ПОЛИТИКА, ЭКОНОМИКА И ИННОВАЦИИ № 1 (30), 2020
УДК 338.45:678(595)
Shafa Ayuni binti Azman, student of the international faculty, Kursk State Medical University.
e-mail: [email protected]
RUBBER INDUSTRY IN MALAYSIA
Abstract: the article describes the rubber industry in Malaysia as one of the most important industries in the economy of the country. It examines the structure of export and the total output from the rubber industry.
Keywords: rubber industry, economy, total output
Шафа Аюни бинти Азман, студент международного факультета Курского государственного медицинского университета.
e-mail: [email protected]
РЕЗИНОВАЯ ПРОМЫШЛЕННОСТЬ В МАЛАЙЗИИ
Аннотация: в статье описывается резиновая промышленность Малайзии как одна из важнейших отраслей экономики страны. Исследуется структура экспорта и совокупного продукта резиновой промышленности.
Ключевые слова: резиновая промышленность, экономика, совокупный продукт.
The first rubber tree was planted in 1877 near the Kuala Kangsar District Office. There were nine trees planted and this was the only one which survived [1]. The rubber seeds were brought from Kew Garden in London to Singapore, then over to the mainland to Kuala Kangsar by H.N. Ridley [1]. He was the man responsible for
ПОЛИТИКА, ЭКОНОМИКА И ИННОВАЦИИ № 1 (30), 2020 turning Kuala Kangsar into the first rubber industry district in Malaysia [1]. Soon rubber became an important source of income for the country [1].
Malaysia has become the world fifth largest producer and exporter of natural rubber with the production of 0.67 million tons in 2014 [2]. Over last 10 years, contribution of Malaysian rubber industry to Malaysia export earning has increased significantly from RM15.5 billion in 2003 to RM33.7 billion in 2013 [2]. Due to its importance, Malaysian rubber industry is included in Malaysia National Key Economic Area (NKEA) [3]. Malaysia National Key Economic Area (NKEA) is an important driver of economic activities that has a potential to directly contribute to Malaysian Economic Growth measureable by Gross National Income (GNI) indicator and will assist Malaysia in achieving a high income status by 2020 [3].
Rubber manufacturers in Malaysia include local smallholders, plantations, and multinationals and joint ventures with the United States, Europe and Japan [5]. Malaysia has a total rubber area of 1.07 million hectares, out of which 7.21 percent is owned by plantation companies [5]. Ninety percent of production is accounted by smallholders who generally hold less than 40 acres of agricultural land [5]. This static remains a major concern for the industry as these smallholders tend to move to other economic activities when the rubber price goes down [5].
Malaysian rubber products are exported to more than 190 countries. USA and EU (EU28) remained the largest markets for Malaysian rubber products, accounting for a combined 55% share of total exports of rubber products [4]. Malaysia remains the world's leading supplier of medical gloves (examination and surgical gloves), supplying more than 50% of the global demand [4]. Malaysia is also one of the world's leading suppliers of new tyres, catheters, condoms and latex threads [4].
Picture 1 shows the gross domestic product (GDP) from the total rubber industry at constant 2015 prices in Malaysia from 2015 to 2018. In 2018, the gross domestic product from rubber was expected to reach approximately 2.83 billion Malaysian ringgit [6].
There is also a problem of the rubber industry in Malaysia. At present, the policies of the Malaysian Government are not as favourable to foreign investors as ISSN: 2414-0309 2
ПОЛИТИКА, ЭКОНОМИКА И ИННОВАЦИИ № 1 (30), 2020 previously. The government regulation, regarding benefits and wages to native workers, are more strict and the taxes are higher. The rubber planters also face the problem of surplus production because the huge areas are available for the rubber plantation which results in lowered prices and profits [7]. 5
4,5 4
3,5 3
2,5 2
1,5 1
0,5 0
2015 2016 2017 2018
■ GDP from rubber industry in Malaysia from 2015 -2017
Picture 1-GDP from rubber industry in Malaysia from 2015 to 2018, billion Malaysian ringgit
The abundant production of synthetic rubber in the USA and other countries has also given a great set back to marketing. But it does not mean that rubber plantation system will discontinue. As such, with an expanded role of the government in the management of the rubber plantation, the production of rubber in Malaysia will undoubtedly continue and perhaps even increase in importance [7].
In conclusion, rubber industry helps in increase the economy of Malaysia. It is the main industry which give impact to the economy and also plays an important role in economy. Government of Malaysia will continue to play its dominant role in world's rubber production and export.
References
1. Article: History of Malaysia's First Rubber Tree http: //www.wawasan2020.com/pk/interest/rubtree.html
2. Book: Rubber Pocket Book.
ПОЛИТИКА, ЭКОНОМИКА И ИННОВАЦИИ № 1 (30), 2020
Malaysian Rubber Board. Rubber Pocket Book. Kuala Lumpur: Malaysian Rubber Board; 2016
3. Sumormo S. National key economic area (NKEA): Shaping the Malaysian rubber industry for 2020. Rubber Technology Developments. 2012;12(2):3-8
4. Publication by Malaysian Rubber Export Promotion Council http://www.mrepc.com/industry/malaysia_production.php
5. Article: Malaysia for Model Sustainable Rubber Industry http://rubberasia.com/2017/11/28/malaysia-model-sustainable-rubber-industry-dr-zairossani-bin-mohd-director-general-mrb/
6. Publication by Statista Research Department http://www.statista.com/statistics/952711/malaysia-gdp-from-rubber-industry/
7. Article: Problems of the Rubber Industry http://kishore.asokans.com/information/rubber-cultivation-in-malaysia/