A Move To Provide New Image For Retailers
Melati Mohd Ariff
27th July, 2012


In a move to have retailers contribute to the nation's economic growth, the government launched the 'Retail Shop Transformation Programme (TUKAR)' in 2011. This is the first of a two part series.

KUALA LUMPUR, July 27 (Bernama) -- On their own, retailers may not have the necessary skills to perform a 'facelift' on their shops in order to assure their premises projects a better image.

Hence, the 'Program Transformasi Kedai Runcit' (Retail Shop Transformation Programme) or TUKAR was implemented by the government in 2011 for retailers to boost their shops' images.

TUKAR, which is under the auspices of the Domestic Trade, Cooperatives and Consumerism Ministry (KPDNKK), is seen as the right 'mechanism' for this transformation

PARTICIPATION

According to KPDNKK's statistics, 519 retailers participated in the programme last year, while another 359 shops have joined in so far this year, bringing the total number of participating shops to 878.

Mohd Fariszan Ahmad, the KPDNKK's Head of Delivery Management, said the ministry is eyeing 500 retail shops per year to join the programme.

He said, on average, each of the shops participating in the TUKAR programme recorded a 50 per cent increase in their store's turnover

"The government is satisfied with the response given to the project, but wants more participation from other retailers, particularly the Chinese and Indians", he told Bernama here.

Out of the 519 retailers who participated in the programme in 2011, 72 per cent were Malays, followed by Indians at 13 per cent, Chinese at seven per cent, and the rest were the Bumiputera of Sabah and Sarawak.

He further said the ministry is implementing various programmes, including promotions through the mass media to attract the interest of retailers in joining TUKAR.

ECONOMY

Mohd Fariszan said Tukar is linked to the Economic Transformation Programme (ETP), which is among the government's efforts to turn Malaysia into a high income nation by 2020.

The ETP aims to achieve a Gross National Income (GNI) of more than RM48,000 by 2020 from RM23,700 in 2009, with 3.3 million job opportunities available. It focuses on 12 National Key Economic Areas (NKEA), including wholesale and retail sales.

Under the NKEA for wholesale and retail sales, there are 13 Entry Point Projects (EPP), including TUKAR, where the EPPs are expected to contribute RM83.4 billion to the GNI by 2020.

"We also expect the 13 EPPS to create more than 370,000 jobs," he said.

CONTRIBUTION

The TUKAR programme is aimed at contributing RM5.56 billion to the GNI, apart from creating 51,540 jobs by 2020, and in order to ensure the success of this programme the KPDNKK has initiated a strategy with four objectives.

The strategies include modernising the existing retail shops (full renovation), upgrading the premises (changes made to the layout but without physical renovations), encouraging cooperatives to join the retail industry and creating local distribution centres.

Meanwhile, the programme also draws upon the participation of consultants such as the hypermarket chains Mydin, Giant, AEON, Carrefour and Tesco.