Steel Sector - Miti working on roadmap for steel industry

The International Trade and Industry Ministry (Miti) is currently working closely with the relevant government agencies and steel industry players to finalise on the roadmap for the future competitiveness of the strategic RM40bil local steel industry, said Boston Consulting Group (BCG) partner and managing director Nor Azah Razali.

Azah pointed out   that  should  the Government ’s  investment   for   the Economic Transformation Programme goes well as planned for Malaysia to be a fully developed nation, BCG forecast that by 2020, the local steel sector would be able to contribute 6.5% to the GDP and employed 225,000 workforce.

On the flat steel sector, she said BCG was of view that established local steel players have the opportunity to become more competitive and seize the regional captive markets.

On the BCG recommendations to MITI, she said the consulting group has put up three key initiatives for the Government to focus on, namely, (1) providing advantage access to selected imports such as exploit Malaysia’s iron ore potential; (2) enforce trade remedies and standards and (3) enhance the overall industry capabilities via the formation of Malaysia Steel Council (MSC) that will act as mechanism to close the critical gaps within the industry, and Malaysia Steel Institute, an independent body with authority from the Government to enforce standards.

- StarBiz