Tag Archives: The Perak Indian Chamber of Commerce (PICC)

State’s Grant Given to Rival Group

Committee members of Perak Indian Chamber of Commerce (second fr R B.K. Kumar, President)

The State Government has given a RM200,000 grant to a rival faction of the Perak Indian Chamber of Commerce (PICC) despite the battle for legitimacy of the two groups not being settled.

The grant allocated by the State’s Indian Affairs Advisor Dato S. Veerasingam, is for PICC to purchase its own building. One group is led by Mr. B.K. Kumar, and the other by Encik Sultan Abdul Khader. Their dispute as to whose committee is the rightful one is to be heard by the court this month. It has been ongoing since 2004. At a press conference, Mr. Kumar accused Dato’ Veerasingam of being biased. Mr. Kumar said his group had applied to the High Court for an injunction against the rival group and the judgment is expected on February 9. He added that PICC has its own building in Lahat Lane for the past 30 years, but it has not been maintained and assessment has not been paid for the past14 years. Mr. Kumar said that he has written to the Menteri Besar Dato’ Seri Dr. Zambry Abdul Kadir to revoke the grant and to wait till the case is settled. He also plans to write to the Prime Minister to intervene and settle the issue amicably.


Ban On Import Of Used Spare Parts Will Affect Transport System



The proposal to ban the import of genuine used spare parts of motor vehicles will seriously affect the transport system of the country, as 70 per cent of the vehicles on the road are in need of them.

The Perak Indian Chamber of Commerce (PICC) stated this in a memorandum sent to the Prime Minister Datuk Seri Najib Tun Abdul Razak , Deputy Prime Minister Tan Sri Muhiyuddin Yassin and other relevant cabinet ministers recently.

Its president Mr. B.K. Kumar said in a press statement that the memorandum was prepared by a special committee formed by PICC to look into how the proposal, which will come into effect in June 2011, could affect the 65-year-old automotive spare parts and components business in the country.

According to the memorandum the ban would also affect other industries such as fishing, manufacturing, agriculture and plantations.

The used spare parts business in Malaysia had grown from getting parts of local scrapped vehicles to importing used parts from scrapped vehicles from Singapore, Taiwan, Hong Kong, South Korea, Japan, Australia, New Zealand, Europe, USA and other developed countries.

Ipoh A Potential Hub?
The companies involved in the business are providing employment to thousands of Malaysians directly and indirectly. Ipoh is the centre for the Indian used spare parts dealers.

The memorandum stated that Malaysia could become a hub for used spare parts in this region. Already an open market had been created, covering countries such as Thailand, Cambodia, Vietnam, Laos, Myanmar, Pakistan, Bangladesh, Sri Lanka, Indonesia, and Africa and Middle East.

Only usable and good condition used parts are imported and sold much cheaper compared to the imported original genuine parts. They are 80 per cent reliable to use.

As such a lot of foreigners are coming to the country, especially Ipoh, to buy their imported used spare parts and thus generate revenue for the hotel industry.

Other than fulfilling their customers’ needs they are also playing an important role in reducing local currency flow abroad since original genuine parts are very expensive. So, importing them according to local demand will cause the flow of our currency to jump five to ten times.

The memorandum added that therefore if the ban becomes effective, the business which has been laboriously built by the locals for decades will be taken over by some neighbouring countries. Thousands of people will then lose their jobs and as well as the government losing its revenue from import and sales tax.

The sudden shortage of used spare parts will trigger a higher demand for original genuine parts and encourage the suppliers to provide lower grade imitation parts, which have shorter lifespan. And this will lead to other maintenance problems.