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"I like to emphasise that without a free trade agreement (FTA) with the United States, it is estimated that Malaysia will lose out in increasing exports to the country," said Rafidah.
<P>Rafidah has been pushing hard for a conclusion of the trade
talks, now bogged down amid strong opposition from within the ruling government
and local activists.</P><P>The two countries look set to miss a vital deadline
by the end of March to cut out a deal, which would give the US Congress its requisite
three months to consider and pass the FTA.</P><P>Washington has been trying to
complete the FTA before July 1, when President George W Bush loses his Trade Promotion
Authority which allows trade deals to be fast-tracked.</P><P>Rafidah said Malaysia
will "lose its opportunity to attract more investments from the US"
and from other countries that plan to use Malaysia as a production and export
market to penetrate the US market.</P><P>"This agreement will increase US
investments into Malaysia. It will also open up new markets for Malaysian goods,"
she said in a statement to Malaysian lawmakers.</P><P><B>Unresolved issues</B></P><P>The
US government last week all but ruled out the chances of a deal with Malaysia
before the deadline.</P><P>Deputy Prime Minister Najib Abdul Razak said Sunday
that Malaysia will not set a timeframe to conclude a free trade deal with the
United States.</P><P>No formal talks have been scheduled between the US and its
10th-largest trading partner after a fifth round of talks ended in February leaving
58 unresolved issues.</P><P>Among sore points for US trade negotiators are Malaysia’s
controversial positive discrimination policies for its majority-ethnic Malay community.</P><P>The
policies give preferential treatment to Malay-run companies in the awarding of
government contracts.</P><P>Malaysian farmers, activists and opposition parties
have been demanding a halt to the talks, arguing a FTA would damage livelihoods.
– AFP</P><P><I>Source: http://www.malaysiakini.com/news/64769</I>
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