PETALING JAYA: As Malaysia’s bird’s nest producers grapple with a temporary export halt to China since Dec 25 due to an outbreak of the Newcastle disease, industry leaders say it’s time to diversify the markets to reduce reliance on a single nation.
This comes as officials from Malaysia and China are scheduled to meet on Jan 8 to discuss the additional documentation required by the latter, as revealed to Malaysia’s bird’s nest exporters after a meeting with the Veterinary Services Department (DVS) yesterday.
Malaysia Swiftlet Nest Industry and Exporters Association president Datuk Chua Huai Gen said the industry needs to find more export markets for their bird’s nests.
“We’re too dependent on the Chinese market, and any temporary bans, like the current one, can hurt us. Although China will start importing again, most of our products are made to fit their standards, which isn’t ideal,” he said.
Chua pointed out that while other countries such as Australia, New Zealand, the United States and Canada are interested in bird’s nests, their markets aren’t as big as China’s.
“It’s tough to quickly develop these markets, especially for ready-to-eat products,” he said when contacted.
To reach new customers, Chua suggested adapting bird’s nest to fit local tastes, such as putting it in coffee or cakes for places like the Middle East, where traditional dishes might not catch on.
“Businesses and the government need to work together to grow the markets. Government departments like Matrade (Malaysia External Trade Development Corporation) can help promote bird’s nest as one of Malaysia’s unique offerings,” he added.
He also mentioned the long-held belief in the health benefits of bird’s nests, which is backed by research from universities in Malaysia and China.
“It’s thought to help with brain development and offer great nutritional value, and it’s affordable too,” he said.
In Malaysia, bird’s nest is mostly consumed by the Chinese community, but local demand isn’t very high.
“In China, even if only 1% of the population eats it, that’s still a big market,” Chua noted.
Malaysian bird’s nest producers are worried about losing the chance to export RM50mil worth of their products to China in time for the Chinese New Year.
On Dec 31, DVS said in a statement that no presence of the bird-killing Newcastle disease virus had been detected in premises and products involving bird’s nests in Malaysia monitored by the department.
Newcastle disease is a contagious viral infection affecting domestic and wild birds.
While it can infect humans, it usually causes no symptoms, though mild cases may result in fever, flu-like symptoms or conjunctivitis.
“If we can’t resume exports to China by Jan 10, it will be difficult to capitalise on the New Year season,” Chua said.
Allen Tan, president of the Federation of Malaysia Bird’s Nest Merchants’ Associations, said they need to work with the government, namely the Agriculture and Food Security Ministry, to encourage companies to invest in R&D to create new products.
Beyond the traditional ways, bird’s nest can also be part of other foods, which can help expand its potential in the market.
“It takes a lot of money and effort to educate others about bird’s nest.
“In tough economic times, companies can only keep things going without extra resources on promotions. It’s hard on us.
“In China, bird’s nest consumption is still low. Promotion is easier there because people already know its value.
“But in Western countries, some people think it’s unsanitary, which is a big hurdle for us,” said Tan.
Last year, exports of bird’s nests raked in RM1.5bil in revenue for Malaysia.
In 2023, the country exported 155.5 tonnes of edible bird’s nest to China, representing 27.9% of China’s imports and marking the ninth year of growth.
