Catalogue of growth
Taiwan is in an upbeat mood about beating the slowdown thanks to a slew of policies initiated by the Taiwanese government. A catalogue exhibition in Muscat comes at the most opportune time adding to this new-found exuberance, writes Visvas Paul D Karra

The PC and the mobile are the only two gadgets that are indispensable even in the current turbulent times of cost-cuttings and the ensuing frugal mentality that has become the overriding sentiment. It is in this scenario that Taiwan, the world’s largest manufacturer of electronic items, will bounce back in record time and wipe away the dust that has been kicked up by the storm of financial crisis, says Jackson T C Lee, representative of Taipei Economic & Cultural Office.

According to Lee, an indicator of this upward swing is the Taiwan Stock Exchange, which has seen a daily turnover of more than $3bn in mid-March. Secondly, the Taiwan Semiconductor Company, the leader in IT manufacturing, has recalled all its employees who were on unpaid leave and will resume its 3-shift working hours from this month.

Turning around
Refuting a Reuters report which said that Taiwan will be emerging as Asia’s most battered economies this year along with Singapore, Lee said that as long as there is regular spending on essentials which includes electronic gadgets like PCs and mobiles, Taiwan will combat the grim situation.

“Our government has initiated a number of steps to mitigate the crisis and revitalise the economy by taking bold measures to bolster financial institutions and make them resilient against the financial shocks and risks. In addition to reducing the benchmark interest rate, we were the first Asian nation to provide a blanket guarantee for all domestic bank deposits, a move that effectively stabilised the financial situation,” informed Lee. To halt the rapid deterioration of the economic crisis, the Taiwan government also implemented an all-in-one economic stimulus package to expand investment in public infrastructure, stimulate domestic consumption, boost employment, and help internationally competitive industries to weather the crisis.

The China link
In 2008, Taiwan’s relations with China also underwent a historic transition with the establishment of the “Three Links” – direct air, sea, and postal links. This has brought in a new era of comprehensive, normalised economic relations between the two neighbours and improved Taiwan’s international standing and image. The cross-strait rapprochement transformed the Taiwan Strait from a dangerous flashpoint to a stabilising force to the benefit of all the Asian countries and allies of the two countries.

An important event, which underscored the normalising of relations, was the gifting of two giant pandas by China to Taiwan. This was part of an exchange programme of endangered species, with China making good on a 2005 offer. The two pandas, as a sign of friendship, have been placed at the famous Taipei Zoo. “These positive signs have shown the positive way of future cooperation,” Lee affirmed.

Purchasing power
The representative of Taipei Economic & Cultural Office in Oman is also upbeat about the 144 per cent growth in exports from Taiwan to Oman, which presently stands at $9.5mn as of January 2009 with an overall growth of 50 per cent. Lee says that this huge jump in exports to Oman only points to two things – the resilience of the Omani economy and the strong purchasing power that the Sultanate has retained despite the gloomy global situation.

The top ten category of products that have been exported from Taiwan to Oman include plastic; electronic and engineering parts; boiler and machine parts; steel, automobile spares; steel products; chemical products; sulfur, minerals, marble, cement; rubber; and low level metal products.

Taking into account Oman’s strong macro-economic fundamentals, the Taipei Economic & Cultural Office in Oman is organising the “Taiwanese Product Catalogue Show” from April 20-21, 2009 at the Oman Chamber of Commerce and Industry (OCCI) Head Office, Muscat, and April 23, 2009 in OCCI, Salalah. This exhibition is being organised in coordination with the Taiwan External Trade Development Council (TAITRA) and OCCI.

“If you look at the huge jump in exports to Oman, we realise that Oman has a huge business potential and a lot of wealth. However, many Taiwanese companies are unwilling to come here, so far for various reasons like language barrier and lack of direct flights. Therefore, I am organising this catalogue exhibition. It is a good opportunity for Omani companies to make contact with Taiwan companies by visiting the catalogue exhibition,” Lee pointed out. The catalogues to be exhibited will focus on building materials, machinery, PC and by products, mobile phones, furniture, and house wares. More than 300 Taiwanese companies are participating in this exhibition.

“Last year we had around 270 companies which had participated in this catalogue exhibition and this year we are expecting the number to double. However I would like to stress on the fact that our office is open to all Omani businessmen to walk in and find out how best they can form joint ventures and partnerships with their Taiwanese counterparts,” says Lee.

Business made easy
Since China and Taiwan have recognised each other’s currency and postal stamps, it will be easier to communicate and commute from the mainland to Taiwan. It will facilitate easier business transactions and in turn make travelling to Taiwan easier for Omanis.

According to Lee, in the business world it is important to have an echo. “The Omani entrepreneurs should come forward to take advantage of the vast technology-expertise that Taiwan has on offer for example in agriculture and aquaculture,” Lee says.

The OCIPED (Oman Centre for Investment Promotion and Export Development) and the OCCI should play a greater role in facilitating this ‘echo’ process, he said.

Lee also disclosed that there are organisations like the Taiwan Turnkey Project Association whose purpose is to provide services for entrepreneurs looking for turnkey solutions and gain support from the government and promote themselves. This organisation will provide all the necessary help to Omanis who are looking for one-stop solutions to do business with Taiwanese companies.

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