Mar 03, 2010. /Lesprom Network/. The long awaited merger between the Malaysian Furniture Industry Council (MFIC) and the Malaysian Furniture Entrepreneurs Association (MFEA) is expected to be finalised by year-end, as The Star reported. Talks of a merger between the two national furniture associations started in 2005. MFEA president Lor Lean Sen said the merged entity, which has yet to be named, would result in the creation of the country’s largest furniture grouping, contributing about 80% to 90% of the total local furniture production. MFIC has a direct membership of over 500 furniture manufacturers and exporters, while MFEA has about 2,500 members, comprising furniture makers, suppliers and retailers. To recap, under the Malaysian Timber Industry Board (MTIB) Act 1990, only MFIC is allowed to participate in the board meetings of MTIB and MTC. MFEA members were all initially part of MFIC. However, seven charter members left in 2003. These members, comprising the state furniture associations of Johor, Malacca, Negri Sembilan, Perak, Kedah, Penang and Sabah then formed MFEA, which later expanded to include all 13 state furniture associations nationwide. At the same time, a leadership tussle in MFIC broke out in late 2006 with separate camps claiming legitimate control of the industry body in court. This had also somewhat hampered the progress of the MFIC-MFEA merger. According to industry players, the overlapping roles of MFIC and MFEA had prompted the Government to step in to ask the two bodies to merge. “By merging, furniture industry players can stand united to solve problems like labour shortage and secure cheaper exhibition rates at international trade shows, which will boost our country’s exports,” said an industry observer. Local furniture export earnings are targeted to hit RM10 billion this year. In 2008, the industry’s exports rose to RM8.72 billion from RM8.55 billion in 2007. Malaysia is now ranked among the top 10 furniture exporting countries in the world. Shipments to the US make up about 28% of total exports.