Guidelines on Foreign Participation in the Distributive Trade Services Malaysia

19 April 2016

Please be informed that companies in the distributive trade services sector are required to comply with the Guidelines on Foreign Participation in the Distributive Trade Services Malaysia issued by the Ministry of Domestic Trade, Co-operatives and Consumerism. According to the Guideline, foreign involvement is restricted in certain sectors as outlined below. Therefore applications for any long-term pass (more than 3 months) including Employment Pass for companies in these sectors is NOT ALLOWED. You may refer to http://www.kpdnkk.gov.my for more information.

Restricted sector for foreign involvement under the Guidelines on Foreign Participation in the Distributive Trade Services Malaysia
  1. Supermarket / mini market (less than 3,000 square sales floor area)
  2. Provision shop / general vendor
  3. Convenience store (that opens for business for 24 hours)
  4. News agent and miscellaneous goods store
  5. Medical hall (inclined towards traditional alternative medicines plus general dry foodstuff)
  6. Fuel station with convenience store
  7. Fuel station without convenience store
  8. Permanent wet market store
  9. Permanent pavement store
  10. National Strategic Interest
  11. Textile, restaurant (non-exclusive), bistro, jewellery shops
  12. Others

F.A.Q

Q:
Why do I need my director to sign the Letter of Undertaking (LoU) and how long does the process take?


A:
The company Director is required to sign the LoU to ensure that he acknowledges the responsibility for all transactions by the company. This would also protect the interest of the company.

read more +