Penang open for business at very attractive rates?

33
526

Blog reader Michael wrote this in response to the drive to open up Penang to Big Business from foreign shores.

Michael writes:

It is interesting what politicians will say to a foreign audience and not to a local audience.

“We are putting ourselves on the map – that Penang is open for business, and you can set up your plants here at very attractive rates.”

What does this mean exactly?

(Keeping) wages of factory workers (low) in Penang to enable “very attractive rates”?

Tax free incentives, suspended ground rents, low electricity/water tariffs, to enable “very attractive rates”?

Both the above exploit local populations, low wages and low taxes mean big profit that will return to foreign shores, the crumbs are left behind to clean up the pollution and environmental damage resulting from this exercise in futility.

There are so many examples around the world of multinational corporations demanding extremely favourable conditions from a host country … or they either won’t come or threaten to leave.

Currently the economic god seems to be the need for foreign investment (to fuel endless economic growth) and the mantra from governments is if we don’t win the race to get as much as possible, we will get left behind. Fear is a driving factor behind this gullibility and it is stoked and made to roar by the multinational corporations themselves.

This is the blind leading the blind to eventual environmental and societal destruction.

While a quiescent population slumbers on, the state and national politicians run hard and fast with their beautiful earth, Penang being a special corner of it.

READ MORE:  Workers' Day blues: When food prices make your stomach churn

Fortunately,among the sleeping millions, many awake and sound the alarm and make suggestions:

Maybe we have been sold a myth:

– endless pursuit of wealth actually is not the road to a richer life

– Cooperation not Competition should be at the heart of any decision-making

– People Power is not weak but stronger than the Power of Money

– that we actually do not need the latest gadgets, the latest cars, the latest everything

– that to live simply is not stupid but an extremely intelligent way to a good healthy life

– that grabbing people’s land is wrong

– that brain-washing people is criminal

– that, that, that…..

Please help to support this blog if you can.

Read the commenting guidlelines for this blog.

33
Join the conversation

avatar
2000
12 Comment threads
21 Thread replies
0 Followers
 
Most reacted comment
Hottest comment thread
16 Comment authors
Uncle JockStylo LoganSupercallyKennyKKK Recent comment authors
  Subscribe  
newest oldest most voted
Notify of
Uncle Jock
Guest
Uncle Jock

People should stop relying on cheap foreign labour!

lst
Guest
lst

Good to see that the Penang exco has banned foreigners from being employed as cooks at hawker stalls, in a move to preserve the state’s food heritage. 87% of people surveyed supported the proposal. Penangites will in time to come be paid well to pursue a career as a street food cooks.

lst
Guest
lst

In the borderless world, one can dream big and bring our talent beyond our own shore. China is a big market and knowing Mandarin is certainly an asset.

Shila Amzah knew this to base in Shanghai and sing Chinese songs. Of course this has make Utusan unhappy when Shila returned home for a mini concert singing mostly chinese songs, as reported on TV3 Melody gossip show recently.

Stylo Logan
Guest
Stylo Logan

Malays should learn Mandarin for the reason you mentioned. The Malays somehow like K Pop and dramas from Korea but fail to realize that they have opportunity to learn Mandarin in SJK vernacular schools in Malaysia to gain the asset. A pass of BM at PMR is good enough to get you by in daily conversation and communication with the civil service, no added advantage even if you have distinction in BM at STPM.

lst
Guest
lst

Penang’s favourite son Jho Low is brokering the deal for Adidas to take over Reebok. Perhaps he could make Penang the opetation centre for Adidas?
http://www.therakyatpost.com/business/2014/10/20/abu-dhabi-bid-reebok/

LSP
Guest
LSP

JL only does his CSR (Corporate Social Responsibility) when called upon by BeEnd eg before election to provide… entertainment (K-Pop at Han Chinag).
Hie Jynwel Capital private equity is based in Hong Kong and now he is collaborating with Abu Dhabi government (as advisory) to buy Reebok from Adidas worth RM7.2 Billion !
Gerakan can call upon him to thrash Pakatan in Penang with promises to be revealed later ?

