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Introduction

The Domestic Trade Division has the role of regulating foreign participation in the distribution trade sector in line with the stipulations in the Guidelines for Foreign Participation in Distributive Trade in Malaysia (Amendment) 2020.

These guidelines are intended to:

  • Encourage modernization and increase the level of industrial efficiency as well as the continued contribution to economic growth;
  • Ensuring the development of an orderly and fair distribution trade industry while ensuring the growth of business activities among locals; and
  • Increase Bumiputera participation in the economic sector in line with the National Development Policy.

Unregulated Service Industry

  1. Management Consultancy and Management Consulting Services;
  2. Cleaning and Cleaning Services;
  3. Hairsaloon Center;
  4. Market Research;
  5. Translation and Interpretation;
  6. Laundry Service;
  7. Market research;
  8. Packaging Services;
  9. Photography Services; and
  10. Personal and Home Appliances Rental Service

Convenience Store

  • Regulate convenience stores with foreign involvement. Owners of convenience stores with foreign interests need to obtain permission from KPDNHEP to operate by applying to the Services Industry Division, KPDNHEP.

Online Business

  • All online businesses must be registered with the Companies Commission of Malaysia (SSM);
  • For companies that conduct online business with foreign involvement (ie foreign ownership over 51%) and are operating in Malaysia must comply with the following:
    • Companies need to apply for businesses that are not regulated by the Services Industry Division and can refer to the Guidelines for Foreign Participation in the Distribution Trade Sector in Malaysia;
    • Companies must comply with the Consumer Protection (Electronic Trade Transactions) Regulations 2012; and
    • Companies must comply with all existing laws and regulations in Malaysia as they are subject to physical business.

Tips for users

  • Guide to Conduct Electronic Transactions For Users; and
  • Video

Acts and Guidelines

  • Electronic Commerce Act 2006; and
  • Consumer Protection (Electronic Trade Transactions) Regulations 2012.
  • Consumer Protection (Workshops Information Disclosure) Regulations 2002
  • Convenience Store Guide with Foreign Interest 2019

Notification

  STARTING FROM 1 FEBRUARY 2020,, ALL APPLICATION MATTERS TO DO BUSINESS FOR:

  • ONLINE BUSINESS WITH FOREIGN INTERESTS
  • CONVENIENCE STORES WITH FOREIGN INTERESTS; AND
  • UNREGULATED SERVICE INDUSTRY
  •  

THIS ONLINE APPLICATION WILL BE CARRIED OUT IN STAGES FROM 01 JANUARY 2020 WHERE THE COMPANY / SECRETARY OF THE COMPANY / THE CONSULTANT CAN ACCESS THE SYSTEM ON THAT DATE. HOWEVER, SUPPORTING DOCUMENTS STILL NEED TO BE SUBMITTED TO THIS DEPARTMENT AFTER THE ONLINE APPLICATION IS SUBMITTED

The Domestic Trade Division has the role of regulating foreign participation in the distribution trade sector in line with the stipulations in the Guidelines for Foreign Participation in Distributive Trade in Malaysia (Amendment) 2010.

These guidelines are intended to:

  • Encourage modernization and increase the level of industrial efficiency as well as the continued contribution to economic growth;
  • Ensuring the development of an orderly and fair distribution trade industry while ensuring the growth of business activities among locals; and
  • Increase Bumiputera participation in the economic sector in line with the National Development Policy

Details related to the Guidelines for Foreign Participation in Distributive Trade in Malaysia (Amendment) 2020 are as follows:

NO NAME OF FORM / DOCUMENT  
1 Application & Retail Trade Distribution Application (WRT) Application Checklist
(Checklist for Wholesale and Retail Trade (WRT) Business Application)
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2 Checklist for Renewal of Conducting & Retail Distribution Trade (WRT) Application Form
(Checklist for Wholesale and Retail Trade (WRT) Business Application)
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3 Guidelines for Foreign Participation in the Distributive Trade Sector (Amendment) 2020. Effective 12 May 2020. (Guidelines On Foreign Participation In The Distributive Trade Services Malaysia)  View

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4. List of Unregulated Service Sub Sectors  View

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5. Unregulated Service Application Form  View

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6. Checklist - New  View

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7. Checklist - Renewal  View

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