Raudhah City developer plans mall for Malay retailers

Mohd Farhan Darwis Mohd Farhan Darwis Updated 4 years ago · Published on 9 Sep 2019 7:00AM · 12 Comments

The developer behind Raudhah City in Cyberjaya will open Malakat Mall in the neighbourhood to increase Malay-Muslim participation in the retail sector. – The Malaysian Insight file pic, September 9, 2019.

AFTER launching an “Islamic concept” housing development, the founder of Raudhah City Sdn Bhd is now setting his sights on a shopping centre aimed at boosting business for Malay-Muslim retailers and entrepreneurs.

Raudhah City CEO Mohd Fadzil Hashim said Malakat Mall, which will open near the Raudhah City development in Cyberjaya, will be a market hub for all sorts of Muslim products for the neighbourhood and surrounding areas.

There is a need for this kind of mall as studies show that the Malay retail sector is not growing because of poor market access, he said.

“When we analysed the data, it showed that we (Malay retailers) can’t go far because we have no market access.

“So our strategy is to have shopping malls (where Malay retailers can do business),” Fadzil, who is also behind the popular kindergarten franchise, Brainy Bunch, told The Malaysian Insight.

A mall catering to Malay retailers and entrepreneurs is not about competing against other races but to give a boost to Malay businesses, he said.

“Sixty-two years after Merdeka, the Bumiputera community still lags behind in the economic sector. They are not strong in the retail sector and the fact is whoever controls the retail sector will be a major player in the economy.”

The name Malakat Mall draws from an Arabic word meaning “trading post”.

Its development coincides with a movement among certain Malay-Muslim quarters to boycott non-Muslim products, but Fadzil stressed that the mall has nothing to do with the campaign.

“The idea to set up Malakat Mall was conceived much earlier before the current campaign to support Malay and Muslim products.”

The Malays, being the largest ethnic group in the population, formed the biggest consumer group. Despite this, only a few Malays are involved in the retail of sundry goods.

The wholesale and retail of sundry goods recorded RM110 billion in sales in one year as of May, Fadzil said, citing figures from the Statistics Department released in July.

However, Malay and Bumiputera participation only accounted for some 8% of the wholesaling and retail of sundry goods, he said. The sector is controlled by foreign companies at 60%, and non-Malays at 32%, he added.

The idea behind Malakat Mall is to see fewer foreign players in a sector locals could manage themselves.

“Foreign companies can invest in other strategic areas but they should not come to this country to sell basic things like chicken and rice, they should not be in businesses that our own people can do.

“These are daily essential goods which foreign companies sell to locals but then bring back the profits to their country.”

In the future, Fadzil’s company plans to open 100 more versions of Malakat Mall nationwide within the next 10 years, with most of them in the Klang Valley.

He believed the concept would boost Malay participation in the sundry goods sector by 30%, and sales from 100 malls could reach RM30 billion.

“We’d like to target at least 30 Malakat Malls in the Klang Valley and have one or two each in other states.

“Our plan is to take over existing malls that are not doing well and redevelop them with our concept.”

These malls will also allocate 20% space to non-Muslim or foreign-owned retailers, Fadzil said.

The first Malakat Mall at Raudhah City is expected to be operational in January and Fadzil predicts it could draw up to 20,000 families.

He intends to offer shoppers incentives that benefit the community, such as free health services at a clinic located within Malakat Mall if a consumer spends up to a certain amount at the mall. 

Another incentive is for business owners or operators to pay rent based on shared profit, instead of a fixed monthly rental.

The company also plans to develop a cashless app – Raudhah Pay. – September 9, 2019.

Related News

Sign up or sign in here to comment.

Comments

  • Building yet another wall.

    Posted 4 years ago by Tanahair Ku · Reply

  • Which community is not integrating?

    Posted 4 years ago by Arul Inthirarajah · Reply

  • Why can't this New Government leaders STOP this sort of NONSENSE? Have they gone CRAZY when becoming Ministers? Top leadership should speak against this sort of stupid and idiotic developments of certain religious fanatics in the country, Why do these idiot minister in charge allow such nonsense. Is this why we elected you idiots?

    Even Agong has come out openly to advice to live as Malaysians without being prejudiced to race. On his birthday today he asked to unite all the races and live together. So why are these NUT Ministers not opening their bloody mouths to stop this nonsense?

    Posted 4 years ago by Swaminaidu Venkatasamy · Reply

  • It is your property and your business and no one can stop you, even the government. When the tenants could not pay you, you have to close shop.

    Posted 4 years ago by Penganalisa L · Reply

    • Actually, it is on state land (PKNS)

      Posted 4 years ago by Julian Nagelsmann · Reply

  • will be a market hub for all sorts of Muslim products for the neighbourhood and surrounding areas...
    Muslim made mobile phone, computer, notebook?
    Another Mara Digital Mall kind of business concept? sure doom to fail.

    Posted 4 years ago by Chee yee ng · Reply

  • It's a great idea to help the community but why draw walls along the racial lines? I would think that a mall selling only halal products would be a better approach and allow anyone from any race to take up space there. I don't understand why we Malaysians like to paint ourselves into a corner every time.

    Posted 4 years ago by Alex Lim · Reply

  • Muslim Comunity Blocks the RAHMAT FROM ALLAH/GOD themselves by their ACTIONS. THE SKIES OF MSIA IS FOR ALL HUMAN RACE When Muslims Create a RIFT they are NOT BLESSED BY CREATOR So Therefore They Dont Get RAHMAT or BLESSING . They remain Empty Inside n Outside.

    Posted 4 years ago by Mindy Singh · Reply

  • Non Muslim Comunity caters for All Human Race so they SUCCEED. HUMANITY KINDNESS TOLERANCE LOVE DOING JUSTICE IS KEY TO SUCCESS.

    Posted 4 years ago by Mindy Singh · Reply

  • The idea is workable on paper BUT (there is always a but :) where is this mall going to be located? If it is at a 'high income' area, the poor socio-economic class Malays may not participate fully. On the other hand, the upper crust Malays who are used to high-quality products and immune to artificially induced religious and racial disagreements will continue to shop at their preferred 5-star establishments and outlets. Any ill-thought-out scheme without proper research and due diligence will be dead on arrival. Just because you succeeded (with much help) in one project doesn't mean you can become a Mydin overnight. Bluster, in this case, maybe equal to bankruptcy.

    Posted 4 years ago by Simple Sulaiman · Reply

  • Mark my words : Soon itll become another Kompleks Pertama hahahha

    Posted 4 years ago by Dayang Fazrina Abang Yasir · Reply

  • Please Name what top quality products are manufactured or top quality services are provided by muslim

    Posted 4 years ago by James Zhen · Reply