shouldn’t just focus on the MNCs?

I am going on a road show to visit all the chambers to listen to our partners’ issues, to find out how EUMCCI can best support them and to explain the plans that EUMCCI has for the future. It is important to make sure that we align our strategies.

In the mid to long term, I hope to see EUMCCI become a comprehensive service provider to European SMEs by giving them access to a wealth of services so if these companies want to invest here, they have a very good partner in EUMCCI who will be able to help them. This will have to be accomplished and in coordination with the country chambers within EUMCCI.

What more can EUMCCI do to promote Malaysia as a preferred investment destination in Southeast Asia?

I think at the moment EUMCCI is doing a good job at promoting Malaysia. Strategies to boost Malaysia as a destination not just for investments, but also as a centre for tourism, medical tourism, shopping, etc. need to be coordinated with those aimed at boosting FDI. Hence, more effective synergies among the various Government stakeholders and external partners such as the EUMCCI may be beneficial.

When a company in Europe decides to invest in Asia and does its research, Malaysia must be on top of their mind when they think of coming here. Right now it is not so because most still look to Singapore as the entry point.

Malaysia needs to increase its profile in the minds of European investors by participating in road shows, all the big trade shows, appearing in advertisements and articles in investment and business magazines in Europe.

Malaysia has so much going in its favour and foreign businesses that are here know this. It is strategically placed in ASEAN, with very good infrastructure, it's easy to do business here and cost effective as well when compared to Singapore.

“ONE OF THE MOST IMPORTANT THINGS THAT EUMCCI SHOULD DO IS TO FOCUS MORE ON EUROPEAN SMES AND TO HELP THEM CONNECT WITH GOVERNMENT AGENCIES AND BODIES.”

When it comes to Europe, yes. In Europe, SMEs are an important source of job creation. SMEs employ two-third of private employment in the the workforce in Europe. Although in terms of investments, these SMEs cannot match the kind of investments made by the MNCs in Malaysia, the smaller investments by the SMEs, can turn out to be huge investments in the future as their businesses in Malaysia grow. The European SMEs that venture overseas are generally sophisticated industries that have access to high end technology that will be useful to the development of Malaysia as an industrial hub. European SMEs go overseas because they want to grow their business. Malaysia should have special policies that encourage these small businesses to come to Malaysia and help them grow to be huge companies. This becomes a win-win situation for all parties.

Everybody in ASEAN wants the big players and a lot is being done to attract them. But there is a limited number of big MNCs in the world while there are many more SMEs. Malaysia needs to think out of the box and pave the path to attract high potential European SMEs to develop their business here.

What are your objectives for EUMCCI? My immediate concern is the implementation of EUMCCI as the Chamber of Chambers. This model has to work for the benefit of all parties involved in EUMCCI. We need to ensure that the Chamber of Chambers does not just remain a theoretical model, but becomes a successful practical, working model as well. It must become a win-win situation for everyone concerned. This is very important. That is why we are constantly in talks with all the chamber partners to make sure this alignment is really in place.

There seems to be a trend of protectionism in trade creeping in everywhere. One example is the Trump rhetoric in the United States that talks about protecting local industries. What are your views on this?

Protectionism will not last because of the globalised world that we are living in. In the end the market rule will prevail.

I have seen this first hand because Italy, where I come from, tried to protect its industries from competition, but in the end it did not work because the market will determine who will succeed – not the policy makers.

In certain instances, some protectionist measures are needed to protect a specific segment of the population. You cannot in the name of free trade open up your market and find that a segment of your workers are suddenly unemployed.

That will lead to chaos. In situations like this, some form of protectionism is needed for a temporary period of time. This time saving window must be used to modernise and change the industry to help it face competition. You cannot protect an industry forever – that’s my personal opinion.

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Chamber News

NEW LEADERSHIP AT EUMCCI EUMCCI gets a change in leadership with a full Board election.

The EUMCCI recently elected its new board following the Extraordinary General Meeting on the 22 of April. The new chairman of EUMCCI is Mr Roberto Benetello who also sits on the board of the Italy Malaysia Business Association. He takes over from Mr Fermin Fautsch who retired as the chairman recently and remains as an Honorary Director.

On assuming the leadership of EUMCCI, Mr Benetello said: “I am grateful for the hard work of the outgoing leadership, who have dedicated over four years to build a strong EU platform in Malaysia and ASEAN as a co-founder of the EU-ASEAN Business Council and as the lead implementer of the EU co-funded project Support for European Business in South East Asia Markets- Malaysia.

“I am confident that with a unified presence, the EU can continue to grow its platform as currently the second largest investor in Malaysia, and as Malaysia’s third largest trading partner.”

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Mr Benetello has over 20 years of experience in general management, strategic planning and business development in the fields of renewable energy, scientific and laboratory equipment, medical devices, health and wellness and tourism. He is company director of RBC Sdn Bhd, which provides consultancy in strategic business planning, marketing, international business development, start-ups, on-line strategy and event planning.

Outgoing Chairman, Mr Fautsch, said, “I have witnessed the Chamber grow, evolve and strengthen and I am very happy to see a unified EU family with all EU Chambers and Councils on board working together. What we all accomplished is notable.

“I would like to personally welcome and congratulate our new Chairman Roberto Benetello and our new Board Directors and congratulate our re-elected Directors.

I am very pleased with the calibre of the new leadership and wish them success in

their new mandate. As ex-Chairman, I will continue to support the Chamber in this next phase of growth.”

The new Board is said to reflect a milestone for the EUMCCI becoming a Chamber of Chambers which represents all key EU Bilateral Chambers and Business Councils in Malaysia. The Bilateral Chambers represent a combined presence of over 1,300 companies.

EUMCCI’S NEW BOARD OF DIRECTORS AND OFFICE BEARERS CHAIRMAN

Mr Roberto Benetello Italy Malaysia Business Association DEPUTY CHAIRMAN

Mr Bill Addington British Malaysian Chamber of Commerce Mr Remco Koster Malaysian Dutch Business Council TREASURER

Mr. Simon Song Robert Bosch Sdn Bhd BOARD OF DIRECTORS/ REPRESENTATIVES

Mr Daniel Pans Malaysia-Belgium-Luxembourg Business Council Mr Allan Jensen Malaysian Danish Business Council Mr Jari Niemi Malaysian Finnish Business Council Mr Gilles Waeldin Malaysian French Chamber of Commerce & Industry Mr Daniel Bernbeck Malaysian German Chamber of Commerce Mr Ronald Anderson Malaysian Irish Business Network Mr Borja Solans Malaysian Spanish Chamber of Commerce & Industry Dato' Michael Wong Global Business Advisory COUNTRY REPRESENTATIVES

Mr Werner Somweber Austrian Embassy Mr Vojtech Hromek Embassy of the Czech Republic Mr Artur Dabkowski Embassy of the Republic of Poland EX-OFFICIO & HONORARY MEMBERS

H. E. Mr Luc Vandebon Delegation of the European Union to Malaysia HONORARY DIRECTOR

Mr Fermin Fautsch

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Interview

BREXIT:

A WAKE-UP CALL FOR EU

H.E. Luc Vandebon, Ambassador and Head of Delegation of the EU will come to the end of his term in August. He sat down for an interview with EUMCCI Review where he spoke of the shock of Brexit and what it means for the EU, reflects on his posting in Malaysia and his plans for the future.

Sharmila Valli Narayanan has the story.

Photography V. Chanthiran

H

.E. Luc Vandebon first joined the European Commission in 1985 from where he went on to work for the European External Action Service (EEAS). He has spent nearly all of his working life devoted to the idea of a united Europe and upholding the European values and ideals. He, like many others, was totally shocked by the verdict from the United Kingdom: its people voted to leave the EU.

Brexit has become a reality. Did you think you’d see this day?

When the EU was formed, there was this provision of Article 50 of the EU Treaties, which provides for an exit clause that allows a member country to leave the union. I don’t know whether the founding fathers of the EU who put in that article ever expected this – that a member country would ever want to leave the union. The United Kingdom, one of the EU’s most important states has decided it wants to leave.

United Kingdom has very often voiced concern over the way the EU is run. The UK also never joined any of the three flagship projects of EU integration: the Schengen consular agreement, the social charter and the Eurozone.

Privately, I always thought that if ever there would come a day when a Member State would start contemplating leaving the Union, it would probably be the United Kingdom. My worst fears have been realised. The European Commission President Jean-Claude Juncker said it best when he referred to the United Kingdom leaving the EU as “not being an

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amicable divorce” and that “it was not exactly a tight love affair anyway”.

I feel sad that Brexit has happened because we have applications from other countries wanting to become part of the EU. They have to go through a lengthy and sometimes painful process before they are accepted. Now we have to deal with one of our members that is going to leave.

What can EU learn from Brexit?

