There are seven MSC flagship application programmes to roll-out before 2020:
- electronic government
- multipurpose card development – the card integrates identity, driving licence, immigration and medical information and two optional applications
- Smart School – transforming teaching-learning practices and school management. Due to be completed by 2010
- telehealth - a multimedia network linking all health industry players
- research and development clusters to promote the development of next-generation multimedia technologies
- e-business
- technopreneur development to encourage the development and growth of Malaysian world-class small to medium ICT enterprises.
Other programmes include: a National E-Commerce Framework, 3G mobile technology, enhanced telecommunication services and a national broadband plan.
The Malaysian ICT industry is very competitive. Major international ICT players operating in Malaysia include Microsoft, IBM, Intel, Sony-Ericsson and Nokia. Many have established offices in Malaysia to provide technical support. Some have set up manufacturing facilities or have joint ventures with Malaysian companies.
United States firms dominate the hardware and software markets. There are also niche market players from countries such as Korea and Taiwan. India is increasing its market presence through specialised software and system integration services.
Getting your product into market
New Zealand ICT exporters are encouraged to work with an appropriate local company. The partnership could be a distributorship or agency agreement, joint venture or strategic alliance.
Generally, ICT products in Malaysia are distributed to end-users through value-added resellers or distributors. In some cases end-users may purchase ICT products directly from the supplier.
Working with local companies helps secure local government tenders as well as private sector projects. Local partners have appropriate marketing and technical support skills along with established in-market contacts and distribution facilities.
The government sees the technology transfer from foreign companies to local partners as a vital aspect of any working arrangement, especially for major government projects.
Regulations
There are no import duties or sales tax imposed on computers, components and software products; however some products require specific import licences.
Telecommunication and radio equipment face import duties ranging from 0-20 percent. Some of this equipment must be type-approved before getting an import permit.
A withholding tax is imposed on fees from consultation services or technical advice rendered in Malaysia by a non-resident company.
Opportunities
- The government’s drive to develop the capability of companies in Malaysia, and promote products and services to countries in the Middle East and Southeast Asia, provides an avenue for New Zealand companies to establish inroads into other markets through Malaysia.