Levy exemption urged on concrete products

Extracted from the Star Publications, 12/04/00

The FMM Concrete Products Industry Group (FMM CPIG) under the Federation of Malaysian Manufacturers has proposed that the goods vehicle levy on concrete products be exempted to boost their exports.

It said in its memorandum that the 14 construction materials related products had been granted with 50% levy exemption since June 3 last year.

However, it said that there were many other construction concrete materials exported to Singapore which had not been granted this levy.

FMM CPIG proposed that the levy be lifted for nine concrete products including tunnel lining segments, precast building components and reinforced concrete square piles in anticipation that an increase in exports would more than offset the loss in the collection of levies.

In another memorandum, the FMM Malaysian Ceramic Industry Group (FMM MCIG) proposed that the import duty and sales tax on alumina balls be abolished.

It also proposed that the government should abolish the 10% sales tax on clay roofing tiles as it was affecting the promotion of these tiles as a superior and alternative roofing material in Malaysia.

FMM MCIG said the government should formulate a stable price structure for natural gas for industrial users that are benchmarked against a comparatively stable energy equivalent representation of market value and should be lower than the hydrocarbon value.

Meanwhile, the FMM Aluminium Manufacturers Group of Malaysia (FMM AMGM) in a memorandum proposed an export ban on all aluminium scrap exports.

It said the proposal was needed as statistics showed that the aluminium scrap available in the country was depleting and insufficient to cater to the industry's needs.

It also requested MITI's assistance in helping aluminium product manufacturers obtain natural gas at lower cost as the industry would welcome any government assistance in developing competitiveness against ASEAN aluminium product manufacturers.

On the shortage of skilled and experienced labour, FMM AMGM proposed that the current labour contract for skilled foreign workers be extended from six years to a maximum of ten years.

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