This is a wake-up call for the EU. The fact that a majority of the voters of one of our member states, and an important one at that, has opted out of the union, should make us take a serious look at ourselves. Are we listening to what some of the member states want? How can we improve on issues that are of legitimate concern to them and their citizens?

I have always said that the EU has to work really hard on improving our communication and dissemination of information to let the citizens of the EU know about our successes. The focus is always about things that don’t work.

The EU has done lots of good work – we are not good at trumpeting our success.

The main reason for the creation of the European Commission back in the 1950s was to create a zone of peace and prosperity after two horrific wars in the early 20th century involving Germany and France. In this, we have been very successful as there have been no major wars in the last 70 years. In 2012 the EU received the Nobel Peace Prize in recognition of its role in preserving peace. Our living and

“THE FACT THAT A MAJORITY OF THE VOTERS OF ONE OF OUR MEMBER STATES, AND AN IMPORTANT ONE AT THAT, HAS OPTED OUT OF THE UNION, SHOULD MAKE US TAKE A SERIOUS LOOK AT OURSELVES. ARE WE LISTENING TO WHAT SOME OF THE MEMBER STATES WANT?” economic standards have improved tremendously over the years. These are successes that we should be proud of and which we constantly need to remind people of.

What achievements are you proud of during your time here?

There are two things that I am especially proud of. The first was the unification of the EUMCCI, something which I invested a lot of my time and effort. Four years ago when I first came here, EUMCCI did not represent most of the members of the EU. I worked closely with Fermin (former Chairman of EUMCCI), the ambassadors of Germany, France, the Netherlands and the British High Commissioner and the Presidents of the bilateral chambers of Britain, Germany, France and Denmark to unify EUMCCI so that it became a Chamber of Chambers that represents the majority of the countries in the EU. Part of the mandate I received from Brussels before leaving for Malaysia was to conclude the negotiations to three agreements: the Partnership and Cooperation Agreement (PCA), the Free Trade Agreement (FTA) and the Forest Law Enforcement, Governance and Trade Voluntary Partnership Agreement (FLEGT-VPA). Of these I am proud to say that we have managed to sign the PCA. This has yet to be signed by our High Representative and the Malaysian Foreign Minister after which both sides will need to ratify the agreement. The signing of the PCA is important not in the least because you can’t sign an FTA without it.

How would you describe your four years here in Malaysia?

It’s bittersweet – a mixture of professional satisfaction mingled with personal tragedy. The fact that I could not successfully negotiate the FTA is a disappointment.

In terms of work, this is the best experience I have in my 24 years in Asia. I have never worked with such a supportive and enthusiastic group of Ambassadors and diplomats of the EU Member States and this is very rewarding.

My wife and I have had a wonderful time here. This is a beautiful country and the people are so warm, hospitable and friendly. As a diplomat, you’re very well treated and I have been spoiled. We have made some very good friends among the expats and the Malaysians. And the food is just unbelievable!

I lost my dear wife to cancer in 2015 and this has had a huge effect on me and my two children. The love and support that I received from my good friends here have been incredible. It has played a big part in me making my decision on what to do after my term ends here.

I am going to take early retirement. My last day in office will be on August 31st. I have decided to stay on in Malaysia. Malaysia has been good to me. I left Brussels in 1991 and have spent the bulk of my time in Asia. My son Jeff is working in London and my daughter Jessie is studying in New York. Malaysia is going to be my base and I will travel frequently to visit my children.

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LEAVING A STRONGER AND BETTER EUMCCI Fermin Fautsch, who stepped down recently as the Chairman of EUMCCI, tells Sharmila Valli Narayanan, about his proudest achievement while at EUMCCI and about the uncertainty caused by Brexit.

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F

or Fermin Fautsch, the last four years as Chairman of EUMCCI have been exciting and challenging. But it has been worth it because of what was achieved during his tenure as Chairman.

What would you consider to be your proudest achievement as Chairman of EUMCCI? Whatever we achieved was due to the collective effort of the Board and the staff. In my case I had a fantastic Board of Directors behind me who were capable and supportive. Probably the key achievement was to unite all the EU Chambers and Councils under EUMCCI. It was a lengthy process that took more than a year and a half, but at the end of it, all the large European chambers that had left came back and we also managed to bring in newly created ones and EUMCCI truly took on the mantle of an EU Chamber of Chambers.

It was really a cherished moment for me, the Board and our EU Ambassador H.E. Luc Vandebon when, the members gave overwhelming support to our model of the Chamber of Chambers during the AGM in December 2015.

I am also very happy that we were able to launch the SEBSEAM-M (Support for European Business in South East Asia Markets–Malaysia) in conjunction with the EU. It was a good achievement for the Chamber. The project is still ongoing and should end in 2018.

What did you learn during your time as the Chairman of EUMCCI? I learned many things for which I am very thankful.

Perhaps I can highlight one area that was challenging at

“WHATEVER WE ACHIEVED WAS DUE TO THE COLLECTIVE EFFORT OF THE BOARD AND THE STAFF. PROBABLY THE KEY ACHIEVEMENT WAS TO UNITE ALL THE EU CHAMBERS AND COUNCILS UNDER EUMCCI.”

first, but allowed me to learn and grow, and that is the art to syndicate and reach agreement amongst very diverse stakeholders and points of view. I learned that it is very important to pay attention, consider different angles and points of view on a particular issue and to give and take. For this I am very grateful to Board colleagues and to H.E. Ambassador Luc Vandebon for their support whenever we faced difficult issues to resolve.

The exposure that I got as Chairman was substantive.

I learned better how the Malaysian Government agencies operate and had the opportunity to meet and learn from several very competent and professional policy makers and leaders in both the public and private sector. As expats, we often tend to live in a bubble and miss a lot of things about the country we live in.

Do you miss being right in the thick of things at EUMCCI? We have to move on. I am busy with other activities and with my work. I remain as an ex-Chairman to support the new board and Chairman, who I believe make a strong team, to take the Chamber to the next level. All of us are committed to make the Chamber of Chambers model we have developed for EUMCCI a success.

I have very happy memories of my time as Chairman and I decided last year that after the completion of the Chamber of Chambers model the time would be right to step down and move on. Despite some challenging times I am very honoured to have served as Director and Chairman.

What are your thoughts on Brexit?

First of all we have to respect the voice and the vote in the UK referendum. I have supported the Monetary and Economic Union as I believe it is good for trade and investment and it has brought a fundamental peace dividend to Europe. However a large country such as the UK leaving the Union will undoubtedly bring uncertainty and volatility with it, and the future for all parties is still unclear.

In the long term, I am confident that the EU will manage to get through these turbulent times and remain strong. The EU will continue to be one of the largest markets and trading blocs in the world and one of the largest investors in the global economy. At this juncture, the fundamental risk for the EU centres on the possibility of other large countries leaving the Union. However, according to analysts, the likelihood of this happening over the short term, is low.

There is no precedent of an independent country leaving the EU; therefore negotiations will have to be held between the EU and the UK over the next two years in areas such as trade, labour, legal matters and many others.

At this point in time, the outcome of these negotiations cannot be predicted. On another note, the EU should use the opportunity to reflect on lessons learned after Brexit.

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Gateway to ASEAN

The 7th Interna?onal Greentech and Eco Products Exhibi?on and Conference Malaysia, IGEM 2016, themed Green Business for Sustainability is the region’s largest and most an?cipated green technology business and innova?on plaNorm. This year, IGEM 2016 targets to draw in over 350 exhibitors from over 30 countries and generate RM1.5 billion in business leads, with a focus on promo?ng green business in Malaysia and across the ASEAN region.

Driver for Green Business

IGEM has proven to be an effec?ve business plaNorm with three quarters of last year’s 350 exhibitors no?ng that they successfully met their business objec?ves, while half confirmed intent to par?cipate in IGEM 2016.

Alongside the exhibi?on, IGEM 2016 will see a host of concurrent events aimed at encouraging networking amongst delegates and exploring new business opportuni?es These include Interna?onal Buyer programme, MATRADE Interna?onal Business Matching, MIDA Business Consulta?on and One-­‐to-­‐One Bizmatch programme.

“IGEM 2016 has been designed to capture the best of the past successes and the innova<veness of fresh ideas. With the mul<tude of high-­‐impact and audience-­‐specific concurrent events, IGEM 2016 has been structured to be a strategic plaDorm for effec<ve collabora<on between governments, regulators, businesses and individuals to accelerate green business for sustainability, across ASEAN and beyond.

Y.Bhg. Tan Sri Peter Chin, Group Chairman, GreenTech Malaysia “The EUMCCI has been a supporter of IGEM for seven consecu<ve years through the EU Pavilion.

The EUMCCI recognises IGEM as a perfect avenue for European companies to showcase their green products and solu<ons with exclusive access to network with top Government officials, Ambassadors and major industry players. We are proud to con<nue our ongoing partnership with the Malaysian government to promote, support and strengthen the EU green business community in Malaysia.“ Mr Roberto Benetello Chairman of EUMCCI

ASEAN’s Leading Green Technology Event Since 2010

Generated RM8.8

billion in business

leads.

