The Government has identified seven categories in the machinery and equipment sector for special incentives so as to encourage their local manufacture, Deputy International Trade and Industry Minister Datuk Mah Siew Keong said.
Companies proposing to manufacture machine tools, plastic injection machinery, plastic extrusion machinery and packaging machinery are eligible for incentives such as pioneer status or investment tax allowance, Mah said in his keynote address at the opening of Machine Tools Show 2005 (MTS 2005) in Kuala Lumpur yesterday.
He said material handling equipment, robotics and factory automation equipment and specialised/process machinery or equipment for a specific industry were also eligible for such incentives.
He said there was lack of investment in these sectors and hopefully the incentives would attract more funds soon.
Last year, the International Trade and Industry Ministry approved a total of 81 projects, valued at RM406.8mil, versus RM638.8mil (70 projects) in 2003.
A total of 1,100 local and international manufacturers and distributors are participating in the four-day exhibition at the Putra World Trade Centre, which began yesterday. Bernama