Kenny
Guest
Kenny

We are proud of our 14-year old Penang girl 李佩玲 who is featured in 中国梦想秀 (Chinese Dream Show) in China recently:

LSP
Guest
LSP

this talented girl being polished by Astro and now export to Bigger World in China to gain wider audience — she’s a better ambassador than Michelle Yeo or Jimmy Choo to win back tourists from China.

she is adopted by Chinese parents when her Indian parent deserted her for reasons unknown to audience. However, she is truly a 1Malaysia singing good mandarin song to vow the world !

Stylo Logan
Guest
Stylo Logan

Such talent is never recognised in Bolehland. What a waste. So it is natural that they seek their dream in foreign land where their talents are appreciated with no concern for the color of their skin.

herman
Guest
herman

NTV7 news at 5.30pm today: Najib at Geralkan assembly said DAP did not build affordable homes but bring congestion to Penang, and little investment compared to Gerakan era. Najib must have read the comments of Yang, tunglang and ananars in this blog?

But how to believe our PM when he also said BN and Umno menolak extremism. Strangely Gerakan folks did not ask him why Ibrahim Ali was not charged under their beloved Sedition Act for his threat to burn Bibles?

tunglang
Guest

You must be living in your own myopia world with Niau Kong incense.
Penangites who are not happy are not made of 3-some.
You go walk the market place & gauge for yourself.
As for investment, who are you to say that some are against it just b’cos of development issues which affects the environment, manipulation of property pricing & a host of related problems.

Comment like an adult & not shoot like some trolls with no common senses but idolising beyond believe.

Xiao B
Guest
Xiao B

Stupid to blame the local government when such problems are aplenty in other states as well. It shows the ignorance and poor understanding of current issues.

tunglang
Guest

Can’t blame you for your rote-learning of George W Bush’s “you’re either with us, or against us” propagated by your fear-inducing & hate-playing idol Niau Kong.

kenny
Guest
kenny

“you’re either with us, or against us” is adopted by Najib. Otherwise why he would he told the chinese that you cannot expect BN to hand you goodies if you continue to vote for Pakatan?

Kim Cheong
Guest
Kim Cheong

NTV7 News at 5.30pm is targeting at Chinese audience to provide feel good factor to the chinese on Najib. But the reporting and emphasis of the event is reported differently on TV3 or NTV7 Malay news focusing on hitting at Pakatan, with little mention of moderate way to soothe the Chinese.

LSP
Guest
LSP

Penang will boost its efforts to draw more Singaporean investors following its recent partnership with the republic’s Temasek Holdings to develop a RM11.3 billion business and a technology hub.-
PDC and Temasek are forming a joint venture company to develop the Penang Technology Park (PITP) and BPO Prime complex in Batu Kawan and Bayan Baru respectively. EDIS is providing project management services for the venture.

http://www.themalaysianinsider.com/malaysia/article/penang-woos-singapore-investors-following-temasek-deal#sthash.aBlFNi7J.dpuf

lazlo
Guest
lazlo

Generation X folks in Penang are now in their 50s nearing or reaching retirement age. They may have benefited from the manufacturing boom of the 90s during the peak of their career. But manufacturing sector in Penang island is at sunset as Malaysia could not leap into higher value manufacturing with R&D because on constant reliance of low wages advantage with foreign labour. Problem is caused by poor education policy that produced low quality workforce while good graduates are readily absorbed by Singapore. Many Generation X folks are compounded by mid-life crisis as Penang is making the long delayed and… Read more »

checkmate
Guest
checkmate

MITI limiting FDI opportunities in Penang to put pressure on CAT so that Grk Teng can make inroads in next GE?
LGE on road trip to Taiwan n Spore to encourage investment minus the under table practice that drive away serious investors?

lst
Guest
lst

LGE alleged MIDA failed to act on state letters for support or follow up on potential investments and that Mida’s neglect had become serious enough that a large international firm was giving up interest in Penang and Malaysia because of delays.