A0racted 300,000 visitors from 50 countries.

Registers over 350 exhibitors each year.

Anchor Highlights

Minister-­‐Industry Dialogue

Interna?onal conference on solar industry

Green Car Pavilion featuring Tesla Model S

Interna?onal and ASEAN Pavilions

Sign up today to benefit from ASEAN’s burgeoning green market at www.igem.my or call +603 4041 0311

EUMCCI REVIEW 17

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WHERE IS EU-MALAYSIA TRADE AND INVESTMENT HEADED IN 2016?

The EU-Malaysia Trade & Investment Forum 2016 takes a look at the future direction of trade between the EU and Malaysia, and discusses the possible renewal of negotiations on the EU-Malaysia FTA. Suvarna Beesetti has the story.

DATE: 20th APRIL 2016 PLACE: DOUBLETREE BY HILTON KUALA LUMPUR PLATINUM PARTNER: SIEMENS SILVER SPONSOR: ETIHAD AIRWAYS CORPORATE SPONSOR: BNP PARIBAS

T

he EUMCCI recently concluded its annual flagship dialogue with the Malaysian government to address key issues on EUMalaysia trade and investment. The forum, themed ‘Outlook on EU-Malaysia 2020: Trade & Investment Opportunities & Challenges’, was attended by business leaders from various industries.

Fermin Fautsch, Chairman of EUMCCI, in his welcoming speech underscored the importance of such

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dialogues to European businesses in addressing local trade and investment issues. “With over 2,000 European companies in Malaysia, and over 11000 in ASEAN, we at EUMCCI are delighted to be part of an ongoing annual dialogue with the Ministry of International Trade and Industry on how European businesses can partner with the government on trade and investment issues to ensure the future competitiveness of Malaysia and ASEAN. I would like to emphasise that across the industries, our companies look forward to greater and enhanced dialogue and consultations with the private sector.”

H.E. Luc Vandebon, Ambassador and Head of EU Delegation to Malaysia also stressed the importance of a trade agreement with Malaysia to ensure “Our business communities enjoy the same benefits that their competitors have in terms of preferential access in an important, dynamic and growing market in an important and growing region”. He also said that both parties have an interest in demonstrating

their commitment to open markets in free and fair trade and “we need this more than ever today at a time when our economies face difficulties”.

Tan Sri Datuk Dr Rebecca Fatima Sta Maria, SecretaryGeneral of Ministry of International Trade and Industry (MITI), who officiated the forum and also launched the EUMCCI Trade Issues & Recommendations 2016 book (see box story), pointed out that there was a need to look at the areas of not just trade liberalisation, but also technical cooperation to further industry development in the relevant areas.

“In this regard, we need the support of the business community and the EUMCCI is the right group to do this.

Let me assure you that we are working hard to put together a couple of meetings before the end of the first half of this year.

We need to restart this and get the momentum going now that we have completed the TPPA.” A panel discussion based on the forum’s theme was also held. The panellists were Sandra Callagan, Trade & Economic Counsellor, EU Delegation to Malaysia; Arividya Arimuthu, Deputy Director of Services Sector Division, MITI; Klaus Landhaeusser, General Manager, Automotive Sales, Original Equipment South East Asia, Robert Bosch; and Prakash Chandran, President & CEO, Siemens Malaysia.

Moderated by Fautsch, the discussion focused on key issues such as the renewal of negotiations on the EU-Malaysia FTA and whether the FTA will maintain its competitive edge against the TPPA. MITI’s decision to resume the discussion on the EU-Malaysia FTA after a 3-year hiatus was welcomed by the business community in light of the recent conclusion of the EU-FTA in Vietnam, the start of negotiations in the Philippines and Malaysia’s own conclusion of the TPPA.

TPPA vs EU-Malaysia FTA Fautsch asked the panellists to point out the key differences between the TPPA and EUFTA at the ASEAN level.

Callagan said that the TPPA was not substantially different from other FTAs as many had believed.

“If we look closely at the EUFTA, many of the issues that were considered ground breaking in being dealt with by a FTA were issues which the EU has been talking about for some time. This included chapters on sustainable development and state-owned enterprises, both of which have found their way into the TPPA.” According to her, there is, however, a clear difference in the way the EU approach these issues. “For example, a sustainability impact assessment is carried out for every agreement the EU signs. This is to ensure not only sustainability for the 2 partners who are party to the agreement, but also to look at the impact on other parties outside the agreement.”

Although many of the trade rules in the EUFTA are derived from the principles of the WTO, it has, to some extent, been adapted to reflect what the EU wants to achieve in its own internal market to ensure that opportunities for EU companies are similar to the ones given to foreign companies in the EU. There are also areas where it has substantial interest which is not shared by the TPPA partners such as procurement and geographical indications.

Arividya commented that it was important to recognise that the TPPA covered areas not contained in the EUFTA. “For example, there is a chapter dedicated to enabling access and helping SMEs to benefit from the agreement. There are also dedicated sections that look at regulatory coherence and regulatory review matters.”

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She added that there are fundamental differences in the approach from both parties in terms of intellectual property (IP) rights. As such, she acknowledges that Malaysia will have to reconcile its obligations in the TPPA with what the EU pursues. Having seen Singapore’s solution in the EUSingapore FTA, she believed this is possible.

Arividya said, “We also need to look at how Malaysia can be committed to high levels of IP protection yet be in the position to pursue outcomes that will not fundamentally affect access to affordable medicine or healthcare. We need to arrive at a balance where creativity is encouraged by enabling an IP regime or system that protects innovation, but at the same time I do not think that protection should come at the expense of affordable healthcare.”

She also highlighted the similarities between the TPPA and the EUFTA. “What the EU wants in terms of goods or services market access are not fundamentally different from what the United States pursued in the TPPA. I think the similarities would prove to be useful for Malaysia because it attaches clarity to some of our negotiating positions.”

From the EU perspective, Fautsch queried if it would be better to consolidate into an EU-ASEAN FTA, instead of pursuing a FTA with individual countries. Callagan pointed out the EU originally considered a regional approach for ASEAN but soon discovered the difficulties in doing so at the time because of the different levels of economic development in each country.

“The approach we are taking at the moment is to work with those who are willing and ready to do so. I believe there will be a point at which ASEAN countries will reach a critical mass. That is when we will be able to use that as a basis for inclusiveness and bring all the other ASEAN countries onboard. The intention then would probably be to take all the individual agreements and supersede them with just one agreement,” she said.

From the local perspective, it was important for Malaysia to consider if it would rather have a single rule that is less ambitious instead of multiple rules that are attached to higher ambitions. Arividya commented, “We have to accept the reality that we get higher ambitions in bilateral agreements, while ambitions are sometimes lowered at the multilateral or regional level. If we were to pursue ambition, then we need to recognise that we will have to live with different rules and different agreements.”

On how much priority the Malaysian government

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is placing on the EU-Malaysia FTA discussion in the coming year, Arividya pointed out that both the political and business sectors are keen to conclude the FTA soon.

“Malaysia is now in a position to negotiate because there is clarity to its negotiating positions. When we halted negotiations in 2012, we were already close to concluding some of the chapters. At that time, things like IP rights, patent term linkages and geographical indications were new and difficult issues for Malaysia. We didn’t necessarily have the mandate to pursue some of the outcomes the EU wanted.

“That was why it was decided that there was perhaps no more value in continuing to meet in the absence of fresh mandates. So it was better to get the mandates we needed before coming back to the negotiating table.

There is a difference in what we can do now compared to then as Malaysia’s position in some of these negotiating areas have evolved.”

On whether the EU-Malaysia FTA can be concluded by 2020, both Arividya and Callagan believed this was a possibility. However, Callagan cautioned, “We should not underestimate the difficulty of negotiating in new areas where there is no precedence. By the time we completed our last negotiation rounds in 2012, we already had solid text in a number of traditional areas. So while I think it is doable, the end result will depend on the ability of both parties to work together to achieve a mutually favourable outcome.”

The panellists also answered questions from the floor.

QA Roberto Benetello

Sandra Callagan

&

Looking at some of the concessions like Bumiputera or procurement concessions, do you see it as a positive sign or a worrying precedence going into the EU-Malaysia FTA discussions?

Arividya Arimuthu

Klaus Landhaeusser

end of a negotiation are complicated and require serious concessions and even political intervention on both sides.

Very often, it is the political intervention that gets the deals done in the end.

Landhaeusser: From the business perspective, we are not a fan of so called ‘quick and dirty solutions’. If you have an FTA that was negotiated on the surface level and does not address issues which are of need to the industry or businesses, then it is very unlikely you will go to another level of negotiations after the FTA is closed.

Which other countries will join the TPPA next?

What would be the role of China, India and Indonesia, and the EU’s relationship with these countries? – Roberto Benetello, Board Executive

– Zainal Amanshah, CEO, InvestKL.

