Speech by Minister Lim Hng Kiang at the groundbreaking ceremony of Nusajaya Tech Park, Johor

Yang Berhormat Dato’ Sri Mustapa Mohamed, Minister of International Trade and Industry, Malaysia

Yang Berhormat Datuk Tee Siew Kiong, Chairman of Johor’s Tourism, Trade and Consumer

Tan Sri Dr Ahmad Tajuddin Ali, Chairman of UEM Sunrise Berhad

Mr Manohar Khiatani, President and Group CEO of Ascendas Pte Ltd,

Excellencies,

Ladies and Gentlemen,

Introduction

1.       A very good morning to all of you. It gives me great pleasure to join you today for the groundbreaking ceremony of the Nusajaya Tech Park. I would like to extend my heartiest congratulations to the management and the staff of Ascendas and UEM Sunrise on this very significant milestone.

2.       Based in Singapore, Ascendas is Asia’s leading provider of business space solutions. It has more than 30 years of experience, serving a global clientele of over 2,400 customers in 25 cities across 10 countries. UEM Sunrise is the flagship company for the development of Nusajaya, one of the key nodes in Iskandar Malaysia. The successful partnership of Ascendas and UEM Sunrise in their development of the Nusajaya Tech Park serves as a testament to an exemplary model of bilateral collaboration between companies of Malaysia and Singapore.

3.       I am also heartened to learn that the Nusajaya Tech Park is the first integrated tech park in Malaysia to be awarded Singapore’s Building and Construction Authority’s Green Mark for Districts – Gold Award. This is an indication of the excellent quality, standards as well as environmentally-friendly features that have been incorporated into the design of the park.

4.       When fully completed, the Nusajaya Tech Park will cater to multinational corporations, as well as small and medium enterprises in key growth industries, such as precision engineering, electronics, light and clean manufacturing, and warehousing and logistics. I understand that the Park is expected to support some 200 enterprises and a business community of more than 20,000 people.

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The success of Nusajaya Tech Park will provide further impetus to the development of IM.

Strategic Importance of Iskandar Malaysia

5.       Iskandar Malaysia is strategically important for both Malaysia and Singapore. It not only contributes to greater cooperation between our two countries but also the integration of both economies. Indeed, we have and will continue to jointly develop industries with synergistic activities in both Singapore and IM.

6.       Substantial progress has been made in Iskandar Malaysia. It has attracted close to RM 132 billion in investment commitments as of December last year, with Singapore emerging as the top foreign investor, contributing close to 23 per cent of its total foreign investment.

7.       The proximity between Singapore and Iskandar Malaysia provides the opportunity for investors to position their full value chain of business and manufacturing functions across both locations, hence spurring the development of complementary industries. With the right mix of industries and enhanced connectivity, there is potential for both countries to develop a seamless economic space. I encourage Singapore companies seeking to venture overseas to consider IM as an option.

Strong Bilateral Relationship Between Singapore and Malaysia

8.       Ladies and gentlemen, Singapore and Malaysia enjoy a deep and longstanding relationship. This is underscored by the recent State Visits and the successful 5th Malaysia-Singapore Leaders’ Retreat held in Putrajaya in April this year. During the recent Leaders’ Retreat, both Prime Ministers reaffirmed their commitment to a stronger and mutually beneficial partnership between our two countries.

9.       Over the years, bilateral trade, investment and people-to-people flows have seen steady growth. In 2013, Malaysia remained Singapore’s top export destination while Singapore was correspondingly Malaysia’s top export destination. Singapore is also the 3rd largest investor in Malaysia’s manufacturing sector

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, with manufacturing investments reaching RM 4.5 billion, double that in 2012.  Close people-to-people relationships have continued to bolster our strong economic ties. The completion of High Speed Rail (HSR) will further facilitate seamless travel between Kuala Lumpur and Singapore, enhance business linkages, and bring both countries even closer together.

ASEAN Economic Community & Regional Comprehensive Economic Partnership

10.     At the multilateral level, Singapore and Malaysia are also working closely to realise initiatives such as the ASEAN Economic Community (AEC) and the ongoing Regional Comprehensive Economic Partnership (RCEP) negotiations. Negotiations have begun and both initiatives serve to deepen regional economic integration and aim to transform the region into a single market of 600 million people and a productive base with a high competitive advantage. Next year, Malaysia will take over the ASEAN Chairmanship. We look forward to continue working closely with Malaysia and other ASEAN Member States on realising the AEC and working towards the conclusion of RCEP negotiations.

Conclusion

11.     Ladies and gentlemen, I would like to congratulate Ascendas and UEM Sunrise once again on the successful launch of this Tech Park. I wish you every success and look forward to the opening of the park soon. Thank you very much.

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Source: Ascendas Pte Ltd

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Source: Malaysian Investment Development Authority (MIDA) Investment Performance Report 2013.