MITI seeks budget increase for SMEs to deal with Industry 4.0

KUALA LUMPUR: The Ministry of International Trade and Industry ( MITI) has sought an increase in in the budgetary allocation for small and medium enterprises (SMEs) to help them deal with the fourth industrial revolution ( Industry 4.0) and e- commerce.

Its Deputy Minister, Datuk Ahmad Maslan said this was one of the proposals MITI made when they took part in two dialogues on the 2018 Budget wish list chaired by Minister Datuk Seri Mustapa Mohamed.

“Once finalised by early next month, we will submit the proposals, including the amount needed to empower about 907,000 SMEs, to the Finance Ministry,” he told a press conference following the Bumiputera SME Readiness Towards Megatrend and Industry 4.0 Dialogue yesterday.

Ahmad described the level of awareness on Industry 4.0 and e- commerce among SMEs as moderate, and he hoped with increased allocation, they would become more competitive, innovative and resilient.

He said industry 4.0 adoption in the SME business activities would help increase productivity and production of high quality products at a much lower cost through a more flexible and efficient process.

Meanwhi le, SME Corp chairman Tan Sri Mohamed Al Amin Abdul Majid said megatrend such as Industry 4.0 and big data analytics were global economic development which would give varying impact to the economy, industry, businesses and the society.

“With Industry 4.0, the rise of the new digital technology industry symbolises a paradigm shi f t in revolut ionising manufacturing and production,” he said.

He called on SMEs to adapt their production processes with technological advancement and improve their workforce efficiency.

Under Budget 2017, RM5.87 billion has been allocated for SME development. — Bernama