Member of the Italy Malaysia Business Association.

Callagan: There are always sensitivities in every negotiation. One of the most important achievements of a trade agreement is transparency, so removing trade barriers is a good thing. However, if there is a barrier you cannot remove, then you want to know exactly what that barrier is and how to cope and manage it. That is what we need to do with the Bumiputera policy in the context of Malaysia.

Arividya: From the Malaysian perspective, I would say this is a positive precedence. With the TPPA, we have made market access commitments in the public procurement sector for the very first time. Although there are concessions, I see this as a positive precedence because we have gone from the point of absolute discretion to actually putting it on paper. On what will we do where the EU-Malaysia FTA is concerned, that will depend on the dynamics of the negotiations.

Arividya: Within the ASEAN circuit, there have been informal indications by countries like Thailand and Indonesia with regards to their interest to join the TPPA. We will have to wait and see if they do so. The TPPA is no longer an agreement you negotiate into, it is an agreement you enter into.

The TPPA’s speedy conclusion seems to indicate that the negotiators opted for immediate optimal outcome, while the opposite seems to be true for the EU-Malaysia FTA negotiations.

What are your comments on this matter?

– Roberto Benetello, Board Executive Member of the Italy Malaysia Business Association.

Callagan: I do not believe there is a huge difference between the United States and the EU in terms of our approach in completing a negotiation. It is not as simple as comparing the amount of time taken because it is different for each negotiation.

Many of the issues that tend to pile up towards the

Will the concessions be a threat to the final TPPA implementation, and are we realistic about getting a good outcome from the agreement? – Roberto Benetello, Board Executive Member of the Italy Malaysia Business Association.

Arividya: On whether the concessions will become a threat, I personally do not think so as I believe the overall package is a good one. As negotiators, it is important to recognise that at some point in the negotiations, what you have on the table could possibly be the best deal, and you need to take that deal. With the TPPA, we did exactly that.

Having been a party to so many FTAs and multilateral agreements, Malaysia should have a list of best practices when negotiating terms with various countries. With that as a benchmark, shouldn’t we be able to expedite the negotiation of the agreements? – Dato' Robert Teo, board member of EUMCCI.

Arividya: Each country has its own interpretation of best practices. This is especially true for Malaysia. There are a number of sectors that we will negotiate in any FTA, for example, removing tariff duties, import duties and tariff EUMCCI REVIEW

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rates. Also, for sectors such as customs, trade facilitation, sanitation and technical barriers to trade, we know what we want to pursue in these areas.

However, there are sectors which are very new to Malaysia, such as market access in public procurement.

Removing foreign equity capital in the services sector was also not something Malaysia was too familiar with either, at least not until we concluded the TPPA. I believe those differences come from our background.

You have countries that are traditionally innovators, and they want a better protection of patents. Then you have countries that are traditionally users of generic medicines like Malaysia. So, what the EU and the United States would perceive as best practices for the protection of patents would be very different from us.

Callagan: I agree with Arividya. There is also a historical aspect to this. There were 2 huge negotiations that took place at the same time, the WTO negotiations and NAFTA. Both had a very different approach, and we ended up with 2 substantially different models.

The EUFTA is based on the WTO discussions, and it had to be brought into a 28-country context. The common denominator among these countries was their WTO commitments, so we based most of our starting points for FTA discussions on WTO text.

On the other hand, discussions with countries like Canada or the United States are based on the NAFTA model, and marrying the two is not easy. That is why the agreement with Canada took 7 years to complete.

These negotiations seem to be shrouded in secrecy as in the case of TPPA, whereas the EU approach seems to be a very transparent one.

What are your comments on this? Secondly, in Malaysia, the SMEs make up the biggest sector of the economy. How involved are they in the negotiation process? â&#x20AC;&#x201C; Dato' Robert Teo, board member of EUMCCI.

Arividya: The TPPA was a learning process for us.

Malaysiaâ&#x20AC;&#x2122;s consultations have always been with the relevant stakeholders, so if we are looking at goods, we will talk to FMM, the chambers and industry associations. For services, we will talk to the boards. With the TPPA, we have learned that it is important to reach out to the SMEs, prominent players in those particular sectors as well as civil societies and NGOs.

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I believe the TPPA has helped us improve in terms of being more transparent in our negotiations. During negotiations, there are some things we simply cannot afford to be transparent about when we deal with certain strategic issues as part of negotiation strategies. Frankly, I do not think we can undertake negotiations in an environment that is completely transparent. It will not work.

Callagan: In terms of secrecy, negotiating with the United States has been a game changer. As such, I think trade negotiations in the EU will not be the same for quite some time to come. The text had traditionally been negotiated not so much with the intention to keep it a secret as the belief that the negotiators did not think that anybody would be interested in it at that time.

Not everybody wanted to read through 1,000 pages of very technical legal language to find out what was going on.

However, this approach has fundamentally changed in the EU. We publish all of our negotiating text and we spend a lot of time telling people after every round exactly what we have done.

What are the sectors that would benefit from the TPPA on the Malaysian side and which ones would be penalised? Once the TPPA is implemented, what would be the consequences for EU exporters and the specific sectors that would be impacted? â&#x20AC;&#x201C; H.E. Daniel Dargent, Belgium Ambassador.

Arividya: Becoming a party to the TPPA negotiations has, in a way, helped Malaysia improve its standards and accelerated some of its domestic reforms. For instance, we have been talking about amending the legal profession act as well as some of the other professional services related legislation for a long time.

If not for the negotiations, I think we would still be talking about amending those acts. At the same time, we have also amended a number of laws which are mostly related to customs and trade related issues, labour and IP rights.

We have made market access commitments, and we even have a chapter that deals with regulating competition disciplines and antitrust issues. These are important outcomes of the TPPA. For sector specific areas, we have made a lot of gains in trade and goods. Prior to this, one of the markets where we did not have preferential access was the United States, but now we do.

In addition to that, there are a number of sectors in which Malaysia is traditionally competitive, as well as areas where we would pursue outcomes in any FTA or negotiations that we enter into. For example, we would seek outcomes in 4 to 5 sectors which are very important to Malaysia, such as E&E, palm oil, cocoa, fisheries and timber.

Having said that, we have also been criticised in certain areas like the opening of some of our services sectors, which is something we will need to look at when the TPPA comes into force. I personally think that the TPPA has more benefits and advantages than disadvantages, although there will be some areas where we will need to make adjustments.

FEEDBACK FROM BUSINESSES In the event that only the TPPA is implemented and not the EU-Malaysia FTA, how will this impact your business in Malaysia?

Landhaeusser: The question we ask ourselves is, how much would the TPPA disrupt the ASEAN economic community. Since we are present in all 10 ASEAN countries, we would need to analyse the impact on our businesses as a whole.

We believe there will be positive developments in the 4 blocs countries that have joined the TPPA. Our biggest concern now is the economic gap that will emerge between these 4 countries and the remaining 6. This gap will become wider in time, which might lead to an unstable situation in Southeast Asia.

This would also mean we would have to completely change our overall ASEAN strategy and the way we approach each and every country. Our preference would be to have the ASEAN economy merge into one big market sooner than later, with a level playing field among these countries.

Prakash: Ours is a technology business and 50% of our manufacturing centres are in the EU, 25% in China and India, and the remainder in the Americas. So you can see how important both of these agreements are to us in terms of setting our business strategies.

We spend 5-6% of our annual revenue on R&D, and our main centre is in the EU where there are streams of products that are only available there. In the long run, it would be better for us if the EU-Malaysia FTA was in place.

If you had a wishlist, what are the changes you would like to see in this agreement from both the EU and Malaysia?

Landhaeusser: I agree with Prakash on that point. In addition to that, I believe we need to realign the educational approach for the workforce. Right now, there is a misalignment in terms of their level of education and what we need at our facilities.

This is essential because we export out of this region, so human capital is a key consideration for us.

We would also like to see Malaysia focus on the alignment of local standards with international standards, especially for the export sector. This is crucial for the local supply industry if they want to be able to compete with larger companies and those coming from other markets.

Prakash: The services sector is essential to us. At the end of the day, it is the legal aspect that really makes a difference because handling the product or technology is just one part of the story.

EUMCCI TRADE ISSUES & RECOMMENDATIONS 2016 BOOK LAUNCH The EUMCCI Trade Issues & Recommendations 2016 book is a compilation of position papers from EUMCCI’s 8 key industry committees with insights on how to improve the business environment with public and private shareholders.

The 76-page publication is a culmination of the annual work of each EUMCCI committee, which looks into each key industry to identify the critical issues faced, and proposes appropriate measures to improve the business environment.

Among the key issues highlighted: • A cross-industry issue is ‘fair and open competition in Malaysia and with international trading partners’ • A recommendation to encourage greater collaboration between industry and universities in the area of innovation and creativity, in building the nation towards a higher income, inclusive and sustainable economy.

