Kota Kinabalu: Enforcement against the influx of foreign products will be a key focus of the Special Cabinet-Level Committee recently established to address misuse of social visit passes and the risk of an oversupply of foreign goods in the country.
Domestic Trade and Cost of Living Minister Datuk Armizan Mohd Ali said he raised the issue in the newly formed committee following concerns from various parties regarding the safety of the products involved.
He said the Cabinet also agreed with Domestic Trade and Cost of Living Ministry (KPDN) proposal that the same committee examine the risk of an influx foreign products into the country.
“The local Micro, Small and Medium Enterprises (MSMEs) raised their concerns over the entry of foreign goods into the country, either through online sales to consumers or imports by domestic and foreign investors for use in their projects and enterprises.
“This scenario is feared to pose the risk of an oversupply of foreign products in the domestic market, affecting locally produced goods and threatening the viability of local MSME businesses,” he said.
Armizan, who is also Papar MP, said this in a press conference after officiating the groundbreaking ceremony for the Kinarut Palm Avenue project developed by WSG Group here on Feb 7.
Also present were WSG Group Managing Director Datuk Susan Wong; Kawang Assemblyman Dato’ Sri Ghulam Haidar Khan Bahadar; Limbahau Assemblyman Datuk Juil Nuatim and 10Star Cinema Chief Executive Officer Onn Norshal Hamzah.
Armizan said there are also concerns regarding the standards and quality of foreign or imported products entering the country without comprehensive controls, particularly through online purchases, which could potentially impact local products.
“The influx of foreign products is affecting the market for local goods, especially MSMEs, and this is a concern for us because the government actively promotes the purchase and use of local products.
“We observe a growing tendency and risk of foreign goods flooding the market, possibly due to price factors. However, it is not solely about price — we must also consider the impact on local MSME businesses, including product quality,” he said.
Last Friday (Feb 6), Unity Government spokesman Datuk Fahmi Fadzil, who is also Communication Minister, announced the formation of a special committee or task force to address the misuse of social visit passes by foreigners and the oversupply of foreign goods in the local market.
Armizan said the Federal Finance Ministry will coordinate the committee, which will also include KPDN, the Ministry of Entrepreneur Development and Cooperatives (KUSKOP), the Home Ministry, the Housing and Local Government Ministry, and the Ministry of Investment, Trade and Industry (Miti).
In addition to Kuskop’s focus on MSME interests, he said KPDN addresses the issue from the perspective of safety, quality and standards of foreign goods.
He added that the matter is comprehensive and requires the involvement of other relevant ministries to ensure proper oversight and control.
“While Kuskop examines the issue from the MSME perspective, KPDN focuses on market sustainability, the health of the domestic market, and the importance of prioritising local goods.
This is KPDN’s core responsibility. On this basis, KPDN welcomes the establishment of this special inter-ministerial committee, as it is directly aligned with the agenda of encouraging and prioritising the purchase of locally made goods in the domestic market,” Armizan said.
He said the establishment of this committee is appropriate for coordinating, monitoring, and enforcing measures involving legislation and policy.