It is not just about lack of referal. It is (allegedly) sabotaging investors sourced by the Penang State Government.

herman
Guest
herman

Many small towns in Malaysia are desperately seeking for external injection of fund (via foreign investment or tourist dollars) to raise the income of the residents, without which will mean their children leaving for cities for jobs. This is an economic reality that some Penang islanders tend to forget or choose to ignore. Before questioning the coming of big business from foreign shores, one should first ask if there is enough local talents in Penang with creative and entrepreneur abilities to generate the value-added business buzz via breakthrough in product design/creation. I can say the rote-learning education system in Malaysia… Read more »

ttt
Guest
ttt

sorry a tad off tangent. see below t prevailing global oil prices, Malaysians are not only unsubsidised for RON95 but paying higher than market prices, Perak DAP said. Its economic bureau chief Chong Zhemin said that this is as global petrol price was at US$84.47 (RM277) yesterday. Citing AmResearch analysis, he said, RON95 prices should be RM2.30 per litre without government subsidy if global oil price is US$84.80 (RM278). Now that it is US$0.53 (RM1.74) per barrel lower than that, he said, “Malaysians are now effectively paying fuel tax for RM95”. Chong added that AmResearch had estimated that global oil… Read more »

Supercally
Guest
Supercally

ttt : Don`t be brainwashed by those external and opposition articles. Per liter is about RM1.74 and this is black unrefined oil. Have you count the cost of transporting this black oil to the refinery, the cost of refinery, the cost of transport of refine oil to the petrol station and the commission to the petrol station owner. And most important what about the profit to the oil company. Do you think 2.30 – 1.75 = .RM0.55 will be able to cover for all the above cost. ?????. Just the petrol station commission of 8% will come to about RM… Read more »

Orang Bunian Tak Di Jajah
Guest
Orang Bunian Tak Di Jajah

Who is hard pressed in terms of investments from MNCs or from local rich fellas?
Who makes the decisions to invite foreign investments with all the attractions laid out on the nego tables on behalf of local citizens who may or may not depend on job opportunities from them?
Who knows exactly what the locals want?

To pander to foreign corporations just bços job creations is their turfs is preposterous.
Why not sell Penangites like sweat shop slaves as did the Europeans and Arabs sold Africans to the New World America?
History is repeating itself in the guise of global consumerism.

georgina t
Guest
georgina t

orang bunian better come to penang island to enjoy chendol. locals cannot afford price increase at RM3.90 at Prangin Mall teochew chendol. Do come over to keep the business alive while we locals continue to stand enjoying chendol at the lorong with fresh air blowing from chowrasta market 🙂

KKK
Guest
KKK

Penang Road Famous TeoChew Chendol on iWalker:

Ed G
Guest
Ed G

Penang was once rife with unemployment and crimes until Dr.Lim Chong Eu, with his foresight, decided to create Free Trade Zones with tax free incentives to encourage foreign companies to set up manufacturing plants with the capacity to provide employment to huge number of the island’s populace. This set the pace for the growth and prosperity for the island as these foreign investments not only hired many people but also opened up opportunities for many layers of supporting industries and businesses. The initiative was so successful to the point that the people from other parts of the country moved to… Read more »

Ed G
Guest
Ed G

Aren’t the giant multi-national corporations the market leader in terms of wages, benefits and work environment in this country to the point that many SMEs or even smaller foreign business set-ups are hard pressed in trying to keep up with them?

lst
Guest
lst

If Michael has his wishes granted, I cannot guarantee if his children will choose to stay in Penang or move to other cities for jobs and the lifestyle of the young generation. This is a reality of generation gap.

tunglang
Guest

If Michael teaches & guides his children well, there will be more like-minded Michaels living in Utopia Penang (not CosmoKapitan Penang).
All said, there will be more senses to live a happy, good & balanced life.

charleskiwi
Guest

That is the only attraction Malaysia has to offer to foreign investors and it has nothing else to, but don’t forget that under the table practices are a must in Malaysia if one plans to survive and don’t forget to include them in your budget.

herman
Guest
herman

You are right. Look at Iskandar Johor where land and sea (for reclamation) are offered to foreign developers to build expensive homes that the local cannot afford.

lst
Guest
lst

The Malaysian Insider has reports that average Johor folks could not afford the new homes, 8 years after all the hypes of Iskandar development.

Kenny
Guest
Kenny

The upcoming mixed-use development in Penang by Temasek and Penang Development Corporation (PDC) is targeting international companies as tenants in a bid to bolster Penang’s role as a major business process outsourcing (BPO) hub. The Economic Development Innovations Singapore Pte Ltd (EDIS) said that it hopes to draw international names to set up shop in the 2.7 hectare mixed-use site, which is about seven minutes’ drive from the second Penang bridge and the Penang airport. Known as BPO Prime, the project in the Bayan Baru township will have a total gross development value (GDV) of S$500 million when completed in… Read more »