Latest news with #MalaysianRetailChainAssociation
The Star
02-07-2025
- Business
- The Star
Franchise Expo Malaysia 2025 aims for RM120mil in transactions value and 18,000 visitors
Officials and representatives from various organisations and agencies at the Franchise Expo Malaysia 2025 press conference held at KLCC Plenary Theatre. KUALA LUMPUR: The Malaysian Retail Chain Association (MRCA) is targeting RM120mil in transaction value for the 8th Franchise Expo Malaysia (FEM) 2025, set to take place at the Kuala Lumpur Convention Centre (KLCC) from Aug 21 to 23. This represents a 20% increase from the RM100mil achieved in 2024, highlighting the resilience and innovation of Malaysia's retail and franchise sectors while solidifying FEM's status as a premier platform for growth, collaboration and regional engagement. The three-day event is expected to welcome around 18,000 visitors and will feature 364 exhibition booths thoughtfully arranged across four exhibition halls at KLCC. Participating countries include Malaysia, Thailand, Singapore, China, Taiwan, Indonesia, Cambodia and India, with China and Taiwan each having dedicated pavilions to showcase distinctive offerings from their respective regions. An International Business Exchange programme between MRCA, the Royal Thai Embassy and Taiwan External Trade Development Council (TAITRA) took place recently. The exchange programme aims to strengthen trade ties and commercial links, via the set up of an international franchising pavilion in the upcoming FEM 2025. This diversity reflects the expo's regional significance and reinforces Malaysia's role as a strategic launch pad for cross-man franchising into South-East Asia. FEM organising chairperson Terry Tay said, 'This year's theme, 'Invest in the Future', reflects the power of collaboration in today's interconnected world. With over 400 booths across four halls, this expo is a testament to the unwavering confidence in our industry.' MRCA president Datuk Ken Phua, echoed these sentiments, calling attention to the transformative opportunities arising from digitalisation, tourism resurgence and regional integration. 'The theme, 'Invest in the Future,' captures the essence of what lies ahead. Strong consumer spending and the strengthening ringgit have created fertile ground for local businesses to thrive.' In addition, MRCA welcomes Tourism Malaysia as a supporting partner for FEM 2025. With Malaysia assuming the Asean Chairmanship this year, FEM 2025 also provides a timely platform for the retail and franchise ecosystem to interface with regional stakeholders, elevating the nation's reputation as a hub of cultural convergence, commercial sophistication, and hospitality excellence. Since its inception in 2016, FEM has evolved from the Malaysia International Retail and Franchise (MIRF) exhibition to become a cornerstone event in Malaysia's retail landscape. FEM 2025 aims to attract even more franchisees and retailers, reinforcing MRCA's mission to foster a resilient, dynamic, and future-ready retail ecosystem. The expo provides a platform where innovation thrives, partnerships flourish and actionable strategies take shape. With over 550 MRCA members representing 40,000 outlets and 400,000 employees nationwide, the association remains dedicated to advancing the retail industry through unity, innovation, and collaboration.
The Sun
30-06-2025
- Business
- The Sun
MRCA targets RM120m transaction value from Franchise Expo Malaysia 2025
KUALA LUMPUR: The Malaysian Retail Chain Association (MRCA) is targeting RM120 million in transaction value for 8th Franchise Expo Malaysia 2025 (FEM 2025), up 20% from the RM100 million achieved in 2024. MRCA president Datuk Ken Phua said the higher target is driven by record-high international participation and strong local demand. 'We have added 10 overseas countries, including the US, Japan, and the UK. Our existing partners from Thailand and China have also expanded their booths. We are almost fully occupied, which points to a very eventful and successful expo,' he said at a press conference on FEM 2025 today. Furthermore, Phua said, Malaysia's role as Asean chair this year supports regional participation in the event. MRCA welcomes Tourism Malaysia as a supporting partner to connect FEM with the tourism ecosystem. 'Tourists visiting Malaysia are not just here for sightseeing but also for cultural and shopping experiences. They are potential franchise investors too,' Phua said. FEM 2025 will be held at the Kuala Lumpur Convention Centre from Aug 21 to 23. The three-day event is expected to attract about 18,000 visitors and will feature 364 booths across four halls. Phua said this year's theme, 'Invest in the Future', highlights opportunities in digitalisation, tourism recovery, and regional integration. 'The theme captures the essence of what lies ahead. Strong consumer spending and the strengthening ringgit have created fertile ground for local businesses to thrive.' Turning to other issues, Phua said MRCA and five other business associations met with the Ministry of Finance last Thursday to discuss the planned expansion of the Sales and Service Tax (SST). He added that it had a dialogue with the government to consider deferring or adjusting the SST expansion. 'Eight per cent is really, really very, very significant to our costs. We barely make about 10% to 20% in gross profit. 'So with all these costs involved, our net profit will either dwindle or, in the worst situations, some may have to close their businesses.' Phua said the SST, particularly its application to rental costs, would significantly increase operating expenses for franchisors and franchisees. 'Many of whom manage multiple outlets. Can you imagine the impact that will be having on their operating costs as well as the labour costs that has increased? We are also going to be paying the foreigners 2% EPF as well,' he added. Phua said the government has listened to some of their concerns and already raised the SST registration threshold from RM500,000 to RM1 million. 'But it is not good enough. With SCCIM, ourselves and many other associations, our plea is to have it, in fact, deferred or the threshold level up to RM3 million.' Additionally, Phua said it has also requested a deferment of the electricity tariff increase that is set to start from today. 'At this point, manufacturers, including those exporting, are already facing tariff pressures from the US. A rate hike now is not timely, especially when we are encouraging more entrepreneurial activities.'
The Star
20-06-2025
- Business
- The Star
SST on commercial rental will impact retail sector, says MRCA
PETALING JAYA: The Malaysian Retail Chain Association (MRCA) has called on the government to postpone the implementation of the 8% sales and service tax (SST) on rental and leasing services, due to come into effect on July 1. MRCA said while it recognises the government's intention to broaden the national tax base and enhance fiscal sustainability through targeted measures, extending SST to commercial rental presents considerable challenges to retailers operating physical outlets. ALSO READ: Expanded SST comes into effect July 1 "The additional cost burden comes at a time when many businesses are already contending with rising operational expenses, including minimum wage adjustments, stamping of employee contracts and heightened regulatory compliance," it said in a statement on Friday (June 20). "In the context of the supply chain from manufacturers and distributors to retailers, the increased cost of doing business is expected to translate into higher end prices for consumers," it added. ALSO READ: Expanded SST will add RM5bil to national coffers in 2025, RM10bil in 2026 MRCA said retailers across the board may find it increasingly difficult to absorb these additional expenses, particularly with a weaker consumer sentiment amid expectations of gradual government subsidy removal. MRCA said it will continue to engage with the Finance Ministry and relevant agencies to ensure that policy implementation remains balanced, transparent and conducive to the sustainable growth of the retail sector.
