DUBAI: MALAYSIANS will get another option to shop for reasonably-priced items when the Abu Dhabi-based Lulu International Group opens its hypermarkets in Malaysia under a collaboration with Felda.
Deputy Prime Minister Tan Sri Muhyiddin Yassin said under the joint venture, Lulu Group would open its first hypermarket in Kuala Lumpur this year before unveiling another five at different locations in the next few years.
He said the group had agreed to invest US$200 million (RM647 million) on its hypermarkets in Malaysia.
"They will also help market more Malaysian products at their hypermarkets, including those produced by our small-and medium-sized industries and Felda.
"It is, indeed, a good opportunity for us as Lulu International is the biggest operator of hypermarkets chain in the region with an annual turnover of more than US$5 billion (RM16.2 billion)," Muhyiddin said after visiting a Lulu hypermarket here yesterday.
Present were Lulu International Group executive director Ashraf Ali M.A. and director Salim M.A. Lulu Group has more than 100 hypermarkets in the Middle East and one in Kerala, India.
Muhyiddin said the group had also agreed to sign contract farming deals with local farmers and entrepreneurs to help supply fresh vegetables and fruits to their hypermarkets.
"They are interested to buy in bulk highlands vegetables and we may promote the produce from Cameron Highlands (Pahang) and Kundasang (Sabah)," said Muhyiddin.
Muhyiddin established a personal relationship with Lulu Group founder, Yousuf Ali M.A., when he helped promote Malaysian products in the United Arab Emirates (UAE) during his tenure as Domestic Trade and Consumer Affairs Minister.
Muhyiddin said the Federal Agricultural Marketing Authority (Fama) would help identify and promote local fruits and vegetables while Malaysia Airlines would be asked to provide competitive freight services to transport the perishable items to the Middle East.
"Fama will also open more collection centres to help buy fruits and vegetables from our farmers and smallholders."
"Fama will also open more collection centres to help buy fruits and vegetables from our farmers and smallholders."
Asked whether the opening of the new hypermarkets would affect the existing retail and wholesale industries, Muhyiddin said the government had always promoted healthy competition as this would eventually benefit the people with better choices at reasonable prices. He said Lulu hypermarkets would would only sell halal products. NST