RM4.7b Contracts Inked at LIMA

A total of RM4.7 billion worth of contracts were signed during the Langkawi International Maritime and Aerospace Exhibition (LIMA) 2009 as of yesterday.

The unofficial value, however, could be at least RM9.5 billion, said Defence Minister Datuk Seri Dr Ahmad Zahid Hamidi.

"Many of these contracts involve parties from abroad, between Malaysian and foreign companies," he told a press conference before the 10th LIMA edition came to a close today.

The previous event, LIMA 2009, saw RM11 billion worth of deals sealed.

This certainly reflected the continuous optimism of market players despite the global financial crisis, Zahid said, expecting several more deals to be signed including for the supply of military equipment and assets over the next two years.

He said Malaysian companies that started off as marketing agents for international defence and security products, had now become major players in the defence industry.

"For example, Boustead Group has registered more than 3,000 local vendors, of which 2,000 of them are active.

"Of these, about 600 vendors are present in the market, not only to strengthen the shipping industry but involve in the manufacturing of materials and equipment for the global defence industry," he said.

He said the achievement made by some Malaysian companies reflected their commitment to strengthening the industry, and this would help support LIMA 2011 -- a possible defence industry hub for Asean.

"Asean member countries can see a display of great potential defence assets that can be used in their countries and forge greater collaboration among industry players in the region," Zahid said.

"I reckon for the next two years, we would be able to invite more participants especially the aircraft manufacturers. And we would also like to invite neighbouring airforce teams here not only for static display of their assets but to participate in the airshow," he said.

LIMA 2011 will be organised by HW Lima Sdn Bhd.
-Bernama