MALAYSIAN HAINANESE ECONOMIC � PAST, PRESENT AND FUTURE

By  Jee Say Hai  5 May 2002

Malaysian Hainanese � the background : arrival waves

  1850  Ching Dynasty emigration relaxation
              1900  Demand for plantation and tin mine workers
1940 WW 2 started
1945  WW 2 ended
1949 lesser
1957 none

Characteristic of Hainanese:
Hardworking
Trustworthy
  Clanship
  Thrifty
 
Association  Role :
Cater for new arrivals needs
Support clan members needs
The earlier needs: sick - old � death - financial   
  The latter needs: Younger generation education
   Penang Association: formed in 1866 (136 years)
   Federation of Hainan Association: formed in 1933 (70 members)
   Changing Role: with the government and private companies taking over  
                  the social and welfare needs and the change in population structure
    
Association - Economic achievement indicator:
            Individual Level (70 members excluding county/trade/blood related)
Setting up of own building
           Setting up of scholarship fund
Setting up of schools (Penang, Ipoh, Port Weld,  KL, Klang, Tampin, Malacca,  
   Seremban   and Trengganu � total : 9 )
             Co-owners of cemetery
  National level - scholarship / education loan (first association to set up in  
                1955 � led by then Deputy Education Ministry (a Hainanese)
                 RM2 million paid out � 1000 beneficiaries
  -  Headquarters at KL � owned building
   International Level � Federation of World Hainanese Convention

Economic evolution : 
Temple
   Dialect (District) Clan
   Provincial Association
   Business Grouping

Earlier Stage of immigrant Chinese economic activities:
  3 K ( 3 Knives ) ( 3 ? ?) : ( ??)   Cook,  ( ??) Barber, ( ??) Tailor
 
Earlier Hainanese dominated economic activities:
o  restaurant/eating stall/coffee shop
o  Hainanese chicken rice - an opportunity missed or yet to be exploited?


Organised economic activities:
1936  -  Hainan Realty Company - rubber plantation in Hainan
- interrupted by WW 2

1955 -  Promotion of a bank � dropped

1968 -  Promotion of a financial institution � failed due to poor support

1979 -  Formed a co-operative society (Koperasi Mewah Bhd)
    24 branches and 9 subsidiaries with paid-up capital of RM6 millions
    Membership strength : 23,000
    Scope of business: deposit taking, housing development, insurance, leasing
    In 1986 (7 years operation) frozen by government and later wound-up

1992 -  Formed Hainan Holdings Bhd.
  92 members delegation to Hainan in December 1999
  Paid-up capital: RM 474,003.00 
    No. of shareholders : 91
    Main activities: investment holdings (in cement based products through a
                               subsidiary Haikon Sdn. Bhd
         Total shareholders fund as at 2001 year-end:  RM 539,918.00

1993  -  Formed Haikon Sdn. Bhd.
    Paid-up capital: RM 200,000.00
    No. of shareholders:  6
                          50% owned by Hainan Holdings Bhd.
    Main activities: initially ready-mixed cememt; now dormant
    Total shareholders fund as at 2001 year-end: RM25,722

1993  -  Formed Hainan Realty Sdn. Bhd.
    Paid-up capital: RM 2.00
    No. of shareholders: 2
    Main activities: dormant since incorporation
        (Original intention is to replace Hainan Holdings Bhd. role )
    Total shareholders fund as at 2001 year-ended: (RM 12,411.00)

Others -  Talk on joint venture with Intel to produce circuit board
     Proposed name: Pycon International Sdn.Bhd.

Hainanese economic performance � present days
         o  No. of listed companies controlled by Hainanese
         o  Influencial figures in trade related associations (chambers of commerce) and 
             regulatory bodies
         o  Senior (key) personnel in multi-national and national corporations
         o  Economic ranking: Malaysia -  International
         o  Creation of tangible assets -  the KL Thean Hou Temple
        

The future outlook
          o  Malaysia economy : changing global landscape � unforeseen events � export tumbled -
   private consumption contracted
Government policies � pro-business  fiscal and monetary � domestic-led
          o  Economic domination verse political domination
          o  Formation of economic bloc :  EC, NAFTA, APEC, AFTA (globalization � free
   trade and impact on livelihood)
          o  Regulated activities :  WTO
          o  Where do Hainanese stand?

Organised body to lead the Hainanese to face the challenges and to grap the opportunities:

o  Formation of a think-tank group comprising academician, professional and
      businessmen 
o  Changing role for World Hainanese Convention
o  The new role of 3 K ( 3 ? )  :  Know-where (information)  ( ? ? )
                      Know-what  (knowldege) ( ?? )
                        Know-how (wisdom) ( ?? )


Conclusion
o  The knowledgeable must help the less knowledgeable to share their experience
      and to provide assistance
o   Systematic programme and a mechanism to achieve Hainanese economic objective
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