History of Swiftlet nest industry - Other

With the author consent, I share it here :-

HISTORY OF THE SWIFTLET NEST INDUSTRY IN MALAYSIA AND THE REASONS FOR ITS RECENT IMPETUOUS BOOM.

1. Edible birdnest industry has been in existence for the past 100 years in the tropical region with Indonesia being the leading producing country accounting for 60% to 70% of world total yearly output worth's Billions in USD. The other countries are the Thailand, Vietnam, Cambodia, Burma,Cambodia,Laos and Malaysia. Malaysia's production accounts for a mere 3% to 5 % by 2000, mainly from the caves in East Malaysia.

2. In Indonesia alone exists no less than 500,000 birdhouses. The same Birdhouse industry has also been in existence in the Peninsular Malaysia for more than 50 years except that the number of birdhouses which are mainly accounted for less than 100 found scattered all over Malaysia in 1990's. Most of these birdhouses are found in abandoned pre-war or colonial buildings along the coastal townships. These are almost natural occurrences with some, no less than 50 years of history. Very little renovation or technique was used to enhance the population growth of the swiftlets. The owners simply considered themselves to be the lucky ones that the birds chose their buildings to roost. No body had the technology or know-how to lure the swiftlets into the houses as what we know of today. So those lucky few had been quietly enjoying the god-sent or divine wealth in a very low profile manner with others to envy at.

c. Not until after the recent political instability and the social chaos and the racial suppression in 1998 that many Indonesian entrepreneurs cum refugees shifted their funds to West Malaysia. Due to the 1997 economic crisis that caused the slump in the local over supplied property market to the extent that the value of the properties had dwindled to almost half that the local property market had become so cheap. These Indonesian started to joint venture with the locals and with the technologies and know-how brought by them invested in the properties and converted many vacant and unproductive buildings into the modern birdhouses that we know of today.

d. Due to the facts that these investors were the pioneers in this industry as their investments' success rate was rather high. This has alerted the locals especially those empty and unproductive building owners who were facing bank foreclosing and some were literally a bankrupt that this could be a way out for them in this bad economy. They rushed into Indonesia to learn up the trade secret and the technology. When they returned, they started to turn their unproductive properties into the swiftlet houses with daily prayers to the god and the hope that the miracles happen..

5. Therefore, in only a few years, estimated between 15,000 to 20,000 (as at 2005) units of modern birdhouses with combined value of more than RM 4.5 billion have sprouted spontaneously across the whole Peninsular Malaysia. In fact, unwittingly, this new industry has also indirectly helped our Malaysia's dwindling economy in particularly the ailing property market to a large extent.Today,at 2008,the number of birdhouses is estimated at around 50,000 units with a total investment of more than RM 10 billion and the number is still growing with many big Boys such as the Public listed companies and the Govt linked companies coming into the market strongly.

6. The value of properties at its height prior to the 1997 economic crisis had slashed to even below half in 2003. Examples are, for a 4 storey shop-houses of RM600,000 to RM350,000, a 3 storey shop-house of RM300,000 to RM140,000, the monthly rental of an average of RM2,000 previously down to RM900, and sometimes, yet no taker. Many property owners due to the loss in rental revenue and with the heavy loan commitment and high maintenance cost, being pressured to the extent of suffering from nervous breakdown and sometime cry without tears. Instead of owning assets, these had become burdens and nightmares.If it were to happen in the Western countries,the governments would have stepped in to help by providing financial subsidies or means to the owners.

7. After the de-control of the rent control Act for the protection of the pre-war buildings that came into effect on 01.01.2000, tens of thousands of these buildings being vacated and returned to the landlords, these further aggravated the situation for the badly stricken property market. Rows and rows of modern shop houses completed with Certificate of Fitness particularly in the new townships and in the housing estates across the country are left unoccupied and idled with windows, doors and internal amenities broken and ransacked. The whole scenario looks ghostly. Many of these properties are under receivership with the owners bankrupted. In Penang Island alone, more than three thousands pre-war buildings abandoned and some turned ramshackles and became heaven for drug addicts and illegal activities.

8. With the recent surge in the swiftlet nest industry, many owners are saved in a way, at least temporarily with a hope to get out of the present awkward predicament in the near future provided with some luck.

9. This new agricultural industry has directly or indirectly benefited the other peripheral industries, trades and services too, such as the financial institutions, legal firms, building industry, hardware, electrical, electronic, local airlines, hotel, tourism etc.

10. Most importantly,this new agricultural industry increased in the country's foreign exchange revenue and thus helped to alleviate the pressure on the present dwindling economy.As at 2008,the production is estimated to hit RM 1.2 billion with 95% in raw and processed form meant for export to exchange for the foreign revenue.Soon,the bird's nest production will overtake the production of tin ore to become Malaysia's 4th largest export next to petroleum,palm oil,and rubber.

This new agricultural based industry which only becomes publicly known for only 10 years is not only new to the local laymen but also new to the government officials.As a matter of fact,the description of this bird's nest cultivation industry or trade is not even being gazzetted yet. This trade can be done in any type of dwellings or buildings on all type of tenure of land use. Therefore,it should be classified and license issued under SPECIAL PETTY TRADE or SPECIAL COTTAGE INDUSTRY.(U.U. KECIL,PERLESENAN

TRED,PERNIAGAAN DAN PERINDUSTRIAN 1995)

11. Nevertheless, despite all these positive aspects and the benefits, there is bound to have a certain minor negative aspects resulted from this rather impetuous booming industry such as the nuisances, health hazards and the inconsiderate illegal constructions created by the unscrupulous owners needed to be tackled and addressed.

12. Therefore, an official guidelines for the industry is rather imminent and urgent to be formulated by the relevant authorities to check and monitor the situation. These guidelines should not be too stringent and demanding for fear of, instead of assisting and facilitating the industry to grow and develop to tap the potential for the benefit of the country, dwarfing and crippling it. The guidelines should be very straight forward and simplified. And the people drafting it should have an open, positive, supportive and sincere mind and also without bias. Most importantly, they must be professional and experienced enough to have a real in depth study and knowledge and full understanding about the trade from all angles to make independent judgments and positive stage by stage proposals to benefit the whole industry and the country at large.

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