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COUNTRY FOCUS

THE REPUBLIC OF POLAND

P

oland has always bucked the trend and surprised the world. In the 1980s, at the height of the Soviet influence in Eastern Europe, Poland captured the world’s attention when the Poles dared to form Solidarity, a Polish trade union founded in 1980 under the leadership of Lech Walesa. The significance of Solidarity was that it was the first trade union in a Warsaw Pact country that was not controlled by a communist party.

“Political changes in Central and Eastern Europe (CEE) started in Poland in 1980,” says H.E. Marcin Kubiak, Polish ambassador to Malaysia. Poland was also the first country in the CEE to choose the first non-Communist prime minister.

“The fall of the Berlin Wall came later,” he adds.

POLAND, THE ECONOMIC POWERHOUSE OF CEE Poland is the largest economy in CEE and the sixth largest in the EU. One of the reasons for this is because Poles are “born entrepreneurs” says Kubiak. “Unlike some other countries of the former Soviet bloc we always enjoyed private ownership of land, businesses and maintained active business relations with the world where millions of Poles living abroad helped to shape strong business relations.”

With a population of 38 million, Poland has one of the largest consumer markets in Europe. The country’s strategic location, in the heart of Europe, where the main communication routes intersect, makes it possible to export goods to all the European countries and reach over 500 million consumers.

“The country’s sustainable development has much to do with its solid economic foundations,” explains Kubiak.

“The recent global economic crisis has not harmed Poland, which was the only country in Europe to have avoided a recession, and additionally has developed at the highest rate on the continent. The assessment of the investment climate for foreign entrepreneurs every year is getting better. Joining the European Union (2004) tightened-up our relation with developed markets and opened an access to the European funds which contributed a lot to our economic development.”

POLAND AT A GLANCE Capital: Warsaw Official language: Polish Government: Parliamentary Republic President: Andrzej Duda Prime Minister: Beata Szydlo Legislature: National Assembly Upper house: Senate Lower house: Sejm

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H.E. Marcin Kubiak

Poland’s well educated workforce is another reason for its economic success. Polish economists, engineers, IT specialists and scientists are highly sought-after employees who find employment in innovative companies, R&D centres and scientific institutes not only in Poland but all over Europe as well. “Every year, the number of graduates of Polish universities increases, especially those needed in high-tech industries. Many of the technologies used in industries abroad were invented in Poland. We have successfully steered our industry from heavy industry to a knowledge-based economy.”

POLAND-MALAYSIA TRADE TIES Although Poland’s trade is mainly concentrated in Europe, like many European countries, it is looking towards forging closer trade ties with Asia. At present, trade with Asian countries constitutes 14% of Poland’s total trade in 2015, out of which 2% is with ASEAN. “Malaysia makes a perfect place to start business activity covering all ASEAN countries due to its good location, business environment and great infrastructure,” says Kubiak.

Currently, the trade balance between the two countries is in favour of Malaysia. Poland imports from Malaysia mainly electronic items which constitute around 70% of imports. Other goods include machinery equipments, rubber, furniture and tropical wood.

Poland exports to Malaysia items such as tools, machines, copper, medical equipment, measurement

and precision devices, steel products, cosmetics, food (milk product, cheese, healthy food, drinks), chemicals, pharmaceuticals, furniture and paper, among others.

At present there are over 15 Polish companies based in Malaysia. “Some of them have become investors; some just opened their representative offices. Most of them are active in the IT/ICT sector. But we have got also green technology players, food distributors and professional business service providers,” says Kubiak.

INCREASING MALAYSIAN INVESTMENTS IN POLAND

Unfortunately, there are no Malaysian companies that have invested in Poland yet. Kubiak hopes this will change in the near future. He urges Malaysian companies to explore investment opportunities in Poland, especially in hightech, food industry, medical services and manufacturing.

“Any company established in Poland will be automatically an EU business entity operating in a Single Market. The cost of running a business in Poland is still slightly lower than in other countries of the EU better-known by the Malaysians. And one thing more – Polish currency (Polish zloty which means golden) exchange rate is roughly 1 zloty to 1 to ringgit.”

Kubiak urges more Malaysians to visit Poland, not only for business, but as tourists as well. “Poland offers excellent tourist attractions: beautiful unspoilt nature and historical places. For example, there are 14 UNESCO heritage sites in Poland.” One of Kubiak’s objectives is to increase the number of Malaysians visiting Poland. “Personal visits are the best way to develop a feel for the country’s potential as well as make friends. This will add further value to the already good cooperation between our countries.”

He urges Malaysians to look beyond the countries that they are familiar with in the EU. “Malaysians are mostly not aware yet that high quality products, technologies and services can come from the most unexpected places and with lower prices. It is worth exploring these opportunities in Poland.”

•

Famous Poles

POPE JOHN PAUL II, the first non-Italian pope in nearly 500 years, he was also one of the most beloved and popular popes who changed the way people view the Papacy. He was one of the forces that helped to end Communist rule in Poland. He was made a saint in 2014.

NICOLAUS COPERNICUS, A Renaissance mathematician and astronomer whose model of the universe placed the sun rather than the earth as the centre of the universe, was one of the biggest events in the history of science.

FRÉDÉRIC CHOPIN, a composer who mainly composed for the piano is considered one of the greatest composers of all times.

He was born in Warsaw but eventually left to settle in France.

• •

Polish Nobel Prize winners are: MARIE SKLODOWSKA CURIE, considered the greatest woman scientist, won the Nobel prize twice in 1903 and 1911.

LECH WALESA, the Gdansk shipyard electrician who electrified the world as the leader of Solidarity, the Polish workers’ union.

He was awarded the Nobel Peace Prize in 1983. He was elected President of Poland in 1990.

WISLAWA SZYMBORSKA, one of Poland’s most famous poets who won the Nobel Prize for Literature in 1996.

• • •

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Feature

CELEBRATING EUROPEAN FOOD & CULTURE Tastes of Europe 2016 showcases the diversity of European foods and beverages including beers, wines, cheese, breads and chocolate.

By Sharmila Vella Photography V. Chanthiran

F

ollowing the tradition of previous years, Tastes of Europe Fest (TOEF) 2016 not only featured the gastronomic diversity of European cuisine to Malaysians but highlighted the importance of good food in European culture. More importantly, it was also an opportunity for local distributors to know more about authentic European food.

As one of the signature events of EUMCCI, the 15th edition showcase of European food and produce hosted by Berjaya Times Square Hotel, KL recently, attracted 350 participants and over 25 exhibitors from Belgium, France, Denmark, Georgia, Italy, the Netherlands and Malaysia.

Chairman of EUMCCI, Robert Benetello said that the fest was one of the ways of making European cuisine more accessible to Malaysians. “By bridging the gap between Europe and our local suppliers, we hope to bring even more of Europe’s finest food and beverage products to Malaysian tables. Tastes of Europe is more than just a trade fair for food. It’s also a display of European culture,

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traditions and heritage. This festival allows for a stronger economic relationship between Europe and Malaysia, a bond forged over shared values such as an appreciation for fine food,” he stated.

Among those who attended the event were Tan Sri Rebecca Sta Maria, SecretaryGeneral of MITI (Ministry of International Trade and Industry) and Ambassador and Head of EU Delegation to Malaysia, H.E. Luc Vandebon.

Among the first time exhibitors at the fest was Vineria, a classy Italian restaurant in Bangsar Shopping Centre that wants people to know that every dish served at the restaurant is authentically Italian.

Another exhibitor, Cuisine Nero Sdn Bhd., an Italian restaurant which has three outlets in Kuala Lumpur, has been in the country for seven years. Its Executive Chef, Diego Reali, wants to create greater awareness about Italian food and the restaurant. “Italian food is not about the sauce. It’s the herbs and ingredients and the method of cooking. I hope to educate people here about Italian food.”

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Feature

Provence Honey, another participant in the fest, imports French lavender honey to Malaysia, and for Christian Dufour of the company, it was an opportunity to network with local distributors and restaurants.

Repeat exhibitor, DPO International Sdn Bhd, a regional food distribution company, promoted its new B2C business which was launched earlier this year. The company distributes branded consumer goods to retail outlets through direct selling via its website TheBigBox.Asia.

LiquidFX Brands, a marketing and distribution firm that distributes Angel Champagne to Asia, is looking for a local distributor to market their products. “We participated in this event to reach out to Malaysians, potential clients, and to expose our brand here,” said Nicole Eva Kurschner, Key Account Manager of LiquidFX Brands Sdn Bhd. Although the fest was dedicated to bringing together European suppliers and their local distributors, the public was given the opportunity to sample the various food and beverages on display, watch live cooking demonstrations and even participate in lucky draws.

Prizes included bottles of wine and food baskets from participating exhibitors, F & B vouchers and room stays from Doubletree by Hilton, Royale Chulan Hotel, host Berjaya Times Square Hotel, Shangri-la Hotel, delightful miniature tea-sets from KLCC Convention Centre and many other exciting prizes.

