The Rubber Trade Association of Penang 100th Year Anniversary Dinner
The Rubber Trade Association of Penang 100th Year Anniversary Dinner Speech by
The Right Honourable Chief Minister of Penang, Mr Chow Kon Yeow
15th September 2019, Sunday
Members of the Media, Distinguished Guests, Ladies and Gentlemen.
First and foremost, I would like to extend my sincere congratulations to the Rubber Trade Association of Penang on its 100th Year Anniversary, an association representing an industry that has played a very important part in the development of Penang up to the 1970s.
Many in the younger generation may not know the importance of rubber to Malaysia, and to Penang. In fact, at the point of independence, Malaysia supplied about 1/3 of World natural rubber production, and rubber export accounted for about 2/3 of total Malaysian exports and furnished a substantial part of the national revenue. As for Penang, especially George Town that was an entrepot (free port) up to 1969, rubber also played a very vital role then. Export through Penang ports accounted for 1/3 of total Malaysian rubber exports.
Established in 1919, RTAP served as a rubber exchange to facilitate rubber trade and disseminate trading information to its members. After the Malaysian Rubber Exchange was formed, the Association had switched to play a key role in resolving trade disputes amongst members and as a conduit on trade policy debates with the Government. Together with the Chinese Chamber of Commerce and the Aceh Trade Association, they led a ten-year effort to slow down the imposition of taxes on import and exports of rubber into the island and the eventual removal of Penang’s Free Port status in 1969.
The cessation of Penang island’s Free Port status had greatly impacted the island economy in the late 1960s. It impacted many rubber packers and 5 of the 6 milling factories on the island closed and there was a rise in unemployment. Rubber production in Malaysia started to decline after 1988 with almost all the estates switching into oil palm, this again had a second-round impact on driving many of the rubber merchants off their traditional activity. However, astute as they have been, most of them managed to diversify into various other business activities from manufacturing to services.
Apart from business, the RTAP, its leadership and its members were generous donors as well active Board members of an array of Chinese civic society and schools. They were the biggest supporters in funding education and charities in the State.
It is my hope to see continued generousity and support from the Rubber Trade Association of Penang to the State by supporting the Penang2030 vision of a family-focused green and smart state that inspires the nation. It is also a vision that will encourage citizens to participate in policy making and to take responsibility for their own future. The State Government is always concern with the wellbeing of Penang and to make Penang a place that is even more enviable than it already is. At the same time, it is my goal to not leave anyone behind as Penang moves on towards to greater heights. I believe the Rubber Trade Association of Penang can play their part in helping the State to achieve the Penang2030 vision as their experience and expertise will be supportive in the achievement of this vision and the development of the State.
The Rubber Trade Association of Penang (RTAP) had witnessed and participated in the country’s economic development for a century and counting, it is only fitting that they receive our heartiest congratulations on this exceptional milestone.
Syabas and tahniah!
Thank you.