The traceability system ensures that products copyright and interest are protected

By LYDIA NATHAN / Pic By MUHD AMIN NAHARUL

Local exporters are urged to apply for the China Certification and Inspection Group Co Ltd (CCIC) traceability system for a faster access into the vast Chinese market.

Deputy International Trade and Industry Minister Dr Ong Kian Ming said this service, developed by CCIC, is able to provide a full supply chain of traceability information, from production to consumption.

It allows consumers to scan and generate a QR (quick response) code using a mobile phone, where they then can verify the authenticity of a product within three seconds, as well as provide information including specifics like manufacturing dates and exact location. The system also ensures that copyright and interest are also protected.

“It will be used mainly for food products because safety is very important in those products.

“We have heard news of fake products circulating in the media, and we want to overcome it but also ensure the products are given the good reputation it deserves,” he told reporters at the “Speed up your market access to China via CCIC Malaysia” seminar in Kuala Lumpur yesterday.

Ong added that he is confident that more export opportunities await Malaysian companies under the current leadership of Prime Minister Tun Dr Mahathir Mohamad.

He said with the new code, the inspection and verification of products will be done before their arrival at ports, expediting the process required by the Chinese inspection authority, General Administration of Quality Supervision, Inspection, and Quarantine of the People’s Republic of China.

“There is a certain amount of testing required for the export products there. Trade in China currently is massive, it amounts up to RM2 billion in exports and imports. For food products, the percentage is smaller but the opportunities are endless.

“We have not even gone into the second-and third-tier cities, so we are looking at double-digit growth for companies that have not ventured into the Chinese market yet,” Ong said.

Between January and May 2018, Malaysia’s trade with China increased by 5%, reaching RM122.35 billion compared to the same period in 2017, while exports went up 6.2% to RM53.12 billion.

Imports from China increased by 4% to RM69.23 billion.

Malaysia External Trade Development Corp CEO Dr Mohd Shahreen Zainooreen Madros said the system will improve brand image and enhance the product’s value.

“To date, only four local companies are using the system. We hope more companies that are planning to enter China or are already there will use it to strengthen their products’ credibility,” he said.

Meanwhile, Ong said the ministry will continue to monitor the trade war between the US and China, but for now, the impact seems relatively minimal based on the first round of tariffs imposed so far.

He said the Ministry of International Trade and Industry has set up a task force to monitor the situation, which includes various stakeholders and agencies like the Malaysian Investment Development Authority.

“We are concerned but we receive weekly updates on the impact and we will keep an eye on it,” he said.