The grand prize ticket to a European destination was provided by Etihad Airways, the Silver sponsor.

Visitors such as Joerg Schmidt, a lawyer from Germany, found the event interesting and enjoyable. “As a first time visitor to the event, I think it’s an interesting event that highlights Europe’s variety of food and beverage. It’s a good way for Europeans to promote their products and wines.”

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Review

LOOKING FOR A BUSINESS PARTNER IN THE EU?

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CREATING A WORLD-CLASS MALAYSIAN WORKFORCE

EUMCCI Review magazine is the official publication of the EU-Malaysia Chamber of Commerce and Industry. The quarterly publication is the voice of a business community that’s vibrant and dynamic.

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EUMCCI Review is an excellent medium to showcase your company, products or services. Your products and services will reach the business community that you are targeting. Advertise with EUMCCI Review and grow from strength to strength!

Harnessing & intensifying skill-sets will ensure efficiency and flexibility of Malaysia's labour market.

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Future direction of trade between EU & Malaysia; possible renewal of EU-Malaysia FTA talks

EU-MALAYSIA TRADE • ASEAN is EU’s third largest trading partner after the US and China.

• In ASEAN, Malaysia is EU’s second largest trading partner.

• Malaysia is EU’s 23rd largest trading partner in the world.

• With the implementation of Economic Transformation Programme and the private sector driving the economy, the opportunity for trade between EU and Malaysia has increased.

• Trade between EU and Malaysia will grow even further when the free trade agreement is concluded between EU and Malaysia.

• E UMCCI Review is ideally positioned to ride this wave of optimism about the future prospects of trade between EU and Malaysia.

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EU Ambassador Luc Vandebon: Brexit is a wake-up call for EU

EUMCCI Chairman Roberto Benetello: Organisation is a win-win proposition for all

DISTRIBUTION • E U Bilateral Business Councils / Chambers • Embassies • E U diplomats • Business information counters at KLIA & MIDA • E U Delegations & EuroChambers in SEA • Chambers of Commerce in Europe, Government agencies & organisations in Malaysia

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Feature

GAINING INDUSTRY INSIGHTS Participants at the International Construction Week and Ecobuild SEA were treated to a series of talks on best practices from experts of EU-based companies in the construction and engineering industry.

By Khaw Chia Hui

I

n conjunction with the week-long International Construction Week and Ecobuild from 11-15 April in Kuala Lumpur, the EU co-funded project "Support for European Business in South East Asia MarketsMalaysia" organised a Construction and Virtual Design Seminar by European Service Providers.

In his opening remarks to the Seminar, EUMCCI Chairman, Fermin Fautsch, revealed that more than US$7 trillion were being invested in the ASEAN infrastructure sector and half of it is dedicated to real estate and construction.

This level of investment demonstrated the building frenzy in the region. Among the developing countries, Laos represented a great opportunity for EU companies.

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Meanwhile, representing the Construction Industry Development Board, its corporate and business sector senior general manager Sariah Abdul Karib agreed that in the age of globalisation, it is important to gain an edge in the ever-changing business environment.

“Events such as this allow participants to gain knowledge into sustainable development of Malaysia's built environment and the shift towards European standards.” Malaysia, she said, is always open to international cooperation, where local companies can benefit from the latest technology and know-how.

InteliBuild managing director Ronan Collins shared his expertise on using building intelligence model (BIM) to save cost and improve competency. He said in most cases the clients are driving the use of BIM. “For example, the UK has mandated the whole government industry to implement BIM, while Malaysia, Hong Kong, Singapore are getting there.

“Architects and engineers must get acquainted with BIM because it is not feasible to outsource it. When you build in 3D, you have to ensure it works in the real world.

“Laser-scanning saves lives as the engineer does not need to go out to the roof. The engineer only needs to use the laser scanning machine to detect any issues from the virtual reality environment, thus, reducing safety risks.”

Collins added that BIM could be used to discuss construction sequencing as details were laid out in virtual reality, making it easier when communicating with non-construction staff.

Continuing the path of advancing the build industry

in Southeast Asia, Evan Ho, Tony Gee & Partner's principal engineer and Malaysia regional manager spoke about Eurocodes and its implementation.

“Since 2010, the UK has adopted Eurocodes and this practice is used till today. Malaysia is trending towards Eurocodes, which is good, but if you are still going on with British Norms/Standards, you will no longer be competitive.”

Moving on to affordable and sustainable housing solutions, Covestro Thailand's head of inclusive business and sustainability B. Veeralakshmanan shared that conventional building materials will not be able to decrease global temperatures by 2025, especially in the underserved communities.

“Primary factors when designing a house are comfort, access to water and sanitation.”

He pointed to Polyisocyanurate (PIR) housing – a sustainable development – with a solar dryer and cold storage. Affordable and accessible, PIR housing is made of energy efficient material that uses electricity and water from renewable sources as well as LED lighting.

Interestingly, the solar dryer is more hygienic compared to open sun drying while increasing product shelf life. Also the cold storage enables residents to prevent wastage when there is a sudden supply of food. It also reduces logistics cost as consolidated transportation can be done.

“The housing materials have a high resistance to temperature of up to 1,200 degree Celsius. PIR housing is also insulated unlike regular materials currently in the market. You can count on it being resistant to mould and sustaining minimum damage during floods.

“Such designs have been applied in Rajasthan, India, while in Malaysia, you can find them in Langkawi, Tapah and Teluk Bahang,” said Veeralakshmanan.

Rainer Klima, PERI Malaysia's head of technology,

emphasised the positive growth of the construction market in Malaysia. Malaysian construction business places a high demand on aesthetic design, structure, tight schedules and high density.

“Malaysia’s GDP is at a health rate with a rising population. This leads to higher consumption and the push to become a high-income nation will allow the locals to keep construction industry robust.”

However, the stress of pricing versus performance still plagues the industry, he said. “To cut costs, safety parameters are ignored. By supplying low quality goods and services, it can cause risk danger and injury.

“Get approval for your products and invest in staff training. Education and training are able to prepare members of the profession with the particular knowledge and skills necessary to perform their roles efficiently.”

EUMCCI REVIEW

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Chamber News

EUROPEAN NETWORKING SESSION AT RAIL SOLUTIONS ASIA 2016

A high-level cocktail networking session between the EU and Malaysian stakeholders in the rail industry was recently held at the Kuala Lumpur Convention Centre in conjunction with the Rail Solutions Asia 2016 exhibition.

Attended by about 150 people including exhibitors, delegates and speakers of the 13th Annual Congress of the Asian Railway Operators Association, the cocktail session was held in conjunction with the three-day Rail Solutions Asia 2016 exhibition on May 11. Close to 100 companies took part in the exhibition.

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The networking session was part of a project co-funded by EU under SEBSEAM and implemented by the EUMCCI. The project is aimed at promo ting trade and investment flows between the EU, Malaysia, the neighbouring ASEAN countries and facilitate market access, especially for small and medium-sized companies.

The networking session also provided an opportunity to bring together European SMEs and Malaysian counterparts with the view to stimulate potential business and investment opportunities for the European SMEs in Malaysia’s rail industry.

Chairman of EUMCCI, Roberto Benetello, in his opening address, said that Malaysia is one of Asia’s most dynamic railway nations as it is now in the middle of a major expansion of its existing system and ongoing upgrading on mainline routes.

Three new MRT lines with more than 150km of the track are being built in Kuala Lumpur. The Ampang and Kelana Jaya line extensions are scheduled to begin full operations before the end of the year.

“Another project that I am sure everyone is anticipating is the High-Speed Rail Project that will connect Kuala Lumpur to Singapore,” he said adding that SEBSEAM wants to provide a solid platform to the business community in EU and also Malaysia to engage in order to promote Malaysia as a lucrative investment destination.

He also added that the Transport and Infrastructure Sector of the SEBSEAM Project will be organising a European Smart Cities Exchange Forum at the Royale Chulan Hotel on 4th of October, which will bring together experts from Spain as well as key Malaysian stakeholders in the development of smart cities in Malaysia.

VIPs present at the cocktail session were H.E. Luc Vandebon, the Ambassador & Head of the EU Delegation to Malaysia, Mr Yuslizar Daud, Head of Rail Section of the Malaysian Land Public Transport Commission (SPAD), Mr Shahanas Yasmie Yusoff, Project Manager of Transportation Unit of Indra Technology, and Ms Barbara ER, the Project Director of SEBSEAM, among others.

Chamber News

EUMCCI AEROSPACE COMMITTEE MEETING AT AGUSTAWESTLAND The EUMCCI Aerospace Committee recently held its 2016 inaugural committee meeting at the hangar of AgustaWestland, Sultan Abdul Aziz Airport, Subang. At the meeting, key players in the aerospace industry gathered to discuss the strategies and actions required to lift the industry to a higher paradigm for existing and upcoming players. The members discussed the challenges raised and ways forward were proposed, setting the wheels of change in motion.

