Miti unveils initiatives to strengthen industrial supply chain

Miti highlighted the importance of digitalization to improve supply chain resilience and gain competitive advantage in the global market.

KUALA LUMPUR: The Ministry of Investment, Trade and Industry (Miti) will implement preventive measures to address potential supply chain disruptions, including the development of a platform to improve traceability, thereby ensuring the resilience of Malaysia’s industrial supply chain.

Miti also plans to implement initiatives that provide centralized access to guidelines, funding opportunities and support programs, while promoting knowledge sharing among industry players.

These measures were decided at the sixth meeting of the National Investment Council (NIC), which focused on “Building Economic Security through a Resilient Supply Chain,” the ministry said in a statement.

Its Minister, Tengku Zafrul Aziz, stressed the need for responsive strategies to manage and recover from supply chain disruptions, citing the findings of his engagement sessions with industry stakeholders and bilateral and multilateral cooperation.

He said the global supply chain is the lifeline of the global economy, with interconnected systems that complement each other.

“Supply chain security ensures the smooth flow of goods, services and inputs across borders and promotes economic growth and universal prosperity.

“The Covid-19 pandemic has served as a wake-up call, exposing vulnerabilities and highlighting the importance of a resilient and efficient industrial supply chain,” he said.

As an open economy, Malaysia is particularly susceptible to supply chain disruptions caused by global geopolitical events and natural disasters, Miti noted.

To maintain the competitiveness of the Malaysian economy, Miti is committed to ensuring that the domestic industrial supply chain remains resilient and secure against future disruptions, the minister added.

The ministry stressed the importance of a multi-pronged approach to strengthening the resilience of the global supply chain.

“Collaboration between governments, businesses and international organizations is essential to facilitate information sharing, coordinate responses and develop uniform standards.

“This includes leveraging technology, diversifying sourcing options, promoting regional cooperation and improving flexibility as key strategies to strengthen supply chains against disruptions,” MITI said.

MITI also highlighted the need for digitalization to strengthen supply chain resilience and security, drive innovation and provide a competitive advantage in an increasingly complex global marketplace.

“By embracing digital technology, Malaysia can enhance its ability to prevent and respond to disruptions, implement robust security measures, and streamline operations for greater efficiency and agility through digitalisation, including systems, applications and virtual centres of excellence,” the ministry explained.