How can forest industry contribute to achieving the status of a high income nation by 2020? What are the existing advantages and disadvantages of doing business in Malaysia which can help us to attain this objective? The World Bank analyses on a global basis the various advantages of doing business in various countries are good references for policy and decision-makers in Malaysia. It is important to compare Malaysia with other timber producing countries exporting similar timber products to 15t0he same international markets, especially the European market. Ghana and Cameroon are two other tropical timber producers that have achieved their own FLEGT agreements, therefore giving them definitive appeal to the European market. In this context, selected business indicators are considered here to illustrate the challenges of Malaysian competitiveness towards attaining higher value path in international timber trade.