Malaysia Bird-Nest IndustryMalaysia Bird-Nest Industry

Inexhaustible Sustainable Inexhaustible Sustainable Natural ResourcesNatural Resources

Prepared by: Beh Heng Seong, 2009

2005 Hong Kong’s Import of Bird Nest2005 Hong Kong’s Import of Bird Nest

Total Value = HK$22 billionTotal Value = HK$22 billion

Indonesia Indonesia HK$18 HK$18 billionbillionThailandThailand HK$HK$ 2 2 billionbillionMalaysiaMalaysia HK$ 1HK$ 1 billionbillionOthersOthers HK$ 1HK$ 1 billionbillion

20092009 ~ 40,000 swiftlet houses in Malaysia~ 40,000 swiftlet houses in Malaysia

Produce: Produce: 40,000 x 0.5kg = 20 ton x RM4 mil40,000 x 0.5kg = 20 ton x RM4 mil = RM80 mil x 12mths = RM80 mil x 12mths = RM960 mil /year = RM960 mil /year

~ RM1 billion revenue for the country

Huge Market PotentialHuge Market Potential

Aug 2008 – China government officially Aug 2008 – China government officially

cleared Malaysia from list of avian-flu countrycleared Malaysia from list of avian-flu country

-> -> Malaysia companies can directly export Malaysia companies can directly export bird nests China bird nests China (upon obtaining permits from (upon obtaining permits from veterinary departments of both countries)veterinary departments of both countries)

Reputation at StakeReputation at Stake

April 2009 – Huizhou, China.April 2009 – Huizhou, China.

Chinese official intercepted 30kg of red Chinese official intercepted 30kg of red nests imported from Malaysia, which nests imported from Malaysia, which contained harmful chemical of Sodium contained harmful chemical of Sodium Nitrate (Nitrate (NaNONaNO33))

Irresponsible operators spoiling the image & reputation of Malaysia bird nests

Quality Control Quality Control

To save guard the image & reputation of To save guard the image & reputation of Malaysia bird nests industryMalaysia bird nests industry

->-> processing of bird nests need to be processing of bird nests need to be regulated with proper quality regulated with proper quality

standardstandard

Genuine ProductsGenuine Products

Too many products in market carrying the Too many products in market carrying the name ‘bird nest’ though ingredients name ‘bird nest’ though ingredients contain zero or very small % of bird nestcontain zero or very small % of bird nest

New regulationNew regulation

- can only mention ‘bird nest’ if ingredients - can only mention ‘bird nest’ if ingredients made up at least 50% of bird nestsmade up at least 50% of bird nests

Shortage of Skilled WorkersShortage of Skilled Workers

Manual processing - skill intensiveManual processing - skill intensive

Industry growth will be limited by lack of Industry growth will be limited by lack of skilled local workersskilled local workers

Special allocation for bird nest processing Special allocation for bird nest processing companies to recruit foreign skilled companies to recruit foreign skilled workersworkers