THE Malaysian Bumiputra Timber and Furniture Entrepreneurs Association (Peka) plans to take advantage of the mushrooming of micro entrepreneurs in the timber and furniture industry to elevate their operations to the next level.
Its president Farosham Naizamohideen said in their glory days, Bumiputera entrepreneurs in the industry contributed up to 13 per cent of timber product exports, but the amount has now dropped drastically to only one per cent.
With more micro entrepreneurs coming into the picture, he believes now is the right time to assist them to expand their business.
"The Bumiputera folks in the industry are left behind in today's timber world, with very few operating in Small and Medium Enterprises (SME), they mostly only operate at micro level.
"They are rich in artistic values, they like to craft products. They can take used wooden parts and turn them into furniture or crafts.
"With the right assistance, I believe they are able to transform their operations from micro to SME," he said in a special interview with the New Straits Times.
He said that around 120 Bumiputera vendors were supplying timber products to Guthrie Furniture, but the vendor business operators slowly began to decline after the furniture company was closed.
He said that many Bumiputera vendors operating under state governments were also unable to sustain their business due to the inactivity of the state government's subsidiary companies.
With no caretaker in sight, he said that this was the reason for the decline in the number of Bumiputera furniture vendors.
The vendors began operating at workshops by their homes and take on smaller jobs to sustain their living.
However, he said that up and coming youngsters were keen to be involved in craftsmanship.
The government, through its agencies such as Malaysian Timber Industry Board (MTIB) and Malaysian Timber Council (MTC), can take advantage of the interest shown by the youngsters to groom and prepare them to be involved in the industry in the future.
Since 2022, Peka has gathered 120 craftsmen nationwide and provided them with a RM5,000 grant to purchase machines to make it easier to produce crafts and furniture.
Through government agencies, laser cutting machines were also given to the potential craftsmen and he said these business operators are now making a 100 per cent profit with around RM600,000 annual income.
He said the young craftsmen prefer to use precision machines instead of the old ways of using hand tools which are prone to injuries.
"They are excited to use the latest technology and it is very efficient.
"From collecting the order to posting it out to their customers, they are able to serve their customers much quicker than before.
"Youngsters are also using social media such as TikTok and Facebook for their business. All these are done online, from the measurements to other discussions before they lock in the design requested by the customers.
"The entrepreneurs also use the Shopee platform for their business. They are reaching out as much as possible to their customers.
"Hence we hope such grant assistance can be continuously given to assist our Bumiputera entrepreneurs," he added.
Though the government agencies are ready to help the entrepreneurs, he said that they are having problems obtaining necessary data to streamline support for the entrepreneurs.
He said old timers did not want to share details of their business with government agencies, hence making it difficult for them to provide necessary aid to improve their business.
"Similar to a census, the government needs data on our Bumiputera entrepreneurs to understand their needs and wants.
"Our challenge is that they are reluctant to share their info, shy away from giving away details of their business.
"We are taking steps to continue engaging with them so they will be more open to share it," he added.