At the meeting, Mr Dato Sri Idris Jala said, ASEAN is the 7th largest economy in the world. The benefits of Greater ASEAN EconomicIntegration are: Larger internal market, leading to greater regionaleconomic stability at the national level; Greater investment opportunities for ASEAN firms with fewer transaction costs; More job opportunities for ASEAN citizens. However while much has been done at the policy level, intra-ASEAN trade has remained relatively low at 25 percent compared to other regions.

About the ASEAN Pathfinder Project, Mr Dato Sri Idris Jala said ASEAN Pathfinder Project is derived from the realization that there is a huge gap between high level decision making and ground level implementation. At high level policy, ASEAN Economic Community (AEC) seems to be a reality. However, the companies that want to expand regionally face many different challenges and problems.

The big disconnect is due to lots of different potential challenges faced by various companies. These challenges are prevailing in numerous industries. For example, the inability of a company to expand to host country due to many non-tariff barriers, the inability of a company to secure license/ approval to commence construction although it has purchased a plot of land in the host country. The list goes on and on, also touching on issues of human capital such as hiring ASEAN expatriates.

"Thus, this project will be executed in order to close the gap. At PEMANDU, we believe by doing, we learn how to transform quickly and effectively. The principle is that businesses lead, with the support of governments to pave the way. 3 drivers have been identified to make AEC happen which are Business-led, Results driven and Discipline of Action. Essentially, it is about solving ground level problems to show the way forward," said Mr Dato Sri Idris Jala.

He added that 10 companies from 10 ASEAN Member States will be the pioneering 100 pathfinder companies. The composition of 10 local champions should also be a mix of 3 big players, 4 medium size entrepreneurs and 3 small size entrepreneurs. These companies should have proven track record, a clear ASEAN expansion strategy, sound financial status, capacity and capability for ASEAN expansion and have already started efforts for ASEAN expansion. The project could not only produce 100 regional champions, but also pave the way for other companies, he added.

Speaking at the meeting, General Secretary Pham Thi Thu Hang affirmed that the bilateral relationship between Vietnam and Malaysia has been developed and expanded in many areas. The two countries agreed to bring the trade to US$15 billion or more by 2020. Specially, as ASEAN members and TPP negotiators, both Vietnam and Malaysia will be provided with many opportunities in the coming time, particularly when AEC is established in 2015.

For the ASEAN Pathfinder Project, Ms Hang said, those are basically companies from Asean countries that want to expand but have encountered problems such as with approvals and other non-tariff barriers. Asean has put in place a pathfinder project to assist potential local companies expand regionally. The Asean Pathfinder Project would help the companies to overcome their challenges and find solutions to their problems.

As an agency responsible for promoting and supporting trade, investment and other business activities of enterprises, VCCI has deployed many activities to help enterprises boost competitiveness and expand markets. VCCI has carried out trade and investment promotion programmes and projects covering many fields. In the coming time, VCCI will support and encourage enterprises to participate in the project to create a more transparent and facilitative business environment.

By Thu Ha - talkvietnam.com

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