| Malaysia: Furniture manufacturers resist foreign worker levy hike |
| 08/04/2009 - 08:39 |
Malaysian furniture manufacturers appealed to the federal
government not to increase the levy on foreign workers
under the second stimulus plan, reported The Star. The
federal government had earlier announced that the current
levy imposed on foreign workers would be doubled in
order to create more employment opportunities for local
workers.
According to the president of the Malaysia Furniture
Entrepreneurs Association, Mr. Desmond Tan, the levy
would have an adverse effect on the furniture
manufacturing sector as most local workers are not keen to
take up employment in furniture production lines.
Furniture manufacturing is very labor intensive in
Malaysia and its survival dependent on foreign workers.
Mr. Tan said the government should reduce or abolish the
levy altogether as the global recession continues to bite
deeper into the industry.
Call for second stimulus plan to aid furniture sector
Furniture manufacturers in Muar, a major furniture
manufacturing zone with 200 factories in the state of
Johor, called on the federal government to put the second
stimulus plan of RM60 billion to work as soon as possible.
The Star reported that some manufacturers were beginning
to reduce working hours as well as cut production as a
result of the slowdown. RM15 million has been set aside
for the timber sector’s utilization and will be managed by
the Malaysian Timber Industry Board (MTIB).
FRIM area to be declared a national heritage
The Forest Research Institute of Malaysia (FRIM) and the
486 ha of man-made forest surrounding the institute will
be recognized as a national heritage in 2009, according to
its Director-General, Dr Abdul Latif Mohmod. As noted in
The Star, 15 million trees from 2,500 species are growing
in the institute’s man-made forests. The new
categorization of the forests will enable FRIM to further
enforce protection of its resources under federal laws.
Prices remain weak as timber market struggles
Prices of Malaysian timber products continue to be weak
as doubts over the second stimulus plan continue to affect
the private sector. According to local news sources, a bulk
of the stimulus package will be used to upgrade schools,
police-stations and mosques. Another portion may be used
to rescue government-linked companies. Some experts
fear not much of the funds from the second stimulus plan
may eventually filter down to the private sector, especially
to small and medium-sized industries.
Malaysia Log Prices
Malaysia
Log Prices
| Sarawak
log, FOB |
US$
per m³ |
| Meranti SQ up |
230-254 |
|
Small
|
211-242 |
|
Super small
|
199-224 |
| Keruing SQ up |
217-229 |
|
Small
|
187-218 |
|
Super small
|
161-192 |
| Kapur SQ up |
207-232 |
| Selangan Batu SQ up |
178-215 |
|
| Pen. Malaysia
logs, domestic (SQ) |
US$ per m³ |
| DR Meranti |
232-251 |
| Balau |
300-327 |
| Merbau |
326-361
|
| Rubberwood |
41-77 |
| Keruing |
216-232 |
| Peninsular
Malaysian meranti logs are top grade and are used for scantlings for
the EU. Their prices are higher than Sarawaks. |
Malaysia
Sawnwood Prices
| Malaysia
Sawnwood,
FOB |
US$
per m³ |
| White Meranti A & up |
282-313 ⇓
|
| Seraya Scantlings (75x125 KD) |
458-473 ⇓
|
| Sepetir Boards |
251-273 ⇓
|
| Sesendok 25,50mm |
357-375 ⇓
|
| Kembang Semangkok |
296-319
|
|
| Malaysian
Sawnwood, domestic |
US$ per m³
|
| Balau (25&50mm,100mm+) |
338-358
|
| Merbau |
483-535 ⇓
|
| Kempas 50mmx (75,100 & 125mm) |
266-306
|
| Rubberwood |
25x75x660mm up |
194-244
|
| 50-75mm Sq. |
236-268
|
| >75mm Sq. |
258-287
|
Malaysia Plywood Prices
| Malaysia
ply MR BB/CC, FOB |
US$
per m³ |
| 2.7mm |
417-479 ⇓
|
| 3mm |
393-423 ⇓
|
| 9mm & up |
338-410 ⇓
|
| Meranti ply
BB/CC, domestic |
US$ per m³ |
|
3mm
|
389-430 ⇓
|
|
12-18mm
|
323-352 ⇓
|
Other
Malaysia Panel Prices
| Malaysia,
Other Panels, FOB |
US$
per m³ |
| Particleboard Export 12mm & up |
230-253
|
|
Domestic 12mm & up
|
215-232
|
| MDF
Export 15-19mm |
285-317
|
|
Domestic 12-18mm
|
274-292
|
Malaysia
Added Value Product Prices
| Malaysia,
Mouldings, FOB |
US$
per m³ |
| Selagan Batu Decking |
551-561 ⇓
|
| Red Meranti Mouldings 11x68/92mm x 7ft up |
|
Grade A
|
567-580 ⇓
|
|
Grade B
|
518-527 ⇓
|
Malaysia
Furniture and Parts Prices
| Malaysia,
Rubberwood, FOB |
US$ per piece |
| Semi-finished dining table solid laminated top
2.5'x4', extension leaf |
58-74
|
| As above, Oak Veneer |
65-79
|
| Windsor Chair |
57-59
|
| Colonial Chair |
55-60
|
| Queen Anne Chair (soft seat) |
without arm |
55-63
|
| with arm |
55-64
|
| Chair Seat 27x430x500mm |
43-48
|
| Rubberwood
Tabletop |
US$ per m³ |
| 22x760x1220mm sanded & edge
profiled |
|
Top Grade
|
559-591 |
|
Standard
|
544-562 |
|
| (ITTO's Tropical Timber Market Report) |
 |
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