The committee members were then taken on a site visit by Mr Vincenzo Alaimo, the Managing Director of AgustaWestland, where he and his team presented the companyâ&#x20AC;&#x2122;s vision and operations to the committee.

The members also gained insights into why the European company chose Malaysia as the place for expanding its business. Many of the reasons why AgustaWestland chose Malaysia resonated with the committee members. This fruitful Aerospace Committee meeting is a

promising start for the path ahead for the industry and EUMCCI members.

This committee serves as an advocacy platform for European and local companies to jointly address the issues currently faced by industries. EUMCCIâ&#x20AC;&#x2122;s Aerospace Committee is committed to making positive changes on the industry so that significant growth can be achieved.

ADDRESSING ECONOMIC CONCERNS Head of Delegation of the European Union to Malaysia and Ambassador H.E. Luc Vandebon and members of the EUMCCI recently had a discussion relating to economic issues and industry feedback on the EU Free

Trade Agreement, in light of the signing of EU-Malaysia Partnership and Cooperation Agreement (PAC).

Held at the EU Delegation Conference Room on April 21 with the presence of over 13 EU countries through their

embassies or chambers/business councils, this closed door meeting also allowed members to have a fruitful discussion with the Ambassador on several issues that were of importance to the European business community.

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Corporate Partner News Corporate Partner News

INTERNATIONAL SOS TELEHEALTH: INSTANT ACCESS TO GLOBAL QUALITY HEALTHCARE ANYWHERE, ANYTIME With modern technology creating a borderless world coupled with a growing globalised workforce, many people may work in inhospitable places on earth where access to a clinic may be difficult. Using electronic information and telecommunications technologies, International SOS’s Telehealth (also called Telemedicine), delivers remote and long-distance medical support and care.

Telehealth covers all health related communications between health professionals and /or patients. Certain devices are also used to monitor vital signs and transmit the results. This rapid access has enabled informed diagnosis and treatment decisions despite being hours or days away from the nearest hospital.

Telehealth has provided a great step forward in healthcare delivery and International SOS is the first company in the world to be certified in the delivery of Telehealth services. Thanks to technology, distance is no longer a barrier to providing medical services.

For more information on the International SOS Telehealth, visit www.internationalsos.com/telehealth

UNIVERSITY OF NOTTINGHAM LAUNCHES CENTRE FOR MULTIDISCIPLINARY RESEARCH ON PALM OIL The University of Nottingham Malaysia Campus recently launched the Centre of Sustainable Palm Oil Research (CESPOR), which focuses on improving the various aspects of the palm oil industry. Located adjacent to Havys Oil Mill Sdn Bhd in Palong, Negeri Sembilan, the team at CESPOR comprises researchers from the School of Biosciences, Department of Chemical & Environmental Engineering and Department of Mechanical, Materials and Manufacturing Engineering.

From the prevention of Ganoderma disease, which causes the plant to decay, to improving technologies in converting palm-based biomass into biofertiliser, fibre mat, palm pellets, dried long fibre and biochar, CESPOR also champions the development of Integrated Anaerobic Aerobic Bioreactor, a novel technology to improve the treatment of palm oil mill effluent (POME), a highly toxic discharge.

CESPOR has since collaborated with numerous industry players such as Eureka Synergy Sdn Bhd, Havys Oil Mill Sdn Bhd and Green Plant Organic Fertilizer Sdn Bhd, and to date, the Centre has secured more than RM8 million in research grants from both public and private

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institutions, in hopes to optimise the use of palm-based biomass and POME. “By having on-site research office equipped with state-of-the-art facilities in a palm oil mill, all the studies can be conducted in the actual environment. It also can demonstrate the applications of research in the industry,” said Professor Denny Ng, Founding Director of CESPOR.

L-R: Professor Christine Ennew, Professor Graham Kendall, Professor Denny Ng and Professor Chong Mei Fong at the official launch.

LUFTHANSA, CONNECTING THE WORLD Deutsche Lufthansa AG, a global aviation group based in Germany and employing more than 120,000 staff worldwide, flies direct non-stop from Singapore and Bangkok to Frankfurt with onwards connection to more than 170 European destinations and beyond.

Passengers from Malaysia can fly from Kuala Lumpur, Penang, Johor Bahru, Kota Kinabalu, and Langkawi to connect Lufthansa from Singapore or Bangkok in one single ticket. Lufthansa offers First, Business, Premium Economy and Economy Class on board.

For more details and booking, log on to LH.com or contact Lufthansa Service Center at +603 2053 1898.

SIRIUS INTERNATIONAL: INNOVATIVE EDUCATION RIGHT HERE IN MALAYSIA With over 20 years in education, the ACE EdVenture group has been constantly changing the learning paradigm in its international schools and learning centres through its unique teaching approach that engages students' many facets of learning. This year, Dwi Emas International School, the first entrepreneurial school in Malaysia based in Shah Alam, focuses on education beyond the norm â&#x20AC;&#x201C; starting Year 1, the syllabus includes Financial Education where students are immersed in the mindset of entrepreneurs.

With International Primary Curriculum (IPC), Cambridge IGCSE, and A Levels, coupled with the ACE EdVenture Programme on offer, Dwi Emas International School caters a well-rounded education that grows students into global leaders.

The ACE EdVenture group's second endeavour of 2016 explores education in the digital realm with ChemCaper, the world's first Chemistry roleplaying game (iOS/Android).

ChemCaper injects fun into Chemistry and takes the dread out of learning in this video game, infused with Chemistry from start to end. Learning takes place on a subconscious level as kids dive into a gripping adventure that evokes emotions which help drive the lessons deeper into memory.

Kids can now enjoy learning on their terms with a platform they know and love. ChemCaper is available on the App Store and Google Play.

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Corporate Partner News Corporate Partner News

EVENTFUL Q2 FOR WONG & PARTNERS It was an eventful second quarter for Wong & Partners, a member firm of Baker & McKenzie International: it hosted its annual flagship event, the Annual Legal Conference, on 5 May 2016 at Le Meridien KL, focusing on the impact of economic integration and the growing interconnectivity in ASEAN countries.

At the conference, a joint effort between its various offices and practice groups, Senator Dato' Sri Abdul Wahid bin Omar spoke on Malaysia's economic development and the role Malaysia plays in the region, while Datuk J. Jayasiri, the Deputy Secretary General (Strategy and Monitoring), spoke on how the Trans-Pacific Partnership Agreement fits into Malaysia’s overall strategy for developing trade.

The company also launched two major thought leadership reports, “ASEAN Connections”, a collaborative effort between Baker & McKenzie and the Economist Corporate Network, and the “Ghosts in the Machine” report focusing on the growth and potential of FinTech, compiled jointly with Euromoney Institutional Investor.

Recently, Wong & Partners won the M&A Deal of the Year (Midsize: Metrod Holdings acquisition of The Leela Goa) and IP Firm of the Year award at the Asian Legal Business (ALB) Malaysia Law Awards while Baker & McKenzie won the Asset and Corporate Finance Deal of the

Year (Financing of STATS ChipPac), Intellectual Property Law Firm of the Year and Tax & Trusts Law Firm of the Year awards at the ALB Southeast Asia Law Awards.

Link to ASEAN Connections: http://ftp01.economist. com.hk/ECN_papers/ASEANConnections Link to FinTech Report: http://www. euromoneythoughtleadership.com/ghostsinthemachine/

KNOWLEDGE GROUP, IN THE FOREFRONT OF CONFERENCES & EXHIBITIONS Knowledge Group has been in the forefront of developing and running market demanded conferences, workshops, summits, exhibitions and customised inhouse programs throughout Asia since 1999.

Knowledge Group’s signature events are the BankTech Asia Conference & Exhibition and the Smart Cities Asia Conference & Exhibition The BankTech Asia Conference & Exhibition is a key event for those in the industry to keep abreast with the latest innovations and developments in banking and financial technology. This year, BankTech Asia Conference & Exhibition will be back in Kuala Lumpur on 8-9th November, with a focus on Technology Risk Management, Payments & Transaction Management, and Retail Banking.

Smart Cities Asia Conference & Exhibition helps urban planners and city leaders solve real-world urbanisation issues through technology and sound urban design. Following last year’s success, Smart Cities Asia Conference & Exhibition will be held again in Kuala Lumpur on 18 & 19th October.

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GOOGLEâ&#x20AC;&#x2122;S MOST HIGHLY RATED TRAINING PROGRAM IN MALAYSIA FOR 2 DAYS ONLY

Enjoy Googleâ&#x20AC;&#x2122;s most popular training program, Search Inside Yourself (SIY), in Kuala Lumpur! TMI Malaysia, in partnership with the Search Inside Yourself Leadership Institute (US), is bringing this innovative program to Malaysia for the first time.

