Abstract

After the 1970s, Malaysia's economy diversified from agriculture into manufacturing. The manufacturing sector's contribution grew from a mere 13.4% of the total GDP in 1970, to 30.3% of the GDP in 2007. Realising that increasing industrialisation causes threats to the environment, Malaysia has always emphasised environmental protection. The 2008 Environmental Performance Index (EPI) study carried out by Yale University and Columbia University ranked Malaysia 26th out of 149 countries that participated in the study. However, there are still a number of challenges that need immediate attention, particularly issues pertaining to chemical management. Several initiatives pertaining to chemical management are currently carried out by various agencies across government, private sector and civil society but these initiatives take a sectoral approach. Several structures are suggested towards the establishment of a sound chemical management system (CMS) in Malaysia, namely the gazetting of a Chemical Act, the establishment of a designated Chemical Authority and the development of a Malaysian Chemical Database (MyCD). A set of economic policy instruments is also prescribed in this paper to aid the appropriate authorities in their efforts to materialize a sound chemical management system in Malaysia.

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