Bionexus firms’ revenue to grow 20 pct by 2020

KUALA LUMPUR: Bioeconomy Development Corp expects revenues of BioNexus-status companies to jump 20 per cent by 2020.

Chairman Tan Sri Zakri Abdul Hamid said the companies recorded over RM1.18 billion in revenue until the third quarter of 2016 from RM1.1 billion in the corresponding period of 2015.

“The corporation aims to increase the number of BioNexus companies to over 300 companies this year,” he said at the launch of the Bioeconomy Day here yesterday by Deputy Science, Technology and Innovation Minister Datuk Wira Dr Abu Bakar Mohamad Diah.

Zakri said there were 278 BioNexus companies as at the fourth quarter of 2016.

BioNexus is a special status awarded to qualified international and Malaysian biotechnology companies.

The status entitled the companies for fiscal incentives, funding assistance and other guarantees to assist the companies in their respective fields.

Meanwhile, Abu Bakar said under the 11th Malaysia Plan, Malaysia’s bioeconomy model would integrate a whole value chain approach in all its programmes and initiatives.

“This would include the Bioeconomy Transformation Programme, BioNexus Status Programme and Bioeconomy Community Development Programme,” he said.

They include 61 trigger projects, spearheaded by Bioeconomy Development Corp, providing more than 26,500 job opportunities and cumulative investments of over RM18.6 billion in 2020.

The deputy minister said these high-impact projects, aimed at generating a total gross national income of RM6.2 billion, would contribute towards the capital economy, drawing the nation closer to a developed- nation status.

In addition, BCDP projects would drive societal development of people economy, improving the household income of the B40 (Bottom 40) group, currently 28 projects have been implemented in various stages.

“BCDP projects are expected to create an additional monthly income of RM4,500 per farmer,” he said. — Bernama