Malaysian Investment Development Authority (MIDA), the government’s principal investment promotion agency, emphasized that Malaysia should tap into the circular bio-economy as it has an ample biomass feedstock of up to 100 million tons. Malaysia is emerging as a new source of bioresources and a site to scale up cutting-edge biotechnologies, attracting global bio-based companies.
Chief Executive Officer of MIDA, Arham Abdul Rahman, said the agency is open to collaborating with the right partners that are interested to make Malaysia their next investment destination. The country possesses a thriving and robust agricultural sector that generates renewable biomass and other by-products. It is also one of the top producers of fossil fuel plastic products, with sales of MYR 48.46 billion (USD 11 billion) and exports of MYR 13.3 billion (USD 3 billion) in 2020. By utilizing sustainable biomass resources, the country has the potential to become a major producer of green hydrogen and other sought-after biofuels such as Sustainable Aviation Fuel (SAF).
According to the National Investment Aspirations (NIA) strategy, Malaysia is particularly focused on the manufacturing of higher-value bio-based products, rather than just exporting the raw feedstock or materials. Arham further mentioned that to ensure long-term viability and sustainability, biomass feedstock in Malaysia will need to address areas such as certification and transparency to attract potential business opportunities. The industry must be able to convert resource availability into actual feedstock while developing a conducive ecosystem. He noted that a circular economy will assist in remodeling operations and increasing competitiveness for the local value chain and future-proof the economy. Along with economic feasibility, the projects must also be anchored in all aspects of the Environmental, Social, and Governance (ESG) pillars.
(Sources: Malaysian Investment Development Authority; Free Malaysia Today)