The two day event on 24-25 October 2016 at Hotel Istana, Jalan Raja Chulan, Kuala Lumpur, provides an opportunity to join the emerging movement of companies integrating evidence-based mindfulness into their workplaces.

SIY combines an Emotional Intelligence curriculum with mindfulness practices, backed by neuroscience.

Many leading companies such as Google and the Harvard Business School, realise that modern leadership is about how well we use our minds and the quality of our relationship with others.

Innovative organisations are turning to mind fitness and inner skills as a way to promote the capacity to thrive and flourish.

To register and for more information, please go to www.searchinsideyourself.com.my or contact Poh Lan at +6012 631 2343 or via email pohlan@tmimalaysia.com.my

EUMCCI REVIEW

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New Corporate Partners

KPJ Healthcare Berhad

Symbiona Asia Pacific Sdn Bhd

KPJ, the leading healthcare provider in Malaysia since 1981, operates the countryâ&#x20AC;&#x2122;s largest network of more than 26 specialist hospitals in Malaysia and overseas.

KPJ provides promotive, preventive and curative medical services.

Symbiona is the leader in the market of modern water and wastewater treatment technologies. With over 120 project accomplished, it now brings its knowledge and experience to South-East Asia.

Person-in-charge: Ms. Annahita Bakavoli Address: Level 12, Menara 238, 238, Jalan Tun Razak,

50400 Kuala Lumpur.

Tel: +603-2681 6222 Fax: +603-2681 6888 Email: annahita@kpjhealthcare.com.my Website: www.kpjhealthcare.com.my

Person-in-charge: Dr. Christopher Grzybowski Address: Suite 5, 07-21 Block E, Plaza Mont Kiara,

2, Jalan Kiara, 50480 Kuala Lumpur.

Tel: +603-7493 5936 Email: chris@symbiona.com Website: www.symbiona.com

TMI, Bringing Out The Best In People TMI is a global consulting, training and implementation company, head quartered in Denmark. Over the years, TMI has been helping companies around the world achieve success by developing and providing tailor-made solutions that inspire and enable high performance. TACK International, the sister company, has helped build sales and leadership skills for companies in over 40 countries.

Person-in-Charge: George Aveling Address: B-2-3 Block B, Plaza Damas,

60, Jalan Sri Hartamas 1, 50480 Kuala Lumpur.

Tel: +603-6203 4410 Fax: +603-6203 4458 Email: info@tmimalaysia.com.my Website: www.tmimalaysia.com.my

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Lifestyle

“W ROOST – DINE LIKE A BIRD IN PARADISE

By Fanny Bucheli-Rotter

e are called Roost because we are on the second floor, because it is a bit of a nest, a resting place, in the middle of Bangsar, yet tugged away from the hustling and bustling at street level.” Chef and co-owner of Roost on Jalan Telawi 3, Albert Frantzen, has very successfully translated his vision of minimalistic, Nordic cuisine into a concept he likes to call ‘from Farm to Fork’.

The 26-year old has been working in the gastronomy industry for almost 10 years. Pushed into the position of executive chef well before he felt comfortable to do so, he has had the opportunity to experience the best and the worst his line of work has to offer for many years and in many countries around the world, more recently in Asia.

In line with his young age and the social and environmental responsibility typical for his generation, he emphasised on sustainability, on a seamless marriage between indulgence and accountability.

Wherever possible, Roost’s menu features locally sourced produce; greens from the highlands of Genting, seafood from the waters off the local coast, even the wild honey hails from the rainforest of Borneo.

The alert guest will recognise the uniqueness of Roost and the team’s creative endeavour as soon as the staircase comes into view. The hornbill logo and lettering cleverly engraved on each step sets the scene for what awaits upstairs. The restaurant showcases a balanced concept of open plan eating, show kitchen, and rustic furnishing. The honesty and the passion with which local Malaysian products are transformed into modern European dishes bear Chef Frantzen’s distinctive trademark.

Fancy zucchini blossoms, stuffed with fromage frais, mint and chili for an appetizer? Or mangrove crab salad with sorrel and sour cream? How about free range chicken breast with onion purée for mains? No, wait! There's also veal rump tip with seasonal vegetables. The avid diner will be best advised to follow young Chef Albert’s advice and share his choice with friends to try it all.

The setup at Roost is refreshing, young, and vibrant. But even more important than the infrastructure is the fact that the boss is at work in the open kitchen, setting the example for his team to follow and for his guests to admire. Frantzen says, “It is important to be a leader and not a boss, as a restaurant needs to work as one unit in order to give the guests the best possible evening.” Visitors will bear witness to this fact as they are pampered and spoilt by every member of the Roost team alike.

A dining experience at Roost is worth braving Bangsar traffic and lack of parking spaces. It is worth climbing the fancy stairs to the second floor and it is definitely worth taking a leap of faith and trying victual creations that are as intelligent as they are unusual.

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Here is the line up of recent and upcoming events organised or supported by EUMCCI. The dates and venues for the upcoming events have not been finalized. Please refer to Corporate News 2016 Partner the EUMCCI website – www.eumcci.com – for the latest updates on the events.

RECENT EVENTS

SEBSEAM-M PROFESSIONAL SERVICES SECTOR – CONSTRUCTION AND VIRTUAL DESIGN SEMINARS Date: 13th April 2016 Time: 10.30am–3.45pm Venue: Hospitality Lounge @ KLCC, Kuala Lumpur Conference Centre

EGM Date: 22 April 2016 Time: 9am-12pm Venue: Fraser Residence Kuala Lumpur

EU-MALAYSIA TRADE & INVESTMENT FORUM 2016 Date: 20th April 2016 Time: 9am–2pm Venue: DoubleTree by Hilton KL @ Jalan Tun Razak

CHAMBER CONSULTATION WITH H.E. LUC VANDEBON AND EU DELEGATION Date: 6th April 2016 Time: 9am–11am Venue: EU Delegation Conference Room, Menara Tan & Tan, Kuala Lumpur

TASTES OF EUROPE FEST 2016 Date: 6th May 2016 Time: 6pm–10pm Venue: Berjaya Times Square Hotel

EU PAVILION AT RAIL SOLUTIONS MALAYSIA Date: 11th–13th May 2016 Time: 9am–5pm Venue: Kuala Lumpur Convention Centre, Kuala Lumpur

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AGM Date: 29th June 2016 Time: 3pm-4.30pm/4.30PM-6PM (Networking Cocktail) Venue: Grand Millennium Hotel, Kuala Lumpur

VIP LUNCHEON WITH GOVERNOR OF BANK NEGARA, DATUK MOHAMMAD IBRAHIM Date: 21st July 2016 Time: 12pm–2pm Venue: Connexion Conference & Event Centre, Kuala Lumpur

BREAKFAST DIALOGUE WITH CEO OF KHAZANAH NASIONAL Date: August 2016 Time: 9am–11.30am Venue: To be confirmed

VIP LUNCHEON WITH DG OF MINISTRY OF HEALTH Date: September 2016 Time: 12pm–2pm Venue: To be confirmed

BUSINESS MATCHING FOR EUROPEAN SECURITY, FIRE AND SAFETY SOLUTION PROVIDER Date: 7th September 2016 Venue: KLCC

VIP LUNCHEON WITH DATO' IDRIS JALA Date: September 2016 Time: 12pm-2pm Venue: To be confirmed

EUMCCI REVIEW

SAFE, COMFORTABLE & FRIENDLY Jambatan Kedua Sdn Bhd (JKSB), incorporated on 9 July 2008 is wholly owned by the Minister of Finance Incorporated is the concessionaire to construct, manage, operate and maintain the Second Penang Bridge. JKSB is an ISO certified organisation with certification in QMS 9001, EMS 14001 and OHSAS 18001. It is also going towards certification of ISO 55001.

JKSB’s main office is located at Bukit Damansara, Kuala Lumpur and the bridge’s operations located at the Administration building in Batu Kawan. Launched under the Ninth Malaysian Plan, the Second Penang Bridge project will not only be providing an alternative route linking the Penang Island to the Mainland, but it is also seen as a catalyst for the socio-economic development and growth in the Northern Corridor Economic Region (NCER).

Jambatan Sultan Abdul Halim Mu’adzam Shah (JSAHMS) was officially opened by YAB Dato’ Sri Mohd Najib bin Tun Abdul Razak, the Prime Minister of Malaysia on 1 March 2014. Toll collections started on 1 April 2014.

Construction of JSAHMS started in 8th November 2009. It links Batu Kawan on the mainland to Batu Maung on the island and it is currently the longest bridge in Southeast Asia.

Jambatan Kedua Sdn Bhd 4th Floor, Bangunan Setia 1, 15 Lorong Dungun, Bukit Damansara, 50490 Kuala Lumpur. Malaysia Tel: +603-2084 5000 Fax: +603-2084 5103 Hotline: 1300-30-2828

www.jambatankedua.com.my aduan@jambatankedua.com.my /jsahmsofficial @jsahmsofficial

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