FAMA OPTIMISTIC ABOUT GULF MARKETS AND BEYOND

By Muin Abdul Majid

DUBAI, Feb 23 (Bernama) -- The Federal Agricultural Marketing Authority
(Fama) is upbeat about the opportunities available in the Gulf region and
beyond to market Malaysia's a wide array of fruits and agro-based products.

Fama northern regional director Mohamed Ariffin Awang, who is leading the
agency's team at Gulfood 2009 exhibition here, said this was based on
discussions with two new importers that took place ahead of the Feb 23-26
event, billed as the region's largest trade exhibition for food, drinks,
food service and hospitality equipment.

"They've expressed their readiness to import several containers of fresh
fruits every week as well as processed agro-based products from Malaysia.

"And what we're excited about is that one of them distributes to outlets
in about 80 countries. So it looks very promising," Mohamed Ariffin told
Bernama.

Fama is a marketing agency established under the Agriculture and Agro-based
Industry Ministry. It was set up as a statutory body in 1965.

Mohamed Ariffin, who is in charge of Fama's operations in Penang, Kedah and
Perlis, (three northern states in Peninsular Malaysia) said the first
consignment resulting from the talks in Dubai would commence on April 1 if
everything goes according to plan.

"This can be seen as an early victory for us and we're hopeful that more
orders will come our way from other parties during Gulfood 2009," he said,
adding that Fama would also take the opportunity to enhance business ties with
its existing four or five importers in this region.

He said prospective importers noted that Malaysia was in an
advantageous position, given that it was a Muslim country that gave much
attention to the "halal" principle.

Mohamed Ariffin said the task now was to organise production to meet the
demand for Fama's products.

"There is a need for us to ensure continuous shipments of quality products
that meet the required quantities," he said of the challenges ahead.

The Fama official said if everything was firmed up, "we will work
backward".

"We'll go back and discuss with the relevant departments and agencies on
how to increase production as well as meet up with farmers and small
entrepreneurs to tell them we're prepared to buy 100 percent of what they
produce," he said.

Mohamed Ariffin said those who were looking for jobs or had lost their jobs
due to the current economic downturn should consider venturing into agriculture
and entrepreneurship.

"They should take advantage of various schemes created by the government to
enable people to do just that," he said, adding that this was in line with the
government's intention to turn agriculture into an engine of growth for
Malaysia.

"Come and talk to Fama. We can advise on what to be done, the kinds of
fruit trees that need to be planted, the quantities that we want and so on. If
they follow our specificications, God willing, we'll buy what they produce 100
percent," he said.

At the same time, Mohamed Ariffin said they should neither easily give up
nor become too dependent on government's help if they were to become successful.

On another matter, he said relevant bodies like MASkargo should consider
reducing air freight charges imposed on fresh produce exported by Malaysia.

"We think that the charges are steep compared to some other countries and
this is one of the reasons why we have to sell such products at higher prices
in places like Dubai," he said.

He said agencies like Fama are being squeezed into a corner as they had no
choice but to use air cargo to ship products overseas.

"If the charges could be reduced, we'd be able to market our products at
more competitive prices," he added.

-- BERNAMA