Positive future: Phua (second right) presenting a token of appreciation to Chan (centre) as (from left) Wang, Chua and Kwok look on during the SOBA Association Hosting for MRCA at Menara Star, Petaling Jaya. — FAIHAN GHANI/The Star
PETALING JAYA: Retailers have been urged by the Malaysian Retail Chain Association (MRCA) to safeguard members’ interests, remain cost-efficient and embrace technology to stay competitive.
Speaking at the Star Outstanding Business Awards (SOBA) 2025 association hosting event for MRCA, its president Datuk Dr Ken Phua called on members to upskill their workforce and adopt artificial intelligence (AI) in their operations.
Touching on the broader economic outlook, Phua said the association was concerned about the expanded Sales and Service Tax and its impact on members’ operating costs.
“Together with the Malaysia Shopping Malls Association, we have urged the government to consider the higher direct and indirect costs faced by our members,” he said, while noting that the authorities have been open to dialogue on such issues.
“We must manage our costs carefully and take advantage of the opportunities announced in the Budget,” Phua said at the event held at Menara Star on Oct 15, which was co-hosted by Great Wall Motor.
Among those present were Star Media Group (SMG) group chief executive officer Chan Seng Fatt, chief operating officer Lydia Wang, MRCA honorary lifetime presidents Shirley Tay, Datuk Seri Nelson Kwok and Datuk Seri Garry Chua.
Also in attendance were RHB Bank Bhd commercial banking business centre head Lee Chee Howe, U Mobile corporate segment enterprise head Datin Esther Chang and mid market head Beh Ai Ching, along with other corporate partners.
Phua noted that Malaysia’s debt-to-GDP ratio is targeted to be reduced from 3.8% this year to 3.5% in 2026, while the retail sector is projected to grow between 2.7% and 3% this year, supported by strong performances in department stores, convenience stores, fashion and online retail.
The food and beverage as well as pharmaceutical segments are also expected to remain resilient.
On the policy front, Phua welcomed government incentives such as the 10-year income tax exemption for food production companies and RM20mil in rebates for energy-efficient equipment.
He encouraged businesses to cut costs and support sustainability goals by investing in solar energy and other green initiatives in line with environmental, social and governance practices.
Phua also highlighted opportunities from the Visit Malaysia 2026 campaign, which aims to attract 47 million visitors and is supported by RM700mil in tourism-related allocations, a move he said would benefit retailers and related industries.
The event also featured a recap of MRCA’s activities and membership updates, with new members from August to October receiving certificates.
Announcements were made for upcoming programmes, including a visit to Shenzhen, China; the MRCA Foundation enrolment drive; an AI course for retailers; the MRCA 33rd Anniversary Dinner; and the MRCA Academy Scholarship programme.
Presentations were conducted by SMG, Capillary Technologies, U Mobile, and the National Institute of Occupational Safety and Health.
The event concluded with the signing of a memorandum of understanding between MRCA and the Malaysia University of Science and Technology.
SOBA 2025 is organised by SMG with Credit Guarantee Corporation Malaysia Berhad, PKT Logistics Sdn Bhd, RHB Bank Bhd and U Mobile Sdn Bhd as main sponsors; Great Wall Motor Sales Malaysia Sdn Bhd as co-sponsor; Malaysia External Trade Development Corporation as the official trade promotion partner; and SME Corp Malaysia as supporter.
The awards are audited by BDO, with radio stations 988 and Suria as official media partners.
For details, call the SOBA hotline at 017-231 1789 or visit www.soba.com.my. Submission for SOBA 2025 closes on Nov 10.
The next SOBA event, SOBA Elevate, will be held on